GM's sales gains in October are due mostly to product launches such as the new Chevrolet Equinox crossover, the Cadillac CTS sports wagon and the Buick LaCrosse sedan, Edmunds says.
DETROIT -- General Motors said today that it will hire 500 information-technology workers to staff a new center in Austin, Texas, an early step in GM’s plan to build out its own global IT infrastructure.
GM is embarking on a major overhaul of its global IT system, 90 percent of which now is outsourced to large vendors such as Hewlett-Packard Co. GM wants to reverse that ratio by having 90 percent of its IT work done internally within five years, a transition that will result in the hiring of thousands of employees.
The Austin location is the first of what likely will be four “innovation centers,” where employees will “drive breakthrough ideas into GM vehicles and business processes globally,” GM said in a statement. It is hiring software developers, business analysts and other IT workers.
GM’s chief information officer, Randy Mott, was hired this year to lead the overall. He oversaw similar so-called in-sourcing efforts as the CIO at H-P and Wal-Mart Stores Inc.
“We are really trying to drive the innovation and development capability of IT inside GM,” Mott told reporters today during a conference call to announce the Austin center.
Mott has said he believes the transformation will improve efficiency and generate better ideas and innovation than GM now gets from having vendors handle its IT system.
GM is “trying to really grow what we’re able to deliver in terms of IT systems, processes, capabilities and applications that support our business and the overall transformation that’s happening within GM,” Mott said.
Mott didn’t specify the type of work that will be done in Austin or the other centers.
Asked whether GM might hire as many as 10,000 IT employees as part of the five-year overhaul, Mott said it would be “in that range, but less than that.”
GM now employs about 1,500 IT workers.
The company also plans to consolidate 23 data centers that it and its vendors operate worldwide to just two.