Deutsche Bank (DB)

The Deutsche Bank CRUSH Report now has a new Technology Business Drivers section! Some examples of their technology business drivers for 2010 are:

• In August 2009, Deutsche Bank AG invested $6.7 million for a technology development center in Cary, N.C. The company is setting up a subsidiary to be called DB Global Technology and is expected to create 319 jobs.
• In 2012, Deutsche Bank and IBM’s 10-year strategic outsourcing agreement will expire. In 2002, Deutsche Bank began outsourcing its computer centers in continental Europe to IBM. The IT infrastructure area that is to be outsourced extends to computer centers and smaller server sites in Belgium, Germany, Italy, Poland, Portugal, Switzerland, Spain and Luxembourg.
• Throughout 2009, the bank has seen an intense IT transformation to meet future business requirements. This has involved increased efforts to enhance IT staff’s non-technical skills. While outsourcing and offshoring currently make financial sense, labor cost arbitrage will come to an end as countries such as India and China advance and salaries increase, so the bank is “playing the long game.” Deutsche Bank’s outsourcing includes large teams working at offshore captive centres in India and Russia, where they manage any local third-party relationships. The bank tends to outsource “predictable” IT and legacy systems.