Prospectus. ninth edition

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1 Prospectus 2011 ninth edition

2

3 Outsourcing Performance 2011

4 Outsourcing Performance Outsourcing Performance is the study which Giarte conducts every year among the top-500 organisations in the Netherlands which outsource (part of) their IT to service providers. Giarte bases its research on its community of decision makers, Digital Boardroom: A confidential environment to exchange experiences. In 2011 the Outsourcing Performance study will be conducted for the ninth time. Over the past years the study has become an important permanent fixture for sourcing executives. Many organisations are always looking for an independent sounding board, which they find in Outsourcing Performance. Our motto, what we learn, we share, provides the foundation for this success. The study focuses on the quality of the relationships between outsourcers and service providers. Without a good relationship a service provider has no chance of expanding its commercial position to the satisfaction of both the client and the supplier. Outsourcing Performance offers insight into the structure of the client group, identifies commercial opportunities within this group, and compares the outcomes with the whole market. Last year 19 service providers used the outcomes as a barometer for their outsourcing activities. Research population Number of respondents Number of companies Number of unique relations Contract value* 1,9 2,1 3,0 3,5 4,4 3,1 The study also examines the trends within the CIO office in the area of outsourcing. Each year Giarte charts developments across the whole market. Both substantive and commercial aspects receive attention. These insights are used by service providers in business development sessions, management discussions and strategy meetings. They also act as input for market research, competition analysis and internal improvement programmes. This prospectus sets out the options for participating in Outsourcing Performance. A Dutch-language version of this prospectus can be downloaded from * Estimated value in study (based on annual contract value, in billion Euros) 4

5 Outsourcing Performance: the annual reality check The strength of data substantive feedback The unique characteristic of Outsourcing Performance is the combination of quantitative and qualitative feedback for service providers. Giarte s research methodology consists of gathering information through an online survey, followed by interviews in order to interpret the results accurately. In this way a unique and complete picture emerges of each service provider s position in the market. The way they deal with offshore is very impressive. I ve just been to India to look at their new plant. It s very promising for the future. Each service provider participating in the study receives the results in various forms: Presentations Giarte presents the individual outcomes of the research to each service provider participating in the study. Based on the figures and interviews, Giarte considers the situation within the client group in question and provides an update of the latest trends in the market. Presentations are a good way of offering people a view from the outside world. Giarte also gives feedback which clients themselves are not likely to give easily. This feedback may not always be comforting, but it is very valuable in maintaining relationships and initiating internal improvements. Workshops A workshop focuses on a specific problem. For instance on a particular client segment such as the government, a good strategy for extending existing contracts, or the optimisation of client contacts within the service provision. Giarte uses the study s findings to translate the challenges into starting points for practical solutions. Reports The results of the study are set out in a clear report. Each year Giarte considers which form is most suitable for the outcomes. The report is available in both hard copy and digital form. Outsourcing Performance yearbook Participants in the study also support the Outsourcing Performance yearbook. Each year Giarte publishes the results of the research in a handy format for the demand side of the market. Over the years this publication has grown into a muchconsulted reference for IT sourcing executives. For service providers the yearbook is an excellent way of informing business and service managers of the latest trends in sourcing. They don t understand the urgency of certain matters. They maintain servers, and that s about it. 24/7 should not just be a slogan. Everything is about business impact! They ve improved somewhat over the past years. It s a slow process, but they are moving forward. It s not about securing the SLA; it s about whether our customers can be helped at any time. And therefore you don t want to be dependent on a few specific persons. That s why I personally will not recommend them. If these people aren t available for some reason, I m not sure they can cope. Giarte interviews clients of each service provider for a thorough reality check. 5

6 an active community Giarte presents the results of the study during Outsourcing Performance Day, a unique and annual event for sourcing executives. 6

