NEC Software Solutions
| Company type | Subsidiary |
|---|---|
| Industry | Software, Outsourcing |
| Founded | September 18, 1969 |
| Founder | Ray Parry |
| Headquarters | Hemel Hempstead , United Kingdom |
Area served | International |
Key people | Tina Whitley (CEO) |
Number of employees | 1400 |
| Parent | NEC Corporation |
Software Solutions, previously known as Northgate Public Services, is a specialist software and outsourcing provider headquartered in the UK, focusing on the public sector. Since its acquisition by NEC Corporation in January 2018, the firm operates internationally with a workforce numbering around 1,400 employees.
Early years
The company was established on 18 September 1969 by Ray Parry under the name CMC (Computer Machinery Company Limited). Initially, it acted as a distributor before moving into manufacturing key-to-disk computer systems sourced from the American Computer Machinery Corporation. These systems facilitated data collection for various commercial enterprises and government agencies. In 1976, CMC created the P99 microprocessor-based front-end processor and terminal, which evolved into the P141 model to support its Sovereign data capture system. Sovereign found adoption among industrial clients such as Rolls-Royce plc and British Steel Corporation, as well as government departments like the DHSS in Newcastle upon Tyne. This technology was further developed into the M8000 system, utilizing Intel processors.
Also in 1976, CMC merged with California’s Microdata Corporation, recognized for its Reality operating system—a derivative of the Pick operating system. Following this merger, CMC operated under the name Microdata UK Limited (MUK), manufacturing Reality computer systems at Hemel Hempstead. After Microdata was acquired by McDonnell Douglas Corporation in 1985, the company was rebranded as McDonnell Douglas Information Systems Limited (MDIS).
MDIS launched the M9000 system (known as Sequoia in the US), which featured adaptable performance through firmware loaded dynamically and processor keys designed to maximize hardware efficiency and reduce costs. A new manufacturing facility and office complex were constructed on Boundary Way in Hemel Hempstead and expanded shortly after opening. The company also engineered the Spirit processor for entry-level Reality products, marketed as the M6000, and subsequently developed the Series 19 (Pegasus) system—a successor to Sequoia—through joint engineering efforts between UK and US operations.
By 1989, MDIS employed approximately one thousand personnel at its headquarters, which reportedly housed one of the largest corporate car fleets in the UK.
1990s
In 1992, MDIS ceased in-house development of computer systems and discontinued UK manufacturing operations. The firm continued providing hardware and systems integration services while producing RealityX—an open-platform version of Reality re-engineered from the Reality operating system (ROS) to function on non-MDIS hardware. RealityX preserved compatibility at both user and developer levels, allowing continued sales and support under the SeriesX brand.
Initially, MDIS implemented UNIX systems from Encore Computer, Motorola Computer Systems, and Data General—all based on M88k RISC processors running System V Unix—before migrating to Solaris platforms supplied by Sun Microsystems. By 1995, MDIS expanded into Microsoft Windows environments, with ongoing feature enhancements continuing into the following decade. The company also acquired and developed PROIV, a fourth-generation programming language (4GL) widely adopted internationally by organizations such as Fujitsu; a customized version called ALL was deployed on REALITY systems.
In 1993, a management buyout led by CEO Jerry Causley and financed by Barings Bank purchased MDIS from McDonnell Douglas. The company went public on the London Stock Exchange in 1994 with an initial share price of £260; however, this value declined below £100 within two months.
Toward the end of the decade, most founding directors exited the company and were succeeded by new leadership under CEO John Klien following another profit warning. Critical Human Resources applications were redeveloped using PRO-IV to improve reliability and capabilities.
In 1998, MDIS sold its Maylands Park South Building in Hemel Hempstead to 3Com, resulting in relocation or redundancy for approximately 600 employees.
By 1999, under CEO Chris Stone’s direction, the company experienced annual losses nearing £100 million. Subsequent restructuring efforts focused MDIS back onto core markets within local government and public sector domains—including police, fire services, and ambulance providers—as well as essential applications such as Payroll, Pensions, and HR systems. Additionally, service portfolios were expanded to include hardware maintenance and managed service offerings.
2000s
In the year 2000, the organization adopted the name Northgate Information Solutions, taking on the identity of a smaller software company it had previously acquired. After streamlining operations and cutting its workforce by approximately two-thirds, the firm achieved profitability again in 2001. The divestiture of its health division provided funds for further acquisitions.
From 2002 to 2004, Northgate grew through a series of acquisitions including Prolog (payroll outsourcing), CaraPeople (payroll services), blue8 (emergency services IT), Hays CSG (police data systems), PWA Group (HR software), Rebus (HR and payroll solutions), and CIM Systems (control room communication technology). This expansion facilitated its entry onto the London Stock Exchange FTSE 250 Index.
