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DXC Technology - UX-UI Services

Vendor Analysis

by NelsonHall Analyst

published on Sep 13, 2018

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Report Overview:

This NelsonHall vendor assessment analyzes DXC Technology's offerings and capabilities in UX-UI Services.

Who is this Report for:

NelsonHall’s UX-UI Consulting and Implementation Services Vendor Assessment for DXC Technology is a comprehensive assessment of DXC’s UX-UI consulting and implementation services offerings and capabilities designed for:

  • Sourcing managers monitoring the capabilities of existing suppliers of IT services and identifying vendor suitability for UX-UI services
  • Vendor marketing, sales and business managers looking to benchmark themselves against their peers
  • Financial analysts and investors specializing in UX-UI services sector.

Scope of this Report:

The report provides a comprehensive and objective analysis of DXC’s UX-UI service offerings, capabilities and market and financial strength, including:

  • Analysis of the company’s offerings and key service components
  • Revenue estimates
  • Identification of the company’s strategy, emphasis and new developments
  • Analysis of the profile of the company’s customer base and examples of current contracts
  • Analysis of the company’s strengths and weaknesses.

Key Findings & Highlights:

In May 2016, Tysons, Virginia based CSC announced that it was acquiring the Enterprise Services (ES) division of HPE. As of April 1, 2017, when the merger was completed, CSC and HPE Enterprise Services re-branded as DXC Technology (DXC). DXC Technology operates 31 strategic delivery centers and 91 data centers in ~70 countries, servicing ~6k clients. 55% of its labor force operates in low-cost geographies in 21 global delivery centers. Of CSC and HPE’s top 200 accounts, there was a less than 15% overlap in the revenue streams.

The UX-UI capabilities of each firm were also integrated post-merger. This included the consolidation of U.S. and India based capabilities into a single global entity.

Given DXC's legacy in supporting the internal technology landscape for clients, its UX-UI work has historically been an extension of this scope: internal systems. It has been expanding this scope to support the growing digital transformation practice and is increasingly engaging in external, customer-facing engagements.

To aid this growth, it is working internally with DXC to arm sales teams with an understanding of its UX-UI capabilities. This includes bringing these employees to its New Orleans Digital Transformation Center, opened in May 2018, to train them on DXC's design thinking capabilities and design thinking workshop facilitation offerings.

NelsonHall estimates DXC's CY 2017 pro forma revenues to be ~$24.3bn. NelsonHall estimates that UX-UI design and development services accounted for ~$41.9m in CY 2017 revenues.

DXC has developed a number of offerings that incorporate its experience design capabilities including:

  • Mobility application development
  • Disruptive innovation
  • Digital product strategy
  • Application development
  • Customer experience
  • Service strategy
  • Digital workplace
  • Digital transformation.

DXC has ~150 UX-dedicated design employees globally. ~15 of these are located throughout the U.S. The remainder are located at delivery centers globally.

Additionally, NelsonHall estimates that ~300 front-end developers support this UX design team. These employees are primarily located in remote delivery centers including India, Vietnam and the Philippines.

DXC possesses a broad client base that it can target its UX-UI design and development services toward. With its primary experience and relationships focused on internal IT, these relationships provide it an opportunity to expand into business and customer-facing engagements while using its understanding of the client application landscape to ensure designs are technically feasible. DXC's internal-focused UX-UI design experience also provides a differentiated capability from competitors that have primarily focused on customer and external facing engagements.

To ensure its UX-UI design and development methodology meet client need, DXC has designed a flexible approach in both its VisEdge workshops and digital experience diagnostic, that adjusts the overall delivery model based on the breadth of objectives that client is seeking to address and the timeframes available.  

To continue to grow these services, DXC should look to grow its client-proximate workforce and design studio network to enable greater face to face interaction with clients in addition to its focus on building targeted industry solutions. 

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