Parkland to outsource IT operations to Accenture
CALGARY, CANADA—Fuel retailing giant Parkland Corporation recently announced its plans to outsource its IT operations functions to tech services and management consulting firm Accenture. This transition, which will begin at the end of 2024, will eliminate about 100 corporate roles.
The move aims to enhance technological capabilities across Parkland’s operations in Canada, the United States, and the Caribbean.
Employee impact and transition details
In an interview with C-Store Dive, Parkland’s Chief Information Officer Pierre Costa and Vice President of Communications and Corporate Affairs Simon Scott confirmed that the restructuring would affect about 80 IT employees who will be laid off and 20 others who will transition to roles at Accenture.
They also emphasized that this decision is not related to Parkland’s ongoing cost-reduction strategy, which has resulted in the layoff of over 300 U.S. employees since January 2023.
Enhancing technological capabilities
Costa and Scott emphasized that the partnership with Accenture is designed to significantly enhance Parkland’s technological capacity. They pointed out that Accenture’s level of technical support and capability will be “superior to what we’ve had previously.”
“This is about helping people at the site level, and employees across the company get what [they] need faster and more reliably,” Scott added.
One key area where Parkland expects Accenture to improve is resolving point-of-sale issues at convenience stores, which can include hardware malfunctions or software glitches.
“It’s unacceptable to have a point-of-sale issue at a location,” Scott stated. “By partnering with Accenture, we can address these issues more effectively, efficiently, and cost-effectively.”
Aligning with strategic business goals
This IT overhaul is part of Parkland’s broader strategy to double its cash flow per share and increase adjusted EBITDA to $2.5 billion by 2028.
Additionally, the company is divesting from underperforming businesses in Florida as part of this strategic plan.
Support for affected employees
Despite the layoffs, Parkland said it is committed to supporting employees through this transition by offering coaching and assistance in finding new employment opportunities.
Some team members, including those in strategy, solutions architecture, business analysis, and project management, will remain with Parkland.
Based in Calgary, Alberta, Parkland is Canada’s largest independent fuel retailer and the second-largest convenience store operator, with extensive operations across North America.
