Rheinmetall and IBM Extend Scope of Services Agreement

Rheinmetall and IBM Extend Scope of Services Agreement

Rheinmetall AG, Düsseldorf, and IBM are extending the scope of their existing IT Services agreement to include Business Transformation Outsourcing Services. The revised contract will take effect immediately and the transition is scheduled for successful conclusion by December 31, 2006. The new EUR 13 million, seven-year contract covers the outsourcing of payroll accounting for Rheinmetall Defence and services in connection with occupational pensions for Rheinmetall Group.

These services will be provided by IBM Mittelstand Systeme GmbH (IMS), a wholly-owned subsidiary of IBM Central Holding GmbH. In addition to the services themselves, IMS will provide all the data processing and communications systems that are required.

IMS will take over payroll accounting for the executive bodies and employees of nine Rheinmetall Defence companies. Services provided will include personnel master data and personnel timesheet management, payroll accounting, system customizing, evaluation and interface management for occupational pensions and part-time working for older employees. IMS will provide occupational pension services to a total of 28 companies of Rheinmetall Group for all active contributing employees, company pensioners and past employees with pension entitlements.

Read the complete Press Release