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ited kingdom key people pat coen founder len taylor founder philip hughes founder david mann ceo 1987 93 martin read ceo 1993 2007 andy green ceo 2007 serge godin executive chairman george d schindler president and ceo services it business consulting and outsourcing services revenue 3 921 million 2011 1 operating income 54 5 million 2011 1 net income 27 2 million 2011 1 number of employees 21 000 2012 2 parent cgi inc website www cgi com logica plc was a multinational it and management consultancy company headquartered in london and later reading united kingdom founded in 1969 the company had offices in london and in a number of major cities across england wales and scotland as well as in other countries around the world it was responsible for many telecommunications infrastructure projects such as the design of the swift network for international money transfers the euronet packet switching network and the bay area rapid transit in san francisco following the acquisition of cmg in 2002 the company was known as logicacmg from then until 2008 when it changed its name back to logica the company s main business at that point was providing consulting systems integration and it outsourcing in both the public and private sectors logica was acquired by canada based cgi inc in 2012 3 and the logica brand name ceased being used in 2013 history edit origins edit logica was started as a systems integration business in 1969 4 its founders were five people who left scicon an american computer company that had opened a london based uk subsidiary and that had then been bought by bp 4 chief among these were len taylor who took the operational helm and philip hughes who served in the visionary role 5 6 the other founders were pat coen 7 steve feldman 8 and john mcneil 4 another important figure david mann joined the fledgling outfit a few weeks later 8 early projects and expansion edit logica s headquarters were at 64 newman street fourth building on the left in the fitzrovia section of central london here seen in 2017 the new firm s first major contract came in 1970 for a computerized hotel reservation system that would operate on a nationwide basis and was worth 100 000 7 another early project was the control system for the united kingdom s natural gas grid in 1971 5 in its early years the company focused on adapting software to specific customer needs and requirements and advising customers on trends in information technology 9 the company was premised on the idea that there was tremendous promise in communications technology and that an international approach was warranted 5 accordingly logica s first overseas office in the netherlands was opened in 1973 5 the same year that turnover exceeded 1 million for the first time 7 overall logica played a role in putting into use many of the components that later made the internet a large scale success 10 logica had a major success that gave it visibility when it won the design of the swift network for international money transfers in 1972 73 6 7 the company produced a whole new production transmission and management system for the bbc in the late 1970s 11 another involved the first bank cash dispenser in the uk 4 the company s staffing levels were around 200 employees in the early years and their successes at pulling off large scale and difficult projects garnered them a reputation for technical excellence and able management 5 mcneil led the teams that did many of the company s early projects 4 he left logica in 1977 and ended up in a successful career as a novelist and a writer for bbc dramas 4 in 1974 logica together with the french company sesa set up a joint venture sesa logica to undertake the euronet development the project with the support of partners throughout europe and the assistance of bolt beranek and newman in cambridge massachusetts used the packet switching technology of the npl network and arpanet and x 25 protocols to form virtual circuits it established a network linking research centres in a number of european countries 12 13 they hired roger scantlebury in 1977 who had worked on the european informatics network a datagram network linking cern the french research centre inria and the uk s national physical laboratory 14 15 logica set up operating subsidiaries in the sweden and the united states in 1977 7 while there were many other british computer services firms started up during this period most ended up being bought out by bigger companies or overseas services firms 6 as such logica became the dominant independent uk computer services company 6 the firm was involved in the development of the original automatic train control system for san francisco bay area rapid transit bart in the late 1970s and early 1980s as part of the original construction of bart 16 logica vts edit 84 newman street first silver grey building on the left housed logica vts here seen in 2017 in 1975 logica developed the first electronic typing pool unicom for unilever 7 17 this development allowed the functions of a typing pool to be automated into a single system supporting about 50 workstations 17 with the support of the uk s national enterprise board in january 1979 the company established a new subsidiary to exploit this technology logica vts 18 a range of standalone word processors the vts 100 the vts 2200 whirlwind and finally the vts 2300 kennet were developed and were manufactured at a purpose built factory in swindon these machines were sold internationally by bt and by international computers ltd and were amongst the first word processors to achieve mass sales 17 the advent of the personal computer and software such as wordperfect led to the decline of this business and its ultimate closure 17 in connection with office automation logica vts also engaged in product work related to local area networking putting out a product called polynet in 1981 which was based upon the cambridge ring idea rather than ethernet 19 this aspect of business was still going in 1984 20 with logica founder pat coen as managing director of logica vts 21 by the end of 1985 logica had decided to exit the office automation business and logica vts was shut down over the course of 1986 22 software products group rapport and xenix edit most of logica s software products were used only internally as part of reusing implementation parts of the contracting projects it engaged in 16 however logica staged a foray into the wider software products world in the early mid 1980s creating the software products group 23 the director of the group was gordon kirk 24 logica rapport was an early relational database management system that was developed internally in 1977 and began selling as a general product in 1979 with another release in 1980 25 micro rapport was also released for the zilog z80 25 by 1986 support for rapport was being phased out by logica to the consternation of some organisations using it 26 xenix was a version of the unix operating system that microsoft worked on in 1982 they engaged with the santa cruz operation sco in this work with the two companies engineers working together on improvements 27 microsoft and sco then further engaged human computing resources in canada and the software products group within logica in the united kingdom as part of making further improvements to xenix and porting xenix to other platforms 27 in doing so microsoft gave hcr and logica the rights to do xenix ports and license xenix binaries in