Government grants EDS $1.5m

The government has granted US IT services giant EDS $1.5 million to establish an applications support and development centre in this country.

The government has granted US IT services giant EDS $1.5 million to establish an applications support and development centre in this country.

The money is coming from Industry New Zealand, and will be added to "more than $15 million" of EDS's that will be sunk into the facility, says EDS New Zealand head Rick Ellis.

The $US22 billion company will have to meet a target of providing 200 jobs within three years to avoid having to repay the grant.

The centre is being set up under EDS’s Best Shore plan, which chooses appropriate countries to provide a worldwide, 24 x 7, support and development network, with particular attention for “business process outsourcing solutions”.

Applications are likely to include customer relationship management (CRM), financial process management, administrative process management “enterprise shared services, such as human resources, financial and accounting” and procurement.

It will not just be a "call centre", says Economic Development Minister Jim Anderton.

“The government has been approached a number of times to contribute to establishing call centres for overseas companies, but that’s a race to the bottom [towards employing lower-paid labour than competing nations] and we’re not interested,” Anderton says.

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