IT Outsourcing Studies

2017 Spanish IT Outsourcing Study Results Published

The 2017 Spanish IT Outsourcing Study, conducted by Whitelane Research in cooperation with Quint Wellington Redwood, examines more than 690 unique IT outsourcing contracts representing more than 210 participants of the top IT spending companies in Spain.
Key findings from the Spanish Study include:  

  • 80% of participants in the study confirm that they will continue to outsource at the same rate or more in the coming two years. Only 6% intend to reduce current levels of outsourcing.
  • For the first time in 5 years ‘access to resources’ has taken over ‘cost reduction’ as the most important driver for companies planning to increase their level of outsourcing.
  • 92% clients are satisfied with their outsourcing provider, especially in areas such as service quality, account management and business understanding.
  • Everis and Ibermática lead the ranking for another year with a joint score of 81%. In second place, with 78% are Accenture, Capgemini and DXC Technology, followed by Vodafone and Atos with 77%.
  • End-user clients and service providers have very different views regarding client capabilities in managing their transition and governance. The results show that 84% of clients are more or less satisfied with their current skills, whereas only 28% of providers evaluate their clients as mature in this area.

Results Presentation

The results of our 2017 IT Outsourcing Study for Spain were presented in Madrid on 16 November. The event also featured a round table discussion with speakers from: ENEL, Lafarge Holcim, REE and Repsol.

Purchase the Spanish Report

If you would like to purchase a copy of the full report containing more detailed information, such as the main sourcing trends, ranking of the service providers by IT domain as well as by 9 different KPIs, please email info@whitelane.com. (available in Spanish/disponible en español)
November 17th, 2017|Categories: IT Outsourcing Studies|

2017 Swiss IT Outsourcing Results Published

The 5th annual Swiss IT Outsourcing Study, conducted by Whitelane Research in cooperation with Navisco AG – Sourcing Professionals, investigates more than 310 unique IT outsourcing contracts held by over 80 of the top IT spending organisations in Switzerland.
Key findings from the Swiss Study include:  

  • 46% of all respondents in the Swiss study state that they are planning to outsource more, while only 7% cite that they are planning to outsource less. Overall, the sourcing market is set to continue to grow – as 78% of all respondents in the study confirm that they will continue to outsource at the same rate or more.
  • Focus on core business is the most important driver for organizations looking to outsource more (cited by 80%) – overtaking cost reduction for the first time in 4 years. Business transformation and innovation are strongly coming up as key drivers to outsource.
  • Overall, respondents are satisfied with their IT service provider(s), with 91% of the 311 IT outsourcing contracts being evaluated as satisfactory.
  • TCS is the highest ranked provider with a general satisfaction score of 83%, followed by Cognizant (78%), SAP (76%) and Swisscom, Microsoft and HCL (all three at 75%).
  • In the applications development and support space TCS and Cognizant score high, followed by HCL and Accenture. And SAP is scoring high as a SaaS (Software as a Service) provider.
  • In data center services HCL and Swisscom lead in satisfaction, closely followed by Microsoft as a public cloud services provider.
  • In network and telecommunications Swisscom, Orange and Verizon lead in satisfaction.
  • As to new trends, the adoption of Agile development methodology is already wide spread by now, while the new wave of automation, robotics and artificial intelligence to automate the IT function needs to mature further to deliver its full benefits.
Above: Jef Loos, Whitelane, presents the results of the Swiss Study.

Management Summary

To request a copy of the Swiss management summary, please click on the button below and fill out the required information.MANAGEMENT SUMMARY

Purchase the Swiss Report

If you would like to purchase a copy of the full report containing more detailed information, such as the main sourcing trends, ranking of the service providers by IT domain as well as by 8 different KPIs, please email info@whitelane.com
September 25th, 2017|Categories: IT Outsourcing Studies|Tags: , , |

2017 UK IT Outsourcing Study Results Published

UK IT Outsourcing Market Reaches the Biggest Tipping Point Since its Inception

The 5th annual UK IT Outsourcing Study, conducted by Whitelane Research in cooperation with PA Consulting Group, investigates more than 800 unique IT outsourcing contracts held by over 250 of the top IT spending organisations in the United Kingdom. All industry sectors are represented.
Key findings from the UK study include:

