CA has set up a global professional services organisation to improve its top line growth and generate pull-through product sales.
The move comes in the wake of the software company's failed takeover bid for Computer Sciences. But the aim is to make the unit a $1 billion business within the next year through worldwide acquisitions.
Chris Wagner, CA executive VP of worldwide professional services, said: 'We're changing strategically. For 22 years, we've been a product-based company, but we now see services as a revenue opportunity.'
He added: 'Our Unicenter business is worth between $1.6 billion and $1.7 billion, but companies spend $2 on services for every $1 they spend on product. That gives us an opportunity of between $3.5 billion and $4 billion.'
Sanjay Kumar, CA chief operating officer, said: 'This is a short-term industry. Too many companies are concentrating on the bottom line, but they need to focus on the top line to be successful.'
The company's existing service organisation generated $200 million in revenue last year and is currently staffed by 600 people. The goal is to increase this to 1,000 staff over the next year via acquisition.
It will offer implementation, training and outsourcing services in sectors like corporate infrastructure management, application development, integration and year 2000, to existing CA accounts and new customers.
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