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Saturday, July 15, 2006

The Top 50 Best Managed Global Outsourcing Vendors

The Brown & Wilson Group's survey of the "Top 50 Best Managed Outsourcing Vendors" is just released. Based on an extensive survey(one amongst the largest of its kind),it appears to have focused on demonstrably consistent strength in four survey areas:
- Human capital performance
- CEO commitment
- Corporate direction
- Leadership impact
The list is available here. Its interesting to see therein, ACS was the only big six service provider to leap upward to command the top spot in the "Best Managed" ranking in 2006. Also look at the hotshot offshore vendors listed therein. Satyam has been ranked the world’s second best outsourcing vendor and the No.1 amongst Indian vendors - the list includes other well known names like Cognizant,Infosys etc..
The outsourcing "big six" are seeing their dominance challenged in the outsourcing deals that are in the TPI pipeline and in development. Over 50% of the of the $100 billion worth of outsourcing contracts due for renewal globally in the next two years - out of which $17 billion could come in the next six months - have a significant offshoring component "much of which could come India's way." The other challenge for the Big Six is the trend towards a larger number of smaller deals that provide entry for the growing number of global players looking for opportunities. With more client firms splitting up their contracts among several vendors, the average size of deals are coming down and the deals are being spread over a number of players including smaller players. Movement is to a bigger quantity of lesser, single-function agreements. Escalating use of multiple vendors is creating business prospects for an extensive set of providers, while mitigating the competitive advantage of the big six. That’s precisely where survey results like this and perspectives like thiscould help.

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