M&G Prudential, the UK and European savings and investments business of Prudential plc, announces a new agreement with Tata Consultancy Services (TCS), a global leader in IT, business process and digital services, to digitally transform their business and deliver enhanced service for its UK savings and retirement customers.
The value of this agreement exceeds £500million ($690 million USD) over 10 years and covers the support of over 4 million customer policies.
John Foley, Chief Executive of M&G Prudential, said: “Strategic partnerships are an important part of our five-year plan to improve customer outcomes through the £250 million capital investment our shareholders are making in the business.
“This partnership with TCS is an essential element of our strategy to create a digitally-enabled business. Our customers will receive a better service - day in, day out - as a result and our colleagues will be better equipped to provide that service.”
Mr Foley adds that TCS emerged as the clear leader in a full market review undertaken by M&G Prudential. “Given its scale, its digital expertise and proven experience in the administration of savings and investments, TCS is the best choice.”
The administration of over 4 million life and pensions contracts will move from Prudential’s incumbent business partner to TCS which is the market leader in UK life and pension administration, having transferred more than 17 million policies to its digital platform, TCS BaNCS.
About 1,100 roles from the incumbent supplier across a number of UK sites are expected to be transferred under the TUPE arrangements to TCS’ FCA-regulated, UK subsidiary. A further 700 roles in India are also expected to move from the incumbent supplier to TCS.
TCS will also assume responsibility for the operation of some of Prudential’s internal IT infrastructure to enable the IT operations function to deliver greater flexibility in the provision of services to the businesses within the Prudential Group. This move will enable Prudential to focus efficiently on its digital transformation. About 180 full-time roles in London, Reading and Craigforth will also transfer under the TUPE arrangements from M&G Prudential to TCS.
Rajesh Gopinathan, CEO and MD, TCS said: “TCS is delighted to be the digital transformation partner for M&G Prudential to enhance service for its UK savings and retirement customers and drive sustainable growth. We will propel this digital transformation through TCS’ continuous investments in digital and technology services. We will also bring the combined strength and capabilities of our deep domain expertise in BFSI and TCS’ strong record of managed policy administration in the UK life & pension industry. In addition, TCS' BaNCS platform will power digitised front, mid and back-office operations which will enable M&G Prudential to become more agile and improve customer experience.”