Recent and emerging technologies such cloud computing and automation software are shaking up the IT and business-process outsourcing sector – which is one reason why CIOs should pause for thought before signing or renewing IT services contracts.
There was talk that technology such as software as a service would reduce the need for outsourced services, but this does not appear to be playing out. Despite some major insourcing strategies, the last 12 months have not shown any signs of IT outsourcing slowing down: In fact, as new technology brings new business models, there is a broader group of businesses deciding to outsource.
In this review of the year we look at some of the stories that might help inform business decision makers to make the right decision about how they deliver IT to the business, which is today more reliant on IT than ever.
Outsourcing contracts worth billions of pounds come up for renewal over the next few years – but unprecedented industry change complicates the CIO’s decision.
After the DVLA’s two-year project to bring its IT back in-house, its outsourcing strategy – set up during the Thatcher years – came to an end in September 2015.
Late last year, amid poor financial results and doubts over its direction, IBM announced $3.6bn worth of IT infrastructure outsourcing deals.
4. Where next for IT outsourcing?
IT outsourcing is emotive, but it is hard to find a company today that doesn’t do it in some way.
Finding the best location, or mix of them, for IT services has become a more complicated task in recent years, because CIOs have more options.
6. Could large IT services firms really function with tens of thousands fewer staff?
Could IBM, or any of the large IT and BPO service providers, still function with tens or even hundreds of thousands fewer staff?
The Philippines challenges India as a destination for outsourcing in Tholons Top 100 report.
8. Mistakes CIOs make on IT outsourcing deals – and how to fix them
CIOs don't sign on to large IT outsourcing deals expecting them to go bad – so what accounts for the high failure rates? Andy Sealock offers a game plan for de-risking your deal.
9. G-Cloud suppliers hit out at government IT pricing deal with Huddle
Whitehall procurement chiefs respond to claims that a preferential pricing deal with Huddle goes against G-Cloud ethos.
10. Technologies to consider when renewing an IT services contract
Technology changes quickly, so organisations should ensure flexibility is built into IT services contracts to avoid missing out on the benefits of the latest advances.