GM pushes IT insourcing strategy with two new data centers

  • 14-May-2013 10:02 EDT

The IT Operations and Command Center within the new Warren IT facility has 48 work stations and a 955-ft² (89-m²) video wall composed of 28 configurable screens that monitor data use across the company's global operations.

General Motors on May 13 celebrated the grand opening of a new “enterprise data center” at its Warren, MI, technical center, and announced that construction will begin this summer on a companion facility at the company’s Milford (MI) Proving Ground. The two facilities represent a $258 million total investment. They are key to GM's strategy to insource 90% of global IT operations, including software development, programmer training, and network security, primarily related to its product development, supply chain management, manufacturing, and quality-related IT activities. The strategy includes consolidating GM's previous network of 23 data centers into these, plus facilities in Austin, TX, Chandler, AZ, and Roswell, GA. "You have to own IT and you have to control it and when you don't, you're at the whim of other companies, their priorities—and if they have financial problems, their difficulities," said GM Chairman and CEO Dan Akerson during the Warren opening. GM plans to hire about 9000 IT workers globally over three to five years. The Warren center will employ nearly 1400 by the end of 2013. According to IT training manager Dennis Popiel, 35% of new hires will come directly from colleges. GM recently hired 2500 former Hewlett-Packard contract IT employees as part of the ongoing IT restructuring.

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