As part of the task the agency will rebrand the company's stationery, data sheets, case studies and exhibition panels.
It will also create a new company brochure. Caps Solutions has contracts with around half of all UK local authorities.
The account win follows new business wins in the last 12 months for DNX including with IT companies Business Objects and Sun Microsystems.
Caps Solutions marketing manager, Shub Naha, said: "DNX has bought a fresh way of thinking to the way we do our marketing. We are already seeing some business gains and new successes in our market and we are sure that DNX's input will further move us forwards."
DNX joint managing director Drew Nicholson put the agency's recent spate of new business wins down to its quirky and human approach to communications, and an insistence that its creative work does not hiding behind starchy corporate jargon, particularly when dealing with IT clients and their audiences.
"A good example of this is approach was our recent award-winning campaign for Sun Microsystems' Solaris 10 OS, which had some pretty weird looking sculptures and suited, bowler-hatted City gents wearing sandwich boards walking around the City," he said.
Last year, DNX asked students at the Royal College of Art to design sculptures based on key features of Sun's Solaris 10 operating system incorporating a three-dimensional number 10 into the design. For a later Sun mailer in January DNX created a board game called 'How Surprisingly Spacious' for a mailer to business data centre managers highlighting the fact that Sun Fire x64 servers are smaller than competing models.
The Surrey-based agency's clients include NTT, BHS, The Link, Reed Exhibitions and Timberland.
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This article was first published on brandrepublic.com