Wednesday, December 13, 2006

Supervalu comes shopping for IT professionals

Times News Network

Bangalore: Following the likes of Tesco and Target, the $44-billion, US-based grocery retail and pharmacy giant Supervalu is opening a centre in Bangalore to provide IT functions for its US operations.

Supervalu Services India (SSI) is planning to hire 300 people over the next 12-18 months. The investment it has planned is $50 million over the next five years. This is the first time that this retail giant has come out of the US for its IT operations. It has three such centres in the US, employing 1,800 people. Every year, the company spends close to $500 million on IT, operations and support.

Supervalu is a Fortune 50 company with a store network across 2,500 locations, along with in-store pharmacy in 900 locations in the US. Grocery retail and pharmacy services contribute 80% of its revenues, while the rest comes from its supply chain services. It employs 2 lakh people.

According to Paul Singer, chief information officer of Supervalu and chairman of SSI, the Bangalore centre would complement teams in the US in developing IT applications on Java and other emerging technologies. It will specifically help in application development, technical operations, quality assurance and testing to support overall corporate IT functions including the company's retail and supply chain operations.

"In the long term, we are even looking at work on business intelligence (BI) in the retail space to be done from here. The Bangalore facility will also look at providing technical support to over 3,000 grocery stores who are our customers,'' said Singer.

Singer visited India about three years ago as part of retail major Target, where he was looking at hiring 200 people for that company's IT outfit in Bangalore.

However, he managed to convince his Board to hire some 2,000 people. Little wonder then that Supervalu has chosen him to roll out its operations in Bangalore.

Supervalu is already working with top Indian vendors like TCS, Wipro, Satyam and Infosys, and this relationship is expected to continue. "We have over 400 projects for the next year. We will look at how to distribute this between our partners and us,'' added Singer.

  • Supervalu Services India (SSI) is planning to hire 300 people over the next 12-18 months
  • An amount of $50 million will be invested over the next five years
  • Supervalu is a Fortune 50 company with a store network across 2,500 locations, along with in-store pharmacy in 900 locations in the US

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