Wednesday, February 12, 2014

DNA: Takaful Malaysia says yes to inhousing, no to outsourcing

AFTER outsourcing its information technology (IT) infrastructure for about five years, Syarikat Takaful Malaysia Bhd, the oldest takaful or Islamic insurance operator in the country, has decided to bring it back inhouse, reports Digital News Asia (DNA).

The company, which is 61% owned by BIMB Holdings Bhd, announced that it has adopted Microsoft System Center 2012 to manage its IT infrastructure and end-user computing.

It said that the decision to go inhouse has shown immediate benefits, and it has been experiencing a 40% improvement in response time and 27% in cost reduction.

“In our business, IT is what differentiates us from our competitors. We are on a constant lookout to improve our IT infrastructure to better support our employees in their job,” chief information officer Patrick Wong said at a media briefing in Kuala Lumpur on Feb 11.

While the general assumption is that outsourcing a company’s non-core functions would produce better cost savings, this was not the case for Takaful Malaysia, he said.
Read full report here.