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The days of the multi-year, single supplier megadeal are over. The current economic uncertainty is leading many organisations to re-evaluate how and what they outsource. Research tracking trends in outsourcing contracts during 2011 is showing a distinct shift away from business process outsourcing (BPO), towards lower-value, smaller contracts, which often involve managing multiple suppliers. Analyst [...]
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We present the results of the 8th annual research of the Russian software development export industry. Like in the last seven years, the report is prepared by RUSSOFT (Nonprofit Partnership of Software Developers, RUSSOFT). RUSSOFT is the leading association of Russian export oriented companies which develop software products and provide software development services. RUSSOFT also [...]
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There is a constant debate about the value of IT outsourcing beyond cost cutting. Suppliers are always talking about the additional value of outsourcing. They usually talk about the innovation they can offer. Most benefits are cost related. They might not actually be cases of low cost labour but just for example the ability to [...]
Continue reading Everest Group: Report Analyzes Leading Service Providers of IT Application Outsourcing
November 11, 2011 No Comment
The leading global service providers of IT Application Outsourcing (AO) services to insurance companies hold the majority of active annual contract value (ACV) and total contract value (TCV) of large insurance AO contracts, but the leading offshore service providers have witnessed the fastest growth in revenues as well as new accounts over the last three [...]
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The IT outsourcing market saw its first substantial decline in twelve months during the third quarter of this year. Transaction volumes fell for both the IT and business process outsourcing (BPO) markets, by seven percent and 12 percent respectively, according to the outsourcing consultancy Everest Group’s quarterly report on the global services industry. The average [...]
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While the 2008 crash saw us all face a major economic and fiscal reality-check, 2012′s landscape will see us move beyond bailouts and credit downgrades to a world where governments and business leaders need to deal with the societal impact of growing unemployment, worker insecurity and an alarmingly widening gap between the wealthy establishment and [...]
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The global outsourcing market seems to be going through a sluggish phase, showing signs of slowdown, as number of deals signed during the July-September quarter this year dropped to 472 from 503 deals in Q3 2010. According to advisory and research firm Everest, the number of outsourcing worldwide reduced to 472 in Q3 2011 from [...]
Continue reading Double-Dip Dynamics, Part II: The New Tenets of Outsourcing – Process Standardization, Global Flexibility and Better Technology
October 31, 2011 No Comment
For the very first time in my 16-year career, the major driver behind outsourcing is no longer immediate cost reduction. Hallelujah. Praise the Lord. In the vast majority of cases, sourcing buyers have already enjoyed a fair amount of cost-reduction in recent years with their outsourcing initiatives, so they already expect the basic financials to [...]
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According to the Gartner’s 2010 European Outsourcing and IT Services Priorities Survey, the end of 2010 could signal the end of slow growth and a return to real economic growth — or the onset of the next financial crisis. Regardless of the future direction of the economy, European businesses and their service providers need to [...]
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A recent survey reveals that more than one-third of respondents whose companies offshore IT said the practice makes their organization less secure, while the same proportion said the opposite. Overall satisfaction with offshore results overall may explain the discrepancy. Does offshore outsourcing make an IT organization more vulnerable to data loss or attack? Or are [...]
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