  • There is increasing appetite for UK companies to rebalance their outsourced and internally-provided services. 35% of all respondents in the study state that they are planning to outsource more, however 22% cite that they are planning to outsource less. We anticipate that increasing adoption of agile delivery methods is driving mature customers to bring development and business teams closer together, whilst less mature customers have yet to reach this inflection point. Overall, the sourcing market is set to continue to grow – as 65% of all respondents in the study confirm that they will continue to outsource at the same rate or more.
  • Reducing costs is the highest priority for organisations (69%), an increase of 9% since last year. Business transformation is the 2nd most important driver, increasing by 16% in the last year.
  • Overall, respondents are satisfied with their IT service provider(s), with 86% of the 802 IT outsourcing contracts being evaluated as satisfactory. This figure has remained constant over the past 5 years.
  • Getronics and Hexaware are the highest ranked providers with a general satisfaction score of 84%, followed by Amazon (79%), Cognizant (78%) and Computacenter and TCS (both at 77%).
  • General satisfaction tends to show that top performers are in one of three broad categories:
  1. Focused in application development and maintenance activities
  2. Specialist providers focusing on doing a smaller breadth of services well
  3. Cloud providers delivering a well understood, standard offering to their customers with minimal commitment

“The market for outsourcing is at the biggest tipping point since the term was coined. There are lots of “predictions” and “forecasts” suggesting that the end for service providers, is nigh. The reality is much more complex than that. The journey to leveraging new technologies such as Automation, Robotics, AI is only just starting and its impact on the outsourcing market is yet to be accurately predicted. What we can say is that there are huge potential opportunities from these new technologies but, like most change projects, this will be a complex journey.” Martin Molloy, Sourcing Expert, PA Consulting Group.

  • Clients and Service providers have vastly differing view of client capability in managing service integration. While 77% of clients are somewhat satisfied with their own service integration capability, 8% of service providers rated client capability in service integration as mature. A fundamental gap in perception of capability.
  • Compared to other countries, the UK is generally considered to be the most mature outsourcing market in Europe and as such, is an indicator for new and future trends for other European countries. A couple of notable differences are: the percentage of organisations that are insourcing is by far the largest in the UK when compared to other European countries (22% compared to an average of 11%). This is partly caused by the fact that in most other European countries not as much has been outsourced as in the UK. It is also noteworthy that besides cost reduction, business transformation is a far more important driver in the UK than in any of the other European countries (64% compared to an average of 39%), while focus on core business and access to resources are less relevant for UK organisations when compared to organisations on the continent.

Results Presentation

Above: Jef Loos of Whitelane at the results presentation of the 2017 UK IT Outsourcing Study in London.

Management Summary

To request a copy of the UK management summary, please click on the button below and fill out the required information.
Management summary

Purchase the UK Report

If you would like to purchase a copy of the full report containing more detailed information, such as the main sourcing trends, ranking of the service providers by IT domain as well as by 8 different KPIs, please email info@whitelane.com.
June 22nd, 2017|Categories: IT Outsourcing Studies|

2017 Nordic IT Outsourcing Study Results Published

The 2017 Nordic IT Outsourcing Study, conducted by Whitelane Research in collaboration with PA Consulting Group, investigates close to 1000 unique IT outsourcing contracts held by over 330 of the top IT spending organisations in the Nordic region.
Key findings from the Nordic study include:

  • There is still an appetite for outsourcing among Nordic companies. 77% of all respondents in the study confirm that they will continue to outsource at the same rate or more, with 44% citing that they are planning to outsource more.
  • Core business excellence is the highest priority for organisations continuously (60%), so they source to be able to focus. Using sourcing for cost reduction is still important for organisations to stay competitive in their markets (cited by 59%), however notably lower than last year (cited by 67%). Innovation is becoming increasingly important for organisations and 23% of the respondents indicated Innovation as a top three driver for outsourcing.
  • The service provider community continued to show a strong overall performance, with clients remaining satisfied with 91% of contracts.
  • TCS is the highest ranked provider in the Nordic region with a general satisfaction score of 82%, jointly followed by Accenture and new entrant Salesforce.com (both at 78%), Cognizant and Tech Mahindra (both at 76%) and L&T Infotech and Telenor (both at 75%).

