GM's new strategy for IT

Posted by Motive Retail on Sep 14, 2012 2:53:31 AM

GM recently announced that it would reverse its IT outsourcing strategy and bring 90% of its IT spend in-house. A new IT “innovation” center has been announced in Austin, TX with others to follow in the Detroit area and other yet-to-be-identified locations. While this is certainly good news for the US job market, GM’s reasoning is not based on patriotism, but rather business interests. GM CIO , Randy Mott, has stated that in-house IT staffers will have a better understanding of the automotive business and GM’s needs than outsourcers. The new GM strategy will “deliver IT that drives down the cost of ongoing operations while continuously increasing the level and speed at which innovative products and services are available to GM customers,” according to Mott.

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Topics: Industry Observations, General Motors

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