One more DTAG/EDS Update

EDS interviews with DTAG employees will begin shortly. There is a severance package for those not picked up by EDS for one reason or another. The final transition should occur on October 1st.

Best of luck to everyone involved.

Dollar/Thrifty will outsource IT to EDS

DTAG (Dollar/Thrifty Automotive Group) has made the announcement to it's IT staff that it will be outsourcing to EDS. This has been in the works for many months now, but I guess is now official. If I get more specific information , I will post it.
One thinks that a good portion of the IT staff will get a position with EDS so the outsourcing can be as seamless as possible. However, a good portion of DTAG's IT staff has moved on, and it would seem that EDS's model is to move work to the cheapest location. The association with MphasiS in India would seem to indicate this:

EDS-India has 3,000 employees, and MphasiS has 11,000 (as well as another 1,000 outside India). Both companies have also made aggressive hiring plans for this year, and expect to field a total workforce of 20,000 by the end of 2006. By that time, EDS and MphasiS expect to have finalized the integration of their workforces.

The full article here: http://www.line56.com/articles/default.asp?ArticleID=7794
The point is, ultimately, this is high tech jobs leaving the city, and eventually off-shored.

Alot has been written about the pro's and con's about outsourcing. Especially trying to outsource the technical part of your business. An article about 'The Truth about Global Outsourcing' states:

At least 50 percent of outsourcing deals "fail" (don't return the results
promised to customers) and 80 percent don't produce any savings at all, according to the Gartner Group, an industry analyst.

And...

Too many outsourcing deals suffer "death by change order." Here's what happens: Outsourcing firms don't always do their homework up front in regard to understanding their clients' processes. Thus they underestimate the amount of work it will take to meet their promises. Often this is an honest mistake, but other times outsourcers may underquote on purpose, just to get the business. Then, then they get further into the contract, they say in essence: "Circumstances have changed and we're going to need more money." Naturally, customers aren't happy about it, but because they have so much invested in the outsourcer they have little choice but to pony up. When change orders occur several times over the course of the relationship, irreparable damage may occur. Companies lose profits, yes, but they also lose faith in their outsourcing firm . . . and what is supposed to be a fruitful partnership goes sour and possibly even comes to a bitter end.

The entire article is here: http://www.line56.com/articles/default.asp?ArticleID=7479&TopicID=11


The bottom line, here's how it plays on Wall Street:

Lot Splits a Danger to Tulsa Neighborhoods

In a previous post we blogged away about a new possible neighborhood association in the Utica Square, Philbrook area. There have been concerns about the ability to buy older homes in the area that can then be torn down and two, three, or four new homes built on the site. That kind of infill can definetly look out of place in this area, and some of the new construction is not what the neighbors think is a fit. This may have boiled to the point that it will be contested in court:

A home owner and several of his neighbors have filed suit against Pat Fox, Ken Selby and Fox's development firm over an attempt to split a large lot on 29th Street into three separate lots. This lot is zoned RE and backs up to Philbrook. The plaintiffs are attempting to enforce certain restrictive covenants regarding lot size, splits, setbacks, etc., and are also challenging certain zoning practices of INCOG as they relate to lotsplits and building permits. They believe the lot can only legally be split into 2 rather than 3 parts. The issues raised in this case are vital with respect to lotsplits and the influx of "MacMansions" into our beautiful Tulsa neighborhoods. If the defendant's ability to split the lots near Philbrook is upheld in court,--NO NEIGHBORHOOD IS SAFE!

The case is currently being heard in the courtroom of Judge Deborah Shallcross. We'll post the decision when it is made.

A New Look at River Development?

Mr. K is our new best friend.

An article in the Tulsa World on July 23rd gave us a little more insight to the 10 mil grant from the Kaiser foundation.That initial money seems to be for public amenities such as trails, lighting and bridge improvements. That's a start. But when you're paying the bills, you might want to have some say in what the final plan will look like. Introducing Bing Thom.

Mr. Thom is not the kind of guy that you bring in just to place some lighting. For his expertise, and a look at what he did (or designed) for downtown Fort Worth, could it be that he's here to provide a new overall design for the river? We'll see in time.

The INCOG link to the Arkansas River Master Plan:
http://www.incog.org/ark%20river/default.htm

The link to the Tulsa World article:
http://www.tulsaworld.com/NewsStory.asp?ID=060723_Ne_A21_Desig7205

We'll Get Our Iconic Arena

My last post was about foundation money coming for river development. That foundation is the George Kaiser foundation with over $1 billion in assets. To top off the funds necessary to complete the BOK arena, the Kaiser foundation will provide a 'loan' of $10 million. The rest is from 2025 overages (over taxation?).
KOTV reports it like this: http://www.kotv.com/news/?107754

What I had heard was money coming for river development. A $10 million grant has also been made to get that started. At assets of over $1 billion, the foundation should be able to throw off enough every year to fully fund river development over the next several years. Anyone have info about that happening?

A long but interesting read on the Kaiser Foundation at the NCRP (National Committee for Responsive Philanthropy) is here: http://www.ncrp.org/042505.asp

River Development in Spite of Ourselves??

Maybe someone can help clarify what I saw on Channel 24 last night. I was channel surfing and went past 24 when two folks from StepUpTulsa were speaking to our city counselors. They were speaking of their vision for the city. Lots of it was walkable neighborhoods, all citizens hand-in-hand, so on, and so on. But several things that went past my ears included a plan to develop the river. Really! How is this possible? The other bit of information was that when fully up, foundation funding could be putting hundreds of millions of dollars into the enconomy yearly! You who watch Channel 24, did I hear that correctly? We'll look thru their website to see if we can get any further information. Also, funds are going to come from the Tulsa Community Foundation? Looks like I have some homework.


P.S. - If our city comes back to us for taxes to develop the river, we might want to think twice.