DXC Technology

 

DXC Technology is a large global information technology (IT) services and consulting company that helps companies to transform their business operations, exploit the digital world, and enhance their business performance. DXC Technology is a corporation with its headquarters in Ashburn, Virginia, the USA, providing end-to-end IT solutions, including cloud computing, analytics, cybersecurity, application development and enterprise management. DXC has evolved to become one of the largest providers of IT services in the world, serving thousands of clients in 70+ countries because it was formed in 2017 as a result of the merger between Computer Sciences Corporation (CSC) and the Enterprise Services segment of Hewlett Packard Enterprise (HPE).

The mission statement of DXC is to deliver superiority to our clients and workmates to create value to our shareholders. The company specializes in helping organizations to cope with the digital transformation process by integrating new technologies in the business processes.

History and Formation
Origins

Hewlett Packard Enterprise (HPE) On April 3, 2017, this company and Computer Sciences Corporation (CSC) combined to form DXC Technology, with the Enterprise Services business of the former company remaining. The companies both enjoyed a good background and decades of experience in IT services.

Computer Sciences Corporation (CSC) was founded in 1959 in Los Angeles, California by Roy Nutt and Fletcher Jones. CSC was one of the earliest IT services organizations and it began with the programming tools and then had gone to the consulting, outsourcing and system integration.
Hewlett Packard enterprise services, formerly Electronic Data Systems (EDS) was a company founded in 1962 by Ross Perot and was later to be acquired by Hewlett-Packard in the year 2008. EDS was the first to enter the business process outsourcing and massive IT management.

The formation of DXC Technology was immediate when these two giants merged to become one of the most successful global IT service companies with a revenue of over 25 billion at the time of its formation.

Corporate Overview
Coverage and Headquarters around the world.

DXC Technology head office is located in Ashburn, Virginia in USA. The company has its headquarters in more than 70 countries and it has more than 130,000 professionals working all over the world. It has operations in North America, Europe, Asia-Pacific and Latin America. DXC has a global presence that allows it to focus its clients in different sectors such as healthcare and banking among government and manufacturing.

Leadership

DXC Technology is a company that has Mike Salvino as its President and Chief Executive officer in recent years. After a few years of restructuring, DXC has been eager with his leadership on the financial stabilization, customer satisfaction and operational excellence.

The executive leaders are also in control of finance, human resource, marketing, technology and service delivery. The leadership targets empowering the culture, customer relations and the innovation strategy of DXC.

Vision, Core Values and Mission.

Its vision is to be the most reliable, trusted, and secure IT services company in the global world – a company that offers innovative solutions to its customers to still survive in a digital world.

Mission Statement:
To offer quality services to our customers and to our colleagues and value to our shareholders.

Core Values:

Bring the best – Provide quality services that will result in customer success.
Be sincere – be open, moral and faithful in everything.
People Care – Respect, Diversity and Inclusion Empowerment of employees.
Teamwork and Innovation – Working with teams in order to be innovative.
Focus on Customers – Customer satisfaction and customer loyalty through quantifiable results.
Business Segments and Services.

 

 

DXC Technology is divided into two business segments:

Global Business Services (GBS).

The purpose of this division is to offer digital change and technology modernization to the customers. It includes:

Analytics and Engineering: In its early stages, provides data analytics, AI and software engineering with an innovative and performance offer.
Applications: Offers enterprise application services to include ERP modernization, SAP, Oracle, Microsoft and custom software development.
Business Process Services (BPS): Automates business processes, applies AI and optimization of business processes to improve efficiency.
Global Infrastructure Services (GIS).

GIS is also geared towards sustaining and modernizing the IT infrastructure of the clients hence ensuring scalability and reliability. It includes:

Cloud and Security: Multi-cloud and hybrid migration and the attainment of cybersecurity and compliance.
IT Outsourcing (ITO): Data centers and end-user computing, networks and IT operations.
Modern Workplace: Provides digital workplace tools, which are applied to enhance the productivity of the employees through collaboration and automation.
Key Industries Served

DXC Technology provides specialized solutions to the majority of the industries to which it provides its services to align with the needs of a particular market.

