Outsourcing Finance
In Outsourcing Finance, For CompaniesAbout BMS Finance in relation to outsourcing finance
Since the early 1990s, corporate IT systems have become increasingly complex as the automation of manual tasks has grown. As a result, companies are increasingly dependent on their IT systems in order to operate. During this period IT expenditure in the UK has steadily increased year on year. This is against a backdrop of a significant fall in computer hardware costs. It is therefore not surprising to learn that the growth in expenditure has been driven, not by hardware costs but, by the rising cost and complexity of developing, implementing and managing software.
This poses two key challenges for companies:
1. How best to manage and maintain complex IT infrastructure
2. How best to fund IT infrastructure, when traditional funding models, such as leasing, do not work for service or software expenditure
Many companies have turned to outsourcing as a solution to these challenges. BMS Finance arranges outsourcing solutions for business-critical IT infrastructure and systems. Ownership and management of the systems is taken over and clients continue to access these systems via fixed price contractual arrangements. The key benefit to the client is the ability to retain their employees and operations in-house, affording them greater control over their own business and ultimately allowing them to manage the changing scale of their activities.
The following outsourcing skills and services are provided:
• Management of software licensing, ensuring ongoing compliance, and controlling related expenses;
• Maintenance of the system, in particular securing the best terms with software providers by aggregating demand;
• Insurance of the system, again aggregating demand and utilising specialist knowledge of insurance rates for IT equipment to minimise cost; and
• Provision of capital to fund upgrades of the system as needed, within pre-agreed contractual parameters.
Our clients
Generally, BMS Finance focuses on the mid-sized UK corporate market. Nonetheless, BMS Finance also works with public sector organisations, together with a partner who can provide other services in addition to the core IT system.
Approach
Outsourcing arrangements are structured such that Sunstone Outsourcing owns the licenses and provides services to clients using the underlying software (Licensors willingly grant consent for this to take place).
Systems covered include those used for accounting, supply chain management, EPOS, key processing systems by industry, in some cases CRM, and databases.
Sources of funds
BMS Finance has an exclusive relationship with Sunstone Outsourcing LLP, the entity through which outsourcing solutions are arranged.
Skills
BMS Finance’s specialist knowledge and close, well-established relationships with suppliers ensures clients receive superior service and thus gain peace of mind. They no longer need to remain involved with systems maintenance and can ensure certainty of cost for the lifetime of the system.