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For CIOs

The Coming Upheaval In Tech Services

Four Economic And Technology Factors Will Combine To Recast The Business

July 29, 2010


  • By John McCarthy,
  • Pascal Matzke
  • with Thomas Mendel, Ph.D.,
  • Ellen Daley,
  • Christopher Mines,
  • Christine Ferrusi Ross,
  • Charles Green

Why Read This Report

The tech services market is about to undergo a massive transformation that will call traditional provider business models into question. Four factors will combine to dramatically change the dynamics, economics, and competitive landscape of IT services over the next three to four years: 1) the "restructuring economy"; 2) innovation moving to the edge of the enterprise; 3) the redefining of buying and governance dynamics in accounts; and 4) "as-a-service" becoming the norm. This is the first in a series of reports that detail the success imperatives for tech services vendor strategists. The five initial success imperatives include: a ruthless continuing focus on process excellence and efficiencies; portfolio management with a product marketing and proactive solution packaging mindset; a sales strategy that builds and rewards a new type of client relationship; a culture and processes that drive success across client and partner ecosystems; and a management vision and thought leadership underpinned by strong governance.

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Tools And Templates

Models and Calculators

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  • Model: The Estimated Changing Revenue Mix Of Global IT Services, 2009 To 2020
  • The Top 10 Services Vendors In 2010 And 2020
  • Budget Cuts, Rising Business Demand, And Too-High Operating Costs Mean IT Needs Help
  • Firms Ramp Up Spending On Social Media
  • Gen Y Has Different Technology Expectations
  • The Level Of Change Will Accelerate In IT Services
  • The Shifting Makeup Of Enterprise IT Budgets
  • Cash On Hand For A Range Of Different Suppliers

Table of Contents

  • Diverse Forces Align To Change The Face Of IT Services
  • New Offerings And Models Will Eclipse Traditional Services
  • Strategists Need To Change Processes, Governance, Organization, And Culture

  • The New Services Landscape Has Broad Implications
  • Supplemental Material
  • Related Research Documents

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