Banking and Financial Services.

DXC also helps banks to upgrade their old systems, improve their cybersecurity, and transition to cloud systems. Some of the potential solutions are fraud detection, regulatory compliance, and digital payments.

Healthcare and Life Sciences.

The business offers hospital IT solutions, insurance company IT solutions and pharmaceutical company IT solutions. Some of the services include electronic health records (EHR), patient data analytics, and telehealth solutions.

Manufacturing

DXC helps in intelligent production, IoT, supply chain, and predictive maintenance of industrial workflow.

Public Government and Sector.

DXC provides digital government, data management, and security to the world government organizations.

Insurance

Having a background of operation within the insurance industry, DXC offers policy administration solutions, claims management solutions, as well as analytics-based solutions.

Travel, Transportation and Hospitality.

The company offers services to airlines, logistics and hotel chains regarding the reservation systems, predictive analytics, optimization of the customer experience.

Retail and Consumer Goods

DXC helps retailers get more efficiency in their supply chain, customer analytics, and digital commerce solutions in the omnichannel.

Digital Change and Innovation.

DXC Technology is on the forefront of transformation efforts in the world towards digital transformation. The company deploys a combination of conventional IT and new digital strengths to help its customers to move successfully to the current platforms.

Cloud Transformation

DXC provides safe, scalable and affordable cloud migration solutions in association with big cloud players, such as Microsoft Azure, Amazon Web Services (AWS), and Google Cloud. Its Cloud Righttm strategy will ensure optimal cloud strategy and implementation.

 

 

Machine Learning and Artificial Intelligence.

Some of the areas where the company applies AI and ML are automation, predictive maintenance, fraud detection, and enhancing the customer experience.

The analytics based on AI helps the clients make the data-driven decision.

Cybersecurity

DXC owns state-of-art Security Operations Centers (SOCs) distributed around the world, that provide 24/7 threat detection, assessment of risks and management of incidents. Its security framework helps organizations to be up to date with the regulatory requirements.

Internet of Things (IoT)

The DXC IoT solutions are integrated with sensors, analytics, and connectivity to help industries, and the manufacturing and logistics segment of the industry streamline its performance and reduce downtime.

Blockchain

DXC views blockchain as a form of secure transactions, supply chain oversight, and digital identity management, which will enable business to attain transparency and earn trust in their business activities.

Data Analytics

DXC provides big data services to organisations via its analytics and engineering unit which helps an enterprise to use both structured and unstructured data to derive useful insights.

Partnerships and Alliances

DXC has strategic partners with other technology giants in the world to expand its services. Key alliances include:

Dynamics 365 and Microsoft Azure.
Amazon Web Services (AWS)
Google Cloud Platform
ServiceNow
SAP
Oracle
Dell Technologies
VMware

These partnerships will assist DXC to offer holistic and advanced solutions to satisfy the customers.

Corporate Social Responsibility (CSR).

DXC Technology is confident in the ethical business practices, sustainability and community involvement. Its CSR initiatives focus on:

Environmental Sustainability: Green IT will minimize the carbon emissions, energy and e-wastes.
Diversity and Inclusion: Improving gender representation and multicultural collaboration among the employees.
Employee Well-being: Work and mental health flexibility, learning opportunities.
Community Engagement: Preferring the community education, digital literacy, and social welfare programs.
Financial Performance

When it was started in 2017, DXC Technology had a revenue of over 25 billion dollars. However, the next few years were characterized by some challenges to the company due to re-organization, divestitures, and market dynamics. The current management of DXC has done much to stabilize the revenue, raise the margins and regain investor confidence under the leadership of Mike Salvino.