Management Summary

To request a copy of the 2017 Nordic management summary, please click on the button below and fill out the required information.
Management Summary

Purchase the Nordic Report

If you would like to purchase a copy of the full report containing more detailed information, such as the main sourcing trends, ranking of the service providers by IT domain as well as by 8 different KPIs, please email info@whitelane.com.
April 12th, 2017|Categories: IT Outsourcing Studies|

2017 BeLux IT Outsourcing Results Published

The BeLux market for outsourcing still has significant growth potential as companies continue to outsource more. The main drivers for outsourcing are a stronger focus on the core business and cost reduction, while business transformation has increased by 8% from 2016. Almost 83% of organisations that currently use automation, robotics and AI have experienced moderate/significant benefits of these technologies, and client satisfaction remains high with an average satisfaction score of 74% across all providers assessed.

These are the key conclusions of the 2017 IT Outsourcing Study for Belgium and Luxembourg, which was conducted by Whitelane Research in collaboration with Vlerick Business School. The study investigates more than 550 unique IT outsourcing contracts held by over 200 of the top IT spending organisations in the BeLux region. The total combined annual value of the contracts covered by this study is more than €1.5 billion and all industry sectors are represented.

Key findings from the BeLux study include:

  • 85% of all respondents in the study confirm that they will continue to outsource at the same rate or more, with 51% citing that they are planning to outsource more.
  • Focus on core business is the most important driver for organisations planning to increase the level of outsourcing within their organisation (64%), followed by cost reduction (56%) and access to resources (43%). There are two drivers that have increased in importance compared to last year, both Cost reduction (up 11% to 56%) and Business transformation (up 8% to 42%). Over the last 5 years, especially the increasing importance of business transformation as a driver for outsourcing is noteworthy.
  • The service provider community continued to show a strong overall performance, with clients remaining satisfied with 91% of contracts.
  • TCS, Econocom, Capgemini, Fujitsu and Sopra Steria share first place on the ranking as the suppliers with the highest level of satisfaction with a joint score of 80%, followed by Salesforce.com, Getronics and Accenture (all three at 79%) and CSC, RealDolmen, Atos, Telenet and CGI (all five at 78%).
  • While clients are generally happy with their service providers, they expect more from the service providers in the areas of business transformation and innovation. As for the service providers, they indicate that clients should improve their internal capabilities with regards to transition and governance of an IT outsourcing service. The topic of integrating different parties at a given client also remains a key topic, where it seems that different parties have a role to play to make that integration happen.

    Carine Peeters, Professor of Strategy at Vlerick Business School: “With digital technologies impacting companies in more and more industries, IT is expected to take on an increasingly central role as partner of the business to help their companies adapt and seize digital opportunities. Our results show this also means a new role for service providers to contribute to their clients’ business transformation. But the success of transformative outsourcing relations hinges on both service providers and their clients developing new capabilities. And we are not just talking about technology here. We are talking about business understanding and governance.”

Results Presentation

The results of our 2017 IT Outsourcing Study for Belgium & Luxembourg were presented in Zaventem on 22 February. The event also featured presentations from Ilse Wuyts, CIO, Bekaert, Barbara Van Den Haute, ICT Manager, Vlaamse Overheid and Filip Versteele, Head of External Sourcing & Partner Management, AXA.

Management Summary

To request a copy of the BeLux management summary, please click on the button below and fill out the required information.
Management Summary

Purchase the BeLux Report

If you would like to purchase a copy of the full report containing more detailed information, such as the main sourcing trends, ranking of the service providers by IT domain as well as by 8 different KPIs, please email info@whitelane.com
March 6th, 2017|Categories: IT Outsourcing Studies|Tags: , , , |

2016/2017 European IT Outsourcing Results Published

The 2016/2017 European IT Outsourcing Study, conducted by Whitelane Research, investigates more than 4600 unique IT outsourcing contracts held by over 1500 of the top IT spending organisations in Europe. The total combined annual value of the contracts included in this study is more than €40 billion.
Key findings from the European Study include:  

  • 80% of all respondents in the study confirm that they will continue to outsource at the same rate or more, with 43% citing that they are planning to outsource more.
  • Cost reduction is the most important driver for organisations planning to increase the level of outsourcing within their organisation (62%), followed by focus on core business (58%) and access to resources (46%).
  • The service provider community continued to show a strong overall performance, with clients remaining satisfied with 89% of contracts. Still, there are differences between the performances of the 25 IT service providers ranked in this year’s study, and our full report contains more detailed information, such as the service providers ranking by IT domain as well as by 11 different KPIs across four dimensions.
  • TCS and Hexaware occupy first place on the ranking as the suppliers with the highest level of satisfaction with a joint score of 79%, followed by Cognizant (76%), Computacenter (75%) and Accenture (74%). We have also created rankings by the three main industries: Financial Services, Public Sector, and Other. The full ranking of the providers by general satisfaction and by industry is included in the final report.

