Scandinavian Airlines outsources phones to save £1.8m

Scandinavian Airlines has outsourced its phones to SITA, an airline IT and communications specialist, in a bid to save £1.8m as part of an ongoing systems simplification strategy.


Scandinavian Airlines has outsourced its telecoms in a bid to save £1.8m as part of an ongoing systems simplification strategy.

Scandinavian Airlines (SAS) previously had over 100 separate voice service agreements, which it is now reducing to one with a new agreement for a fully-managed end-to-end voice solution with SITA, an airline IT and communications specialist.

It said the new setup would provide services to 800 users across 23 countries, and the move is part of an ongoing plan to better align technologies with the requirements of operational users.

SAS initially engaged SITA Professional Services to carry out an extensive investigation of existing voice systems for both fixed and mobile services, including the analysis of usage statistics across SAS’s 23 countries, assessing the infrastructure and identifying the carrier's business needs.

Elisabeth Ragna, chief financial officer, said SAS had a complex array of service contracts and systems following “years of evolution and changing operational requirements”.

“With SITA, we reduce the complexity, have greater visibility of our costs and will benefit not only from significant cost savings but also greater flexibility to meet our ever-changing operational needs.”

Large voice service contracts have been in the spotlight recently, after accountancy firm KPMG said last month that it had outsourced its communications infrastructure to BT for £62 million, in a bid to cut costs in the long term.

The month before, pharmaceuticals company AstraZeneca signed a five year, £25 million deal to hand over its network management to BT. And Network Rail swapped Vodafone for O2 as its mobile voice and data provider.

But a survey by the Communications Management Association found that Britain’s leading telecoms managers were deeply frustrated at the quality of service provided by their suppliers.

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