Revenue Overview
2021: Approx. $17.7 billion
2022: Approx. $16.3 billion
2023: Approx. $14.4 billion
2024 (estimated): Near $13 billion

 

 

DXC has been found to be more concentrated towards the more profitable, digital services and strategic growth areas, which has resulted in a slight decline in revenues due to divestitures and portfolio optimization.

Profitability

This is due to the cost reduction, operation optimization and non-core business liquidation efforts that have led to a rise in operating margins and more stable cash flow base at DXC.

Stock Market Performance

DXC is publicly traded in the New York Stock Exchange (NYSE) under a stock ticker of DXC. The business is continuing to attract the investors in the digital transformation and the IT modernization markets.

Competitors

DXC Technology has competitors in the world in terms of IT service providers and consulting firms. Major competitors include:

Accenture
IBM Consulting
Cognizant Technology Solutions.
Tata consultancy services (TCS).
Infosys
HCL Technologies
Capgemini
Wipro
Tech Mahindra
NTT Data

However, DXC has the ability to shine amidst the stiff competition by having a long history of modernising infrastructures, hybrid cloud, and mass digital transformation.

The Strategy and Strategy Response.

DXC and most other global IT firms are facing issues such as:

Retention of Talent: Vigorous competition among professional IT talent.
Economic Uncertainty: The dynamic economic environments in the world that affect client spending.
Legacy Systems: The department has to do with the migration of old IT infrastructure to new infrastructure.
Competition in the market: Engineering that is continuously innovative to stay in the digital transformation frontline.

 

 

DXC has been in a position to cope with such challenges through adopting measures such as:

Improving the connection with the client through the improved quality of delivery.
Investing in the development of the skills of the employees.
Building more relations with cloud and technology providers.
Streamlining internal operations and making them cheaper.
Differentiation of the digital products and customer satisfaction indicators.
Recent Developments
DXC Modernization Process: DXC has been in the process of modernizing its internal operations, automating and implementing AI to enhance efficiency.
Strategic Partnerships: The company improved its relationship with Microsoft and AWS to expand its cloud and AI services.
Workforce transformation: DXC had implemented global workforce efforts to increase employee engagement and retention.
Divestitures: The company sold non-core businesses to have strategic growth areas such as cloud and analytics.
Sustainability Goals: DXC has the aim of achieving net-zero emissions and the expansion of its green IT initiatives.
Corporate Culture and Workforce.

DXC Technology believes in the culture of People First that is directed to employee engagement, diversity, and development. The company promotes:

Remote and Hybrid Work Flexible Work Models.
Current Research through upskilling and certification.
Team Leadership that embraces diversity.
Recognition Programs that reward the performance of the employees.

The DXC employees are highly qualified software engineers, data scientists, cybersecurity specialists, experts in cloud architecture, and consultants.

Future Outlook

DXC Technology has a promising future because the firm continues to adapt to the digital world. The key expansion plans of the company are:

Digital Transformation Leadership: Becoming one of the most popular business partners to enterprises that adopt cloud, artificial intelligence, and analytics.
Green IT and sustainability: The investment into green technologies.
Customer-Centric Model: This will enhance the relationship with the clients over the long-term and the number of services that are handled.
Expansion of AI and Automation: Utilizing artificial intelligence, IT operations can be automated to be more productive.
Strategic Acquisitions: Niche acquisitions to increase the mastery of new technology.

With the world still in the pursuit of modernization, cybersecurity and information-based change, DXC will remain an invaluable participant in the IT services sector.

Conclusion

DXC Technology is one of the stakeholders of the digital transformation environment. Due to the merger of two industry giants CSC and the Enterprise Services of HPE, it has received a global presence and a service portfolio that is diversified to help businesses to become contemporary and compete favorably in the digital world. DXC has managed to change consistently amidst the issues of competition in the market, pressure to restructure, and its orientation has been on innovation, cloud transformation, and customer excellence.

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