Management Summary

To request a copy of the European management summary, please click on the button below and fill out the required information.
Management summary

Purchase the European Report

If you would like to purchase a copy of the full report containing more detailed information, such as the main sourcing trends, ranking of the service providers by IT domain as well as by 11 different KPIs, please email info@whitelane.com.
February 24th, 2017|Categories: IT Outsourcing Studies|

2016 French IT Outsourcing Results Published

The 2016 French IT Outsourcing Study, conducted by Whitelane Research, examines over 450 unique IT outsourcing contracts held by more than 140 participants of the top IT spending organisations in France.
Key findings from the French Study include:  

  • There is still an appetite for outsourcing among French companies. 77% of all respondents in the study confirm that they will continue to outsource at the same rate or more, with 48% citing that they are planning to outsource more.
  • Cost reduction is the most important driver for organisations planning to increase the level of outsourcing within their organisation (79%), followed by focus on core business (54%) and access to resources (50%). Since last year there has been a significant increase in the importance of focus on core business (+13%) and access to resources (+18%) while cost reduction (the most important driver for four consecutive years) has increased by 6%.
  • Cognizant occupies first place on the general satisfaction ranking as the supplier with the highest level of satisfaction with a score of 75%, jointly followed by IBM and Capgemini (both at 74%) and Fujitsu, Accenture, Sogeti, HP, TCS and Wipro (all six at 73%).
  • Clients are most critical of their own supplier selection skills and transition and change management skills. It should be noted though that the service provider’s assessment of their client’s maturity in these areas is lower than what the clients rated. Our vendor survey, which interviews executives of the top IT service providers in France about the sourcing maturity of their clients, revealed that 65% of clients have significant improvement opportunities in their own transition skills and 40% in their governance and supplier management capabilities.
Above: Jef Loos, Whitelane, presents the results of the 2016 French IT Outsourcing Study in Paris.

Results Presentation

The results of our 2016 IT Outsourcing Study for France were presented in Paris on 23 February. The event also featured two client presentations by Thierry Milhé, VP, International Production of IT Services at Safran and Didier Conoir-Rolland, Director Sourcing at Allianz.

Purchase the French Report

If you would like to purchase a copy of the full report containing more detailed information, such as the main sourcing trends, ranking of the service providers by IT domain as well as by 11 different KPIs, please email info@whitelane.com. (available in French and English)

Management Summary

To request a copy of the French management summary, please click on the button below and fill out the required information.
Management Summary
February 24th, 2017|Categories: IT Outsourcing Studies|

2016 German/Austrian IT Outsourcing Study Results Published

The 2016 German/Austrian IT Outsourcing Study, conducted by Whitelane Research in collaboration with Navisco AG – Sourcing Professionals, examined over 400 unique IT outsourcing contracts held by more than 130 of the top IT spending organisations in Germany and Austria.
Key findings from the German/Austrian study include:

  • 72% of all respondents in the study confirm that they will continue to outsource at the same rate or more, with 46% citing that they are planning to outsource more. This is a good indication that the German/Austrian market still has significant growth potential.
  • Since last year there has been a significant increase in the importance of focus on core business (+15%) while cost reduction has increased by 4%. Outsourcing as a way to get access to skills and resources also remains an important driver in the German/Austrian market.
  • The service provider community continued to show a strong overall performance, with clients remaining satisfied with 88% of contracts.
  • TCS retained its position as the supplier with the highest level of satisfaction, followed by Data Group, Cognizant and NTT Data (Itelligence).
  • The continued rise of public cloud usage is marked, with 54% of all German/Austrian organisations currently using these services and another 17% is planning to use public cloud vendors. Satisfaction with cloud vendors such as Amazon, Microsoft, Salesforce.com and SAP is generally high.
  • We also asked the clients how satisfied they are with their own sourcing capabilities in the following four areas:1) Sourcing strategy 2) Supplier selection and contracting 3) Transition management and 4) Governance and supplier management.Clients are most critical of their own sourcing strategy skills (1 out of 5 are unsatisfied in some way) while 1 out of 6 clients are unsatisfied with their transition and governance skills. It should be noted though that the service provider’s assessment of their client’s maturity in these areas is lower than what the clients rated. Our vendor survey, which interviews executives of the top IT service providers in Germany and Austria about the sourcing maturity of their clients, revealed that 4 out of 5 clients have significant improvement opportunities in their own transition skills and governance and supplier management capabilities.