those territories 28 which for logica included all of europe 29 this second source agreement was formalised between microsoft and logica in january 1983 24 after being acquired by sco the logica software products group subsequently had its offices at the croxley centre in watford this logica group put out several releases including xenix 3 0 in 1984 which was based on unix system iii for 16 bit processors with some berkeley software distribution networking functionality and improved compatibility with ms dos 24 logica stated that it had over 300 clients for its xenix product including other computer manufacturers such as acorn computers plessey microsystems sagem regnecentralen and triumph adler indirect sales through resellers and direct sales to end customers such as chemical bank west midlands county council and natural environment research council 29 logica s positioning of xenix included features making it easier to use 24 however during 1986 logica decided to withdraw from xenix operations 30 the software products group was acquired by sco in december 1986 31 it became a wholly owned subsidiary the santa cruz operation limited and the basis for sco s uk operation 32 28 with its office subsequently being relocated first to soho 33 and then to watford outside london 34 initially supplemented by some engineers who transferred from sco s headquarters operation in santa cruz california 32 the ex logica group now in watford became one of the major development sites for sco and over the next few years did the operating system kernel development work behind the subsequent sco opendesktop and sco openserver product releases 27 as well as later working in networking security escalations and other areas in addition to being the sales marketing and customer engineering hub for sco s and later caldera international s emea region although most development work in watford was shut down in 2000 35 public company and the david mann era edit logica offices in amstelveen in the netherlands the company floated on the london stock exchange on 26 october 1983 7 the company had 1 000 employees at this time and they were major shareholders owning some 40 percent of the firm 7 however the stock price remained flat during this time and indeed would for much of the next ten years 6 in 1985 they were faced with a hostile takeover bid by the ross perot led competitor electronic data systems eds but they were able to fend it off 5 around this time the uk trade magazine computing named logica as the company of the decade 5 in 1984 the company developed the automated clearing system for the uk banks chaps 36 as well as the customer service system for british telecommunications bt css the 1bn total implementation represented largest computer project undertaken in europe and the largest integrated database in the world 37 logica pioneered the automated ticketing system for london underground in 1987 36 and a new version of the system which randomly generates premium bond numbers ernie in 1988 36 logica set up joint ventures in hong kong with jardine matheson to undertake the real time trading system for the new integrated hong kong stock exchange in 1984 in italy with finsiel in 1993 38 and in the uk with british airways in 1990 to undertake the development of computer systems for the airline and then sell them to other airlines 39 the company s research and development arm was known as logica cambridge and located in cambridge england 40 logica s competitors in the it services and contracting realm in general included not just eds but also andersen consulting cap gemini sogeti and the sema group as well as in specialty areas such as banking hoskyns group admiral consulting and advanced computer techniques 5 near original employee david mann became managing director and ceo of the company in 1987 8 founder philip hughes resigned as chairman of the board of directors in 1990 and left the board entirely in 1995 focusing instead on a completely different career as a very successful landscape painter 10 other original founders of the company were also playing a lesser role at this point 7 during the late 1980s and early 1990s the company was led by david mann 41 during this period the company s turnover fell flat and it suffered a loss in 1991 as it struggled with the effects of the early 1990s recession especially among customers in the financial services industry 5 8 there were also problems in the logica us subsidiary and changes in the software marketplace 5 the company gained a reputation for emphasizing the creation of technically difficult bespoke solutions but ones that did not always maximise customer or shareholder value 7 logica was a pioneer in the development of text messageing systems for mobiles making their first sale to vodafone 37 by february 1994 mann was out as ceo 8 martin read era edit martin read was recruited from gec marconi where he had worked for arnold weinstock and appointed ceo in august 1993 7 most of the executive directors left the company during the two years following his appointment david mann colin rowland andrew karney ian macleod and cliff preddy 42 by 1994 the company had some 3 400 employees 5 defence work was still going on within the company being done both by both logica plc and by a specific group known as logica defence and civil government 43 by the close of the 1990s logica had seen large scale growth with an average annual earnings increase of 35 percent over the previous five years and an increase in the company s market capitalisation from 130 million in august 1993 to 6 1 billion in december 1999 7 logica had 8 500 employees and had gained entry into the ftse 100 7 its customers included large governmental organizations and private companies such as ford exxon ibm compaq vodafone reuters merrill lynch prudential deutsche bank and diageo 7 in 1999 the buyout of the in house customer care and billing product division took place leading to the founding of the company that would become cerillion 44 in 2000 logica acquired the german computing services business pdv for 370 million increasing the size of the german workforce by 1 200 in the process 45 in 2001 the company secured an outsourcing contract to create and operate a new case management system for the crown prosecution service 46 at this time the level of read s remuneration received attention when it was revealed that he enjoyed a 28 million pay packet 47 48 logicacmg edit logicacmg logo and parking signs at wales offices 2006 the merger of logica 60 percent with british company cmg 40 percent to form logicacmg on 30 december 2002 united an established technology firm logica with an established consulting firm cmg 49 in december 2003 logicacmg s software controlled the doomed beagle 2 probe after separation from the mars express orbiter 50 during the mid 2000s the company embarked on a series of acquisitions of continental european firms 51 in 2005 logicacmg purchased 60 percent of the portuguese company edinfor 36 and in march 2008 purchased the remaining portion in 2006 logicacmg purchased the french company unilog for 631 million and the swedish company wm data for 876 million 51 logicacmg offices on hampstead road in london 2007 the company suffered some embarrassment in 2006 when laptops containing police payroll data were stolen from logicacmg 52 and an outsourcing contract with transport for london for it services was terminated early after disputes over payments and service level agreements 53 by 2007 t...