2014 was the year outsourcing became cool again, says ISG

While annual contract values remain stable in Northern Europe, Southern Europe thinks outsourcing is the best thing since sliced bread

Information Services Group (ISG) says that 2014 is set to be one of the strongest years in a decade for outsourcing in EMEA.

With 2014 drawing to a close, the market intelligence firm took the chance to reflect on the year and lay down it’s predictions for 2015.

One of the most notable trends of 2014 was that outsourcing was no longer a Northern European phenomenon; in France, annual contract value (ACV) increased 250% year-on-year. Indeed, ACV reached its highest levels ever across the south of the continent.

ISG said that it was also witnessing a shift towards ‘deriving greater value from contracts’.

“Whether this is through Service Integration and Management (SIAM) or utilising Total Business Management (TBM) tools, CIOs are beginning to step away from simple IT management and are moving towards a role that has a greater focus on business alignment, which is critical for maintaining their relevance to the organisation,” the intelligence provider said.

“Looking ahead, we expect that the outsourcing market will continue to grow, as organisations slowly regain confidence post-recession,” ISG predicted. “The challenge for buyers will be to understand how they can get the most value from their outsourcing efforts, and to understand the real business impact. We believe that this will start to gain momentum next year.”  

Be sure to read MicroScope's 2014/2015 IT Landscape Report, which will be published Friday 19 December.

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