Management Summary

To request a copy of the German/Austrian management summary, please click on the button below and fill out the required information.
Management summary

Purchase the German/Austrian Report

If you would like to purchase a copy of the full report containing more detailed information, such as the main sourcing trends, ranking of the service providers by IT domain as well as by 11 different KPIs, please email info@whitelane.com.
(available in German and English)
January 12th, 2017|Categories: IT Outsourcing Studies|Tags: , , |

2016 Spanish IT Outsourcing Results Published

The 2016 Spanish IT Outsourcing Study, conducted by Whitelane Research in cooperation with Quint Wellington Redwood, examines more than 625 unique IT outsourcing contracts representing more than 185 participants of the top IT spending companies in Spain.
Key findings from the Spanish Study include:  

  • 82% of participants in the study confirm that they will continue to outsource at the same rate or more (an increase of 4% from 2015), with 37% saying that they will outsource more in the coming years. Only 5% intend to reduce current levels of outsourcing.
  • Cost reduction (cited by 59%) remains the most important driver for outsourcing more for the 4th consecutive year. In the financial services sector this figure is even higher (68%). However, the importance of this factor has suffered an important decrease during the last 4 years (-10%), while ‘business transformation’ has increased by 28%.
  • 91 percent of clients are satisfied with their outsourcing contract, an increase of 2% compared with 2015.
    Everis and Ibermática maintain their position as number 1 in the ranking with a score of 79%, followed by itconic (78%) and Accenture and IECISA (both with a score of 76%).
  • 69% of participants intend to increase the use of public cloud with the main driver cited as ‘greater ease of access to resources’.
  • 74% of participants recognize that sustainability and social responsibility is becoming increasingly important in outsourcing decisions while only 27% is measuring it in practice. This means that the market is still relatively immature.
Above: Antonio Crespo, Director General Iberia, Quint Wellington Redwood

Results Presentation

The results of our 2016 IT Outsourcing Study for Spain were presented in Madrid on 16 November. The event also featured two presentations by Pedro Navas, Department Head Systems & Infrastructure, AZKAR and Ignacio López, Head of Service and Sourcing Strategy, Amadeus.

Purchase the Spanish Report

If you would like to purchase a copy of the full report containing more detailed information, such as the main sourcing trends, ranking of the service providers by IT domain as well as by 11 different KPIs, please email info@whitelane.com. (available in Spanish/disponible en español)
November 30th, 2016|Categories: IT Outsourcing Studies|Tags: , , |

2016 Dutch IT Outsourcing Study Results Published

The 2016 Dutch IT Outsourcing Study, conducted by Whitelane Research in collaboration with Quint Wellington Redwood, investigates more than 550 unique IT outsourcing contracts held by over 200 of the top IT spending organisations in the Netherlands.

Key findings from the Dutch Study include:
  

  • Companies will continue to outsource more. Eighty-eight percent of all respondents in the study confirm that they will continue to outsource at the same rate or more (an increase of three percent from 2015).
  • Focus on core business (cited by 68 percent) remains the main driver for companies planning to outsource more for the third year in a row while cost reduction remains the dominant driver within the Financial Services industry.
  • TCS is ranked first in the overall service provider satisfaction ranking with a score of 88 percent, followed by Cegeka (86 percent), Centric (82 percent) and Cognizant and Wipro (both at 76 percent).
  • Sixty-three percent of respondents recognise that sustainability/social responsibility is becoming more important in outsourcing while only 34 percent is actually measuring it in practice meaning the market is still relatively immature in this respect.
  • Outsourcing of security services as a separate tower (e.g. an outsourced Security Operating Center) will increase in the coming years as 19 percent of organisations indicate they plan to use this model of outsourcing.
  • For the first time Dutch organisations correctly recognise they have some challenges in their transition and governance skills.

Management Summary

To request a copy of the Dutch management summary, please click on the button below and fill out the required information.
Management summary

Purchase the Dutch Report

If you would like to purchase a copy of the full report containing more detailed information, such as the main sourcing trends, ranking of the service providers by IT domain as well as by nine different KPIs, please email info@whitelane.com.
June 1st, 2016|Categories: IT Outsourcing Studies|