Vendor Analysis
published on Nov 30, 2016
Report Overview:
This NelsonHall vendor assessment analyzes Xerox's offerings and capabilities in CMS in Retail Banking.
Who is this Report for:
NelsonHall’s CMS in retail banking industry sector profile on Xerox is a comprehensive assessment of Xerox’s retail banking sector customer management services (CMS) offerings and capabilities, designed for:
- Sourcing managers monitoring the capabilities of existing suppliers of CMS to serve the retail banking sector and identifying vendor suitability for CMS RFPs
- Vendor marketing, sales and business managers looking to benchmark themselves against their peers
- Financial analysts and investors specializing in the support services sector.
Scope of this Report:
The report provides a comprehensive and objective analysis of Xerox’s retail banking offerings, capabilities, and market and financial strength, including:
- Identification of the company’s strategy, emphasis and new developments
- Analysis of the company’s strengths, weaknesses and outlook
- Revenue estimates
- Analysis of the profile of the company’s CMS retail banking customer base, including the company’s targeting strategy and examples of current contracts
- Analysis of the company’s retail banking sector CMS offerings and key service components
- Analysis of the company’s delivery organization including the geography of delivery locations used for CMS retail banking sector clients.
Key Findings & Highlights:
Xerox Services is part of Xerox Corporation, a U.S. public company with annual revenues of $18bn, headquartered in Norwalk, Connecticut. Xerox was established in 1906 and has over 130k employees in more than 180 countries. It formed its customer management services (CMS) business in February 2010, through the $6.4bn acquisition of affiliated Computer Services, Inc. (ACS), a Dallas, Texas based company. ACS was a BPO provider with annual revenues of $6.5bn and ~74k employees in ~100 countries at the time. It was founded in 1988 and went public in 1994; 93% of its revenues were generated from U.S. clients in key industries such as government, transportation, and healthcare. The acquisition brought a higher margin business for Xerox (Xerox Group had a 7.4% margin and ACS had 10.5% in 2009), a larger employee base (Xerox had ~54k employees in 2010), and new outsourcing capabilities in HR, F&A, customer care, Medicaid and pharmacy benefits management (PBM). At the time of the acquisition, ACS had ~32k customer care agents.
In January 2016, Xerox announced a split into two public companies, one holding its document technology and the other its business process services business (BPS). The BPS company will be named Conduent Incorporated and will have more than 100k employees, generating revenues of ~$7bn.
Today, Xerox Services’ CMS operations have ~54k FTEs in 160 contact centers in 26 countries, supporting 30 languages. Xerox Services has ~350 CMS clients.
Xerox has been supporting retail banking clients for 25 years, its experience in supporting retail banks originating from transaction processing. In 2010, Xerox Services began providing CMS support to retail banking organizations.