consultant news | 3 july 2015
A recent article in Consultant News shows how a new study of IT outsourcing customers and contacts depicts an imminent boom in the UK IT outsourcing market. The study was undertaken by Whitelane Research together with PA Consulting Group and surveyed top sourcing executives from 260 of the UK’s biggest consumers of IT services that hold more than 800 contracts with a collective value of more than £15 billion.
The key findings of the study show that a figure of 69% of all companies surveyed will either maintain or increase their consumption of IT services across a range of providers. 40% say that they will be increasing their demand for outsourcing in the future and 15% of surveyed participants said that they would be decreasing their use of outsourcing.
Vassilis Serafeimidis, Head of IT Sourcing at PA Consulting Group, describes the heightened demand for business transformation through outsourced IT services as a move by customers toward “digital everything,” such as offering their customers seamless service across multiple channels, including mobile.
Find out more about the 2015 UK IT Outsourcing Study, conducted by Whitelane Research in collaboration with PA Consulting Group
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According to the authors, some respondents expressed frustration with service provider shortcomings in innovation, proactivity, and ability to drive change—critical competencies in a business transformation. While choosing a service provider should always be a careful decision, companies that intend to rely heavily on outside providers (especially those that seek business transformations through IT outsourcing) should do their due diligence and consider the strengths and weaknesses of various providers. Vassilis goes on to suggest that price may not be the most important factor, depending upon the particular IT function(s) to be outsourced.
The authors of the report go on to argue that customers may have unrealistic expectations of low prices, customised services and service levels from providers of commoditised, large scale IT services.