CGI and Kesko enter strategic partnership to accelerate digital transformation
Rhea-AI Summary
CGI (NYSE: GIB) has entered into a strategic partnership with retail services company Kesko to accelerate digital transformation. The comprehensive agreement encompasses IT services including end-user services, capacity and cloud services, and integrations. CGI will also support K Group's retail network in digital development initiatives.
The partnership focuses on leveraging automation and AI-based solutions to enhance business renewal and productivity. Kesko selected CGI through a competitive bidding process, citing the company's international expertise and local presence as key factors. The collaboration model includes shared goals, risks, and joint metrics for achieving strategic objectives.
Positive
- Strategic partnership with major retail company Kesko strengthens CGI's market position
- Comprehensive service agreement covering multiple IT service areas
- Partnership includes shared goals and metrics, indicating long-term commitment
Negative
- None.
Insights
CGI secures strategic partnership with Kesko to provide comprehensive IT services and digital transformation support, strengthening its position in the retail sector.
CGI has secured a strategic partnership with Kesko, a significant retail services company, to accelerate digital transformation across Kesko's operations. This comprehensive agreement encompasses end-user services, capacity and cloud services, integrations, and broader digital development support for Kesko's K Group retail network.
The partnership appears to be substantial in scope, with Kesko specifically selecting CGI through a competitive bidding process. Kesko's stated goal is to become a forerunner in digital services within the retail sector, with particular emphasis on automation and AI-based solutions to renew their business operations and improve productivity.
What makes this partnership noteworthy is its strategic nature – it's not merely a vendor relationship but a collaborative model where CGI will participate directly in Kesko's business development. The partnership includes joint metrics and investments, indicating a performance-based relationship structure where both companies share goals and risks.
For CGI, this deal leverages its core strengths in retail digital transformation while expanding its footprint in the Nordic market. The agreement aligns with CGI's broader strategy of helping retail organizations implement AI and data-driven approaches to enhance profitability through improved customer experiences, supply chain optimization, and streamlined operations.
While the press release doesn't disclose financial terms, strategic partnerships of this nature typically represent substantial long-term value, especially when they include multiple service areas and joint development initiatives as described here.
Stock Market Symbols
GIB.A (TSX)
GIB (NYSE)
www.cgi.com/newsroom
CGI to leverage global retail expertise to deliver tangible outcomes for Kesko
"K Group's goal is to be a forerunner in digital services within the retail sector. In the competitive bidding process, our aim was to find a partner with the best capability to support our business growth and development by leveraging the newest technologies efficiently. The development of automation and AI-based solutions plays a significant role in renewing our business and improving productivity. CGI's strong international expertise combined with local presence convinced us of the company's ability to support us in achieving our objectives," says Arto Hiltunen, CIO at Kesko.
"The current trend in the IT sector is that forerunner companies like Kesko are now building strategic collaboration models in which partners participate closely in business development and growth as shared goals and risks. We thank Kesko for the trust in forming a genuine and deep partnership, where the achievement of strategic goals is guided by joint metrics and investments," says Leena-Mari Lähteenmaa, President, CGI Finland,
CGI helps retail, consumer and services organizations leverage AI and data-driven strategies to boost profitability by delivering friction-free omnichannel customer experiences, enhancing supply chain agility, streamlining store operations, advancing sustainable transformation, and optimizing IT investments. Read more: cgi.com/en/retail-consumer-services
About CGI
Founded in 1976, CGI is among the largest independent IT and business consulting services firms in the world. With 93,000 consultants and professionals across the globe, CGI delivers an end-to-end portfolio of capabilities, from strategic IT and business consulting to systems integration, managed IT and business process services and intellectual property solutions. CGI works with clients through a local relationship model complemented by a global delivery network that helps clients digitally transform their organizations and accelerate results. CGI Fiscal 2024 reported revenue is CA
View original content:https://www.prnewswire.com/news-releases/cgi-and-kesko-enter-strategic-partnership-to-accelerate-digital-transformation-302533648.html
SOURCE CGI Inc.
FAQ
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