7 Outsourcing Performance in 2011 Result Schedule 2011 Service providers gain a unique overview of their own performance and business opportunities at clients. The study also presents an overview of the entire market, so that providers can compare their performances and opportunities with those of their competitors. For years now the outcomes of the study have been a mirror for the directors and outsourcing managers of service providers. The study reflects the views of decision makers: the respondents are sourcing executives on the client side who have an impact on contract extension and/ or increase in the share-of-wallet. What is more, respondents give Giarte their unfiltered opinions of their own sourcing strategies and their relationships with service providers. A service provider s complete market profile is composed of the following elements: Satisfaction and willingness to recommend Satisfaction in the domains application management, infrastructure management and end user management; we also ask how strongly a client will recommend the service provider; Commercial opportunities in the market The likelihood that existing contracts will be extended (reletting), the likelihood that the service provider will expand its services within the client base (shareof-wallet), and general growth of outsourcing among all participating client organisations; Market developments Trends in the area of sourcing which are important to a service provider s go-tomarket strategy. The research approach may be changed depending on the latest insights. Giarte reserves the right to change its methods, even after the publication of this prospectus. December/ January/ February March/April May/June July August/September October Preparation and invitation of research group in collaboration with service providers by means of the contract review Perform online research Data-processing, analysis and production reporting Publication of results to service providers In-depth interviews and presentations at service providers Publication of results to respondents The report will be delivered on 7 July On 6 October 2011 the Outsourcing Performance 2012 booklet will be released at the Outsourcing Performance Day, organised for respondents of the study. Contract review As preparation for the study, Giarte performs a contract review with service providers to gain an accurate image of the client group. Giarte provides an overview of contracts to the service provider for completion and correction. Cooperation is completely voluntary and is separate from participation in the study. Experience has shown a thorough contract review generally provides an advantage for the service provider: with a complete list Giarte can help to ensure that the satisfied client group, in particular, is also involved in the study. Furthermore, an accurate review prevents that contracts which are (just) ended will be included. 7

8 Service providers in the study The following 32 service providers are mentioned by name in the research process: - Accenture - ASP4all - Atos Origin - AT&T - BT - Capgemini - Centric - Ciber - Cognizant - CSC - Fujitsu - Getronics / KPN - HCL Technologies - HP Enterprise Services - IBM - Imtech ICT - Infosys - Inter Access - Kender Thijssen - Logica - Mahindra Satyam - Orange Business Services - Ordina - Schuberg Philis - Siemens - Simac - Sogeti - Tata Consultancy Services - T-Systems - Valid - Verizon - Wipro Last year the respondents in the study provided information of 63 different service providers. Service providers with more than seven evaluations receive a place in the study report. For the indication of satisfaction levels, a lower limit of seven evaluations was also set per domain. Each supplier included in the research outcomes get a brief description in the Outsourcing Performance yearbook. Last year 21 providers received sufficient evaluations to be given a specific mention in the report. For the Outsourcing Recommendation Index, Giarte uses a lower limit of 15 evaluations. Only service providers which achieve this number will be included in this index and get a detailed profile in the yearbook. The service providers marked with a after their name in the table on the left received more than 15 evaluations in the 2010 study and thus gained a place in the Outsourcing Recommendation Index. Each respondent has the possibility to add one service provider who is not mentioned by name and assess that provider in the study. 8

9 Participation in the research Each service provider considers questions such as: What are our client s needs? How can we improve our service? Do decision makers see us the way we want them to? Does our service portfolio fit in with the opportunities in the market? How are sourcing strategies developing within organisations? Outsourcing of IT is still a young market, and innovations in the underlying technology are constantly shifting the opportunities and expectations. Under these circumstances it is essential to face the outside world openly. Giarte translates expectations, opinions, satisfaction and willingness to recommend into a clear client image. Our research is not derived from consultancy work, and we do not use the quantitative results of our research in commissions. Giarte cannot be hired as an adviser on selection procedures. Only in this way can we protect our objective position, and can we remain a trusted mirror for both the supply and the demand side of the market. In outsourcing it is not possible to string small short-term successes together into a strong chain. For each service provider, then, participation in Outsourcing Performance represents an investment in building up relationships for the long term. Depending on the extent of a service provider s ambitions, there are several ways of participating in Outsourcing Performance. We explain the various options in the right-hand column and on the following pages. The study has four variants: Basic, Insight, Insight + and Excellence. Each variant differs in reporting and presentation of the results. A custom program can be developed if these options do not suffice. Basic This version of the research is suitable for service providers with a limited presence in the Netherlands with regards to outsourcing. Purchasing this variant provides participants with insight into their own scores plus a general update of market developments, performances of individual service providers and commercial possibilities in the market. The reporting contains all the basics for getting a good picture of the Dutch market and to understand growth opportunities. Insight The Insight variant is intended for all service providers with ten or more clients who need a thorough insight into the commercial possibilities in the Dutch market. They gain insight into the story behind the figures, amongst other things taken from a number of interviews with clients. Outsourcing Performance functions as a thorough reality check and provides sharpness and clarification of developments on the client side. Insight+ The Insight + variant provides for the needs of service providers who are looking for concrete actions to lead to a higher recommendation rate. A tailored complementary analysis gives an answer to the specific question: how do I increase my fan base and retain my promoters? This variant digs deeper and looks at things in more detail than is possible in the Insight package. The results are fed back in a convenient and well-organised way during the regular presentations. Excellence The Excellence variant of the study is available for the most ambitious service providers. Using interviews that are specially designed for the specific situation of the service provider, Giarte investigates where they stand on the executive radar within the client group. These in-depth discussions with CIOs and members of the board of directors provide the service provider with unique and unfiltered feedback for growth opportunities and the development of relationships within their own client group. 9

