Swimming against the prevailing trend to outsource IT operations, General Motors has announced it will repatriate 10,000 IT jobs.
It's a significant announcement on several counts. First, there's the sheer number of jobs being brought back in house. CIO Randy Mott (formerly of HP, Dell and Wal-Mart) wants the majority of the automakers IT work to be done by internal employees within three years.
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There's also the volume of outsourcing GM
has traditionally done, reportedly signing $7 billion in outsourcing contracts in 2006.
Then there's the curious triangle involving GM, Mott's former employer HP, and Electronic Data Systems. EDS
, created in 1962, was bought by GM in 1984 for $2.5 billion. In 1996, GM spun off EDS as an independent company and became one of its largest clients.
Hewlett-Packard bought EDS in 2008 to strengthen its consulting services presence.
Mott was hired by GM in February.