I wonder if the decline in outsourcing deals is at least in part a response to the quality of prior outsourced deals? Poor quality, outsourced customer support, for instance, is a fantastic way to lose repeat business, as anyone who has had the misfortune to deal with Dell can attest.
Value of European outsourcing deals plummets
The number of mega outsourcing deals shrank by 25 per cent in Europe for the first quarter of 2015, with just 128 contracts, valued at €1.9 billion (£1.4 billion), according to outsourcing analysts Information Services Group (ISG). David Howie, a partner at ISG, said the figures reflect a trend toward smaller deals, although " …
COMMENTS
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Wednesday 29th April 2015 10:51 GMT Smoking Gun
Interesting article. I suspect the evolution of cloud services coupled with SIAM tower service models is something that may explain this. Why have one large outsourcing contract when you can multi-source what you need on a flexible pay as you go basis, and only outsource parts of the overall service for what you need, i.e. business has a excellent applications team but the service desk is a shambles and is a major headache to operate internally.