Case Name :      CGI Group Inc.

Authors :           Roderick E. White, Ken Mark

Source :             Ivey Publishing

Case ID :            905M21

Discipline :        General Management

Case Length :    16 pages

Solution Sample availability : YES

Plagiarism : NO (100% Original work)

The president and chief operating officer of Montreal-based CGI Group Inc., the largest information technology services firm in Canada and among the largest in North America, is looking to comment on a U.S. team member’s new business opportunity. The general manager of CGI’s Oklahoma City office and his team are developing plans to introduce an inventory audit service, which would fall with in a broad category of business process outsourcing services, targeted at CGI’s retailing clients in the United States and Canada. CGI prides itself on its close relationships with its clients and the leeway it allows its managers to develop and launch new ideas. Although CGI has a strategic goal to increase business process outsourcing revenues and the inventory audit idea sounds promising the president is concerned that focusing on too many business process outsourcing markets would be distracting. CGI had already made substantial investments to develop a BPO offering for the insurance industry and it was also looking at the telecommunications industry. Where would an inventory audit service fit in? And if the president did not feel that launching this service was warranted, how could he inform the Oklahoma team without dampening their enthusiasm for new ideas?