Philips, Dell: One size doesn't fit all

Philips cancelled its managed PC contract with Dell because a 'one-size-fits-all' approach didn't work, the company said.

Even if you're a global company and manage your IT operations centrally, that doesn't necessarily mean a one-size-fits-all approach to managing your desktops is the right strategy.

That's the lesson Koninklijke Philips Electronics NV learned after agreeing with Dell Inc. to end the Dutch electronic giant's Global Workplace Program after a year of development. The deal had originally been signed for 5 years and was valued at $700 million.

After continually reviewing how best to support its end-users, Philips concluded that "a global one-size-fits-all strategy was not the ideal approach in the desktop environment and that it was more suitable to adapt this program more closely to business needs at a regional scope," said Philips spokesman Jayson Otke.

"For Philips, this means that IT activities are something that continue to be managed centrally within our organization, but our learning from this project is that we need to reflect on regional variances in needs when it comes to the desktop environment," he said.

The parties concluded that the program wasn't sure to succeed in its current form and mutually agreed to end it, Otke said.

The deal had called for Dell to manage desktop computers, printers, office networks and applications and to provide technical assistance for 75,000 employees at Philips.

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