The purchases of Sx3 and MVM Holdings in 2005 introduced integration difficulties, as some Northgate employees felt eclipsed by the incoming senior management teams.
In June 2007, Northgate acquired ARINSO, creating NorthgateArinso (NGA), which industry analysts such as Gartner and IDC recognized in 2011-2012 for excellence in HR and payroll outsourcing.
Private equity firm Kohlberg Kravis Roberts (KKR) acquired Northgate in November 2007 for £593 million. Chairman Ron Mackintosh described the offer as attractive with strong future potential under private equity stewardship.
In November 2008, Northgate Information Solutions UK Ltd purchased Anite Public Sector Holdings Ltd. Subsequently, in 2010, Convergys divested its Human Resources Management division to NorthgateArinso.
Capita acquired Northgate Managed Services, specializing in UK mid-market Managed IT Services, in February 2013. Later, Cinven took over Northgate Public Services in December 2014.
In 2017, NGA HR sold off its UK Mid-Market and SME segments to Bain Capital to focus on delivering enterprise-level multi-country HR and payroll services.
The company continued expanding by acquiring service design agency Snook in June 2019 and criminal justice software provider i2N in August 2018.
Following Bain Capital’s acquisition of NGA HR’s UK and Ireland operations, the business rebranded as Zellis in January 2018 to concentrate on payroll solutions.
Further acquisitions included APD Communications (emergency services software) in January 2019 and EMIS Health’s specialist and care division in April 2019.
On 22 August 2019, Alight Solutions announced it had acquired NGA Human Resources.
2020s
Tina Whitley assumed the role of CEO on 1 April 2021.
On 1 July 2021, the company rebranded as NEC Software Solutions UK.
Beginning on 1 October 2021, NEC Software Solutions UK initiated the acquisition of Capita PLC’s Secure Solutions and Services (SSS) business. Due to a Competition and Markets Authority (CMA) review from January 2022 through August 2023, Capita's SSS operated independently as SSS Public Safety Ltd during this interval. The acquisition was finalized on 1 August 2023, bolstering NEC’s public safety service offerings.
In August 2025, NEC Software Solutions UK further expanded its footprint by acquiring Cadcorp Limited, enhancing its capabilities in public safety software solutions.
Fire at Hertfordshire oil storage facility
On 11 December 2005, a significant explosion occurred at the Buncefield oil depot, obliterating the Hemel Hempstead head office complex adjacent to the NIS building. Despite the destruction, personnel working in the data centre escaped without injury, and operations were swiftly transferred to alternative locations in Oxford and Peterborough. Thanks to the company’s disaster recovery strategy, managed services continued without interruption, and payroll processing for clients was maintained on schedule, strengthening its standing for operational resilience. Following the incident, CEO Chris Stone addressed commercial disaster recovery topics.
In October 2006, the company encountered an unsolicited takeover bid, which ultimately did not proceed.
By December 2007, private equity firm Kohlberg Kravis Roberts (KKR) agreed to acquire Northgate for £593 million. This transaction was finalized in March 2008, resulting in Northgate’s removal from the London Stock Exchange listings. Soon after, Northgate achieved a ranking of forty-seventh in Britain’s Top Employer 2008.
In December 2014, Cinven completed the acquisition of Northgate Public Services. Separately, Capita acquired Northgate Managed Services—specializing in managed IT services for the UK mid-market—in February 2013.
Operations
NEC Software Solutions UK operates across four key sectors: Government, Healthcare, Housing, and Public Safety. Offshore development activities are conducted by a Mumbai-based subsidiary that also develops software for scientific publishing.
Government
The organisation provides software solutions and services to all four UK governments while collaborating with local authorities. Its offerings include applications for managing revenue and benefits, housing services, environmental concerns, and planning processes.
Healthcare
Focusing on medical registries and health screening programmes, this division’s software has screened millions of newborns for hearing impairments and inherited disorders. It supports national and local diabetic eye screening initiatives and administers registries such as the National Joint Registry along with those covering robotic surgery and spinal treatment procedures. In January 2025, a partnership was announced with Walton Centre NHS Foundation Trust.
Housing
The housing management system oversees millions of residential properties worldwide and serves UK local authorities, registered providers, as well as clients in Canada and Australia. In May 2020, Colchester Borough Homes adopted this solution.
Public safety
This division caters to sectors including policing, emergency services, prisons, probation services, and critical infrastructure management. Its product range includes the CONNECT police platform alongside software designed for offender management, youth justice systems, and major control room operations. In March 2020, subsidiary APD Communications secured a contract with the UK Home Office Emergency Services Network. Additionally, in 2019 NEC Corporation delegated global sales responsibilities for its facial recognition technology NeoFace Watch to this division.
See also
- MultiValue — an early NoSQL database predating Oracle and SQL Server implementations