Report

New Market Pressures Will Drive Next-Generation IT Services Outsourcing

IT Management Dilettantes Are Squandering Enterprise Resources

October 9th, 2008
With contributors:
Andrew Parker, Antonin Shanahan

Summary

Against a background of economic crisis, war, price shocks, natural disasters, and political upheaval, making decisions about IT services for global enterprises is getting more complicated. Regardless of whether you think the daily news points to the Apocalypse or simply a rough patch of road, today's turbulent business environment can all but paralyze enterprise planning. IT faces this impact as much as any other business function, but the reality is that commerce must continue. IT service delivery is a foundational capability essential to our modern world, and technology-driven efficiency improvements are vital to business success. Unfortunately, many firms source and manage IT services badly, basing decisions on invalid assumptions that ignore changes and challenges in the market. Smart execs use IT services not merely to manage technology "plumbing" but also to profoundly affect business performance. Sourcing groups must support business decision-makers in aligning the IT management archetype to the outsourcing deal, identifying providers that will thrive in the new outsourcing business context, and welding IT goals to core business outcomes.

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