IT division targets US$3bil revenue by 2010


  • Business
  • Thursday, 17 May 2007

KUALA LUMPUR: KPMG expects its information technology (IT) advisory division to hit the target of US$3bil in revenue by 2010. 

KPMG Risk Advisory Services Pty Ltd IT advisory global partner in charge Egidio Zarrella said the target might even be achieved within 18 months. 

The IT advisory business has potential for growth as many senior executives are struggling to understand IT.  

“The C-class executives (chief executive officer, chief operating officer, chief financial officer and chief information officer) need someone to advise them on IT,” he told a press conference after KPMG Global IT Advisory Partners Summit 2007 yesterday.  

Last year, the IT advisory division recorded US$1.1bil in revenue. This is expected to reach US$1.7bil this year. 

In a departure from the old consulting model, KPMG is looking at profitable growth and not just chasing revenue. 

“IT is not a cyclical business. We want to manage it well for profitable growth, which means being able to invest back in our infrastructure, people and clients,” Zarrella said. 

A hindrance to such rapid growth is the shortage of partners and staff. Currently, the IT advisory division has 300 partners worldwide and it aims to recruit 100 more.  

Earlier at the summit, Science, Technology and Innovation Minister Datuk Seri Dr Jamaludin Jarjis said organisations had been facing tremendous pressure to retain IT personnel due to huge market demand for qualified information and communication technology (ICT) professionals in the last two years. 

As a result, the concept of outsourcing electronic communication infrastructure started. 

“Organisations have the option of looking beyond geographical borders to streamline and enhance the efficiency of their operations in order to compete more effectively,” he said in his speech.  

Article type: metered
User Type: anonymous web
User Status:
Campaign ID: 1
Cxense type: free
User access status: 3
   

Next In Business News

Bank Negara: Malaysia on track for 6% to 7.5% GDP growth
Bank Negara: Ringgit remains exposed to heightened volatility
FBM KLCI stays negative following 1Q GDP release
Global tech selloff deepens as Chinese Index sinks 30% from high
Economy shows recovery as 1Q GDP shrank slightly at 0.5%
Daily economic losses from MCO 3.0 could be RM300m
SoftBank investing RM250m in Axiata subsidiary
Ringgit eases ahead of 1Q GDP result
Tech and chip makers top losers in early trade
Dayang's revenue visibility grows from Shell contract win

Stories You'll Enjoy


Vouchers