10 Basic This version of the research is suitable for service providers who want to gain an insight into their own performance but do not yet have ten clients in the Netherlands for result-oriented outsourcing. Purchasing this variant provides participants with insight into their own scores plus a general update of market developments, performances of individual service providers and commercial possibilities in the market. The reporting contains all the basics for getting a good picture of the Dutch market. Basic is also suitable for service providers who do not reach the lower limit of clients but who want to invest in an update of their market knowledge for their account management and to integrate the results of the research into their growth plans. In an active presentation we look at the right approach for achieving growth on the basis of the latest client and market insights. Deliverables - Research report (for internal distribution only) 10 printed copies Digital as PDF - Yearbook Outsourcing Performance printed copies - Presentation Internal presentation for a selected group The worksheets are provided digitally Insight The Insight variant is intended for all service providers with ten or more clients who need a thorough insight into the commercial possibilities in the Dutch market. They gain insight into the story behind the figures, amongst other things taken from a number of interviews with clients. Outsourcing Performance functions as a second opinion and provides sharpness and clarification of developments on the client side. As well as all the information that we provide as part of the Basic variant, Insight customers also receive a detailed analysis per branch and contract value plus an extra management presentation in which client issues, action points and a market overview are set out for each provider. Deliverables - Extended research report (for internal distribution only) 15 printed copies Digital as PDF - Detailed information in digital format - Yearbook Outsourcing Performance printed copies - Presentations Two internal presentations for various select groups The worksheets are provided digitally 10

11 Insight+ The Insight + variant provides for the needs of service providers who are looking for concrete actions to lead to a higher recommendation rate. A tailored complementary analysis gives an answer to the specific question: how do I increase my fan base and retain my promoters? This variant digs deeper and looks at things in more detail than is possible within the Insight package. The results are fed back in a convenient and well-organised way during the regular presentations. Insight + customers receive all deliverables that are included in the Insight variant plus the additional in-depth analysis for improving the recommendation rate. Additional copies of the Outsourcing Performance booklet are also included in this variant for distribution. Deliverables - Extended research report (for internal distribution only) 15 printed copies Digital as PDF - Additional analysis to improve the willingness to recommend Results are processed in the presentations that are included in this package - Detailed information in digital form - Yearbook Outsourcing Performance printed copies - Presentations Two internal presentations for various select groups The worksheets are provided digitally Excellence The Excellence variant of the study is available for the most ambitious service providers. Using interviews that are specially designed for the specific situation of the service provider, Giarte investigates where they stand on the executive radar within the client group. These in-depth discussions with CIOs and members of the board of directors provide the service provider with unique and unfiltered feedback for growth opportunities and the development of relationships within their own client group. The results of this qualitative analysis, in addition to the figures from the research, are an objective reflection for your internal business plans. Within Excellence there is sufficient room to be able to look in more detail at the most important clientspecific questions that we can only answer with adequate qualitative research. The Excellence variant also brings the results from the research intensively over to the right people. This enables Giarte to explain all the details of the research, together with the strategic considerations that are important for the coming year, in an interactive session. The other packages show other service providers research results in the report, but place the emphasis in your own performance. Only within Excellence Giarte goes a step further by interpreting these figures into competitor strengths and weaknesses. Deliverables - Excellence research report (for internal distribution only) 15 printed copies Digital as PDF - Detailed information in digital form - In-depth interviews with clients - Yearbook Outsourcing Performance printed copies Entitlement to order additional copies - Presentations Two internal presentations for select groups The worksheets are provided digitally - Commercial clinic by Giarte Hands-on meeting for selected group which looks at do s and don ts, internal professionalisation and dealing with market trends 11

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13 Price and additional options Tailored programmes The price per option is as follows: Basic 14,500 Insight 21,500 Insight + 26,500 Excellence 34,500 Participants will receive a discount of 2,000 on the prices stated above exclusively during the pre-registration period. The package prices during this period are as follows: Basic: 12,500; Insight: 19,500; Insight + : 24,500; and Excellence: 32,500. The preregistration period closes upon commencement of the study (1 March 2011). All prices exclude VAT. Some service providers have requirements and wishes which we cannot accommodate within the standard versions of the research. That is why Giarte can also develop tailored programmes surrounding the Outsourcing Performance study. Examples include identifying the views of clients on different levels within client organisations, exploring market propositions among prospects, supporting internal business development and/or communication strategy activities. Giarte always prepares a specific proposal and a quotation for such tailored programmes. Factors affecting the price include the size of the client group, the desired outcomes, and the size of the target group within the service provider itself. So that you can make optimum use of Outsourcing Performance, we recommend that you contact Giarte well in time. Billing With pre-registration, the full amount will be invoiced upon commencement of the agreement. This invoice has a payment term of a maximum of thirty days. 13

14 opnieuw naar voren als kampioen Over Logica was geen van de respondenten Centric zat dit jaar met wat minder contracten in het onderzoek, maar de klanttevredenheid steeg tot meer dan vijftig procent doelen. Ook geven veel CIO s toe dat ze ei- Een en ander komt naar voren uit de woensdag vrijgegeven Outsourcing Performance Monitor 2011, waarin het in IT-sourcing gespecialiseerde onderzoeksbureau Giarte de 15 belangrijkste drijfsdoelstellingen voor de outsourcing. Kijkend naar wat er bij outsourcing zoal meteen al veel minder imposant, maar de IT-dochter van KPN niet te kunnen aanbevelen in Nederland, geen groot succes te zijn geweest verlangen om kosten aan de business door te berekenen, want dat is slechts worden ook wel genoemd, maar door overstapt op een singlevendorstrategie bovendien nog eens een aanzienlijk deel (ruim een derde) wel voornemens het aantal providers terug te brengen. De keuze tussen single- of multivendorsourcing heeft veel te maken met om- HOME Agenda. De sector kan pro teren van het Europese beleid, zegt voorzitter Brongers. Microsoft lanceert Windows Phone 7 in een ultieme poging om de markt van smartphones naar zich toe te trekken. Ontwikkelaars hebben liever ios, maar ze denken dat Android de toekomst heeft. De verkoop van netbooks daalt alweer, onder invloed van tablets en laptops. Dell gaat de strijd om het rekencentrum aan met HP en Cisco. Zijn troeven: openheid en heterogene systemen. Qurius wil koploper duurzaamheid en Communication and media 8 oktober 2010 nummer 40 Stiefkindje van de IT Kantoormanagers laten hun architectuur dicteren door leveranciers. Maar die hebben geen visie. 14 Niet serieus Het Project Management Office wordt zelden serieus genomen. Adviezen voor verbetering. 16 Vrouwelijk succes Meisjes kiezen vaker bèta als vrouwelijke rolmodellen uit de ICT op school voorlichting geven. Outsourcing: realisme daagt 19 ACTUEEL TECHNOLOGIE MARKTMONITOR IT IN BEDRIJF PEOPLEWARE Kijk voor het laatste nieuws op Automatiseringgids.nl Opdrachtorganisaties krijgen oog voor eigen fouten in sourcingmanagement ACTUEEL Pro teren 3 Accenture komt uit het onderzoek Ngi gaat aan de slag met de Digitale in klanttevredenheid Laatste kans 4 Bij Getronics verdubbelde de ontevredenheid. Meer dan een kwart van de grote klanten in het onderzoek zegt negatief. Het aantal tot aanbeveling bereide klanten verdubbelde bijna MARKTMONITOR Android wint van ios 6 Netbook passé 6 TECHNOLOGIE Afgaand op de afnemende klanttevredenheid bij HP Enterprise Services lijkt de overname van EDS, althans Strijd om rekencentra 8 Volwassen interface 10 Dienstverlener niet langer PAGINA 12-13: DE BEVINDINGEN PER DIENSTVERLENER automatisch gebeten hond houdt, op basis van interviews met hun grootste afnemers. HTML5 maakt de browserinterface volwassen, en dat werd tijd. Een overzicht van de belangrijkste vernieuwingen. CIO s erkennen vaagheid Opvallend in het onderzoek is dat de denkt dat het succes van hun sourcing eigen sourcingmotieven I n IT-outsourcing geldt nog steeds dat de klant koning is, maar wel een koning die als het niet lekker loopt steeds meer bereid blijkt kritisