Welcome!

@CloudExpo Authors: Liz McMillan, Yeshim Deniz, Pat Romanski, Zakia Bouachraoui, Elizabeth White

News Feed Item

NelsonHall ITO Index Shows Slight Decline in ITO Bookings Activity in 2013, with Strong Improvement in H2

This week, NelsonHall held its quarterly IT outsourcing (ITO) Index Webcast, conducted by Dominique Raviart, Director ITO Research. The Index assesses developments in ITO bookings activity globally.

Rachael Stormonth, SVP NelsonHall commented: “I would like to commend Dominique on this, his 21st broadcast of NelsonHall’s ITO Index. The amount of data that feeds into his analysis, backed up by our strong understanding of trends in the global ITO market, has made it a must-attend webcast for our listeners; Dominique provides a realistic assessment of what is happening in the market and why.”

This week’s webcast focused on Q4 2013 and full year 2013 performance.

ITO bookings in Q4 2013 were flat globally, following a promising Q3. For full-year 2013, bookings were down 20%, though the level of new scope bookings, at around 40%, was double that of 2012. Nevertheless, the overall ITO bookings total contract value in 2013 was the lowest since 2008.

Overall, ITO bookings are impacted by market saturation, especially in North America, seasonality in government contracts, impact of a number of technologies including cloud computing and the deflationary impact of India offshoring, which is dramatically driving down prices and TCVs.

The decline in bookings in 2013 was led by North America, where bookings are down 45%, reflecting a drop in bookings in the U.S. commercial sector (-30%). In spite of the specific situation in the U.S. federal sector related, the level of contracts remains at the high end of its bookings level range. Commercial sector however in North America is turning away from traditional outsourcing contracts, moving towards more relationships, as opposed to large awards, and high offshore adoption.

Bookings in Europe were up 30% thanks to the commercial sector (+40%) Continental Europe still offers significant untapped potential for IT Outsourcing.

2013 had a number of positives, and H2 was much stronger than H1. A number of factors, including improving macro-economic conditions, point to slightly improved ITO spending in 2014.

About NelsonHall:

NelsonHall, the leading BPO and IT outsourcing research firm with analysts in the U.S., U.K., and Europe, takes a global approach to analysis of outsourcing markets and vendor capabilities. It is widely respected for the quality and depth of its research.

More Stories By Business Wire

Copyright © 2009 Business Wire. All rights reserved. Republication or redistribution of Business Wire content is expressly prohibited without the prior written consent of Business Wire. Business Wire shall not be liable for any errors or delays in the content, or for any actions taken in reliance thereon.

CloudEXPO Stories
The technologies behind big data and cloud computing are converging quickly, offering businesses new capabilities for fast, easy, wide-ranging access to data. However, to capitalize on the cost-efficiencies and time-to-value opportunities of analytics in the cloud, big data and cloud technologies must be integrated and managed properly. Pythian's Director of Big Data and Data Science, Danil Zburivsky will explore: The main technology components and best practices being deployed to take advantage of data and analytics in the cloud, Architecture, integration, governance and security scenarios and Key challenges and success factors of moving data and analytics to the cloud
For years the world's most security-focused and distributed organizations - banks, military/defense agencies, global enterprises - have sought to adopt cloud technologies that can reduce costs, future-proof against data growth, and improve user productivity. The challenges of cloud transformation for these kinds of secure organizations have centered around data security, migration from legacy systems, and performance. In our presentation, we will discuss the notion that cloud computing, properly managed, is poised to bring about a digital transformation to enterprise IT. We will discuss the trend, the technology and the timeline for adoption.
Cloud computing delivers on-demand resources that provide businesses with flexibility and cost-savings. The challenge in moving workloads to the cloud has been the cost and complexity of ensuring the initial and ongoing security and regulatory (PCI, HIPAA, FFIEC) compliance across private and public clouds. Manual security compliance is slow, prone to human error, and represents over 50% of the cost of managing cloud applications. Determining how to automate cloud security compliance is critical to maintaining positive ROI. Raxak Protect is an automated security compliance SaaS platform and managed service, that enables cloud apps to be deployed securely, quickly, cost-effectively, and without human error.
Enterprises have taken advantage of IoT to achieve important revenue and cost advantages. What is less apparent is how incumbent enterprises operating at scale have, following success with IoT, built analytic, operations management and software development capabilities - ranging from autonomous vehicles to manageable robotics installations. They have embraced these capabilities as if they were Silicon Valley startups.
"MobiDev is a Ukraine-based software development company. We do mobile development, and we're specialists in that. But we do full stack software development for entrepreneurs, for emerging companies, and for enterprise ventures," explained Alan Winters, U.S. Head of Business Development at MobiDev, in this SYS-CON.tv interview at 20th Cloud Expo, held June 6-8, 2017, at the Javits Center in New York City, NY.