For Sourcing & Vendor Management Professionals (Length: 15 pages)

Executive Summary (This is a document excerpt)

Our Forrester Wave services analysis of 13 leading applications outsourcing (AO) providers across 50 criteria has determined that these companies offer adequate service offerings but that they must do more to meet customer demand for value and innovation. The analysis found many Leaders, including Accenture, Capgemini, Cognizant, CSC, IBM, Infosys, Keane, Perot Systems, Satyam, TCS, and Wipro; CGI and EDS were Strong Performers. With once-distinct value propositions between global players and offshore players converging, AO providers now exhibit contrasting — and in many ways complementary — strengths. Capabilities are strong, but customers will need to weigh their particular preferences and requirements to achieve an optimal fit. Offshore players still hold the lead in price competitiveness, while multinational corporations (MNCs) still have the edge in global reach. While the multinationals possess more vertical industry and business domain competencies, most providers across categories struggle with applying them in the context of AO engagements, according to client references. Customers of AO providers are a generally satisfied bunch, although they share the view that applications outsourcers across the board must be more proactive in demonstrating both business and technical value in AO engagements.

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