TPI analysts say outsourcing clients are leaving the bulk of their original scope with incumbent service providers. Increasingly, though, they are splitting up portions of the original scope and awarding it to other service providers in a best-of-breed approach.This is especially true in large IT outsourcing restructurings, specifically in the applications, desktop and network services areas. Incumbents working under renegotiated agreements may have to share clients with competitors, say the analysts.
The tough economy has affected the outsourcing industry, along with every other industry out there.
When Ann All wrote about outsourcing trends, citing information from IT services company CSC, she found the trends largely involved buyers deriving more value for their money. Instead of the traditional tactic of trying to negotiate the lowest possible prices, however, buyers are relying on more sophisticated techniques such as outcome-based pricing.
Ann spoke to several other sources, including Unisys, TPI, Everest Group and Compass Management Consulting, to get their takes on top outsourcing trends for the next year. They offered additional insights on the increased value theme, including buyers asking their suppliers for help in targeting internal inefficiencies and developing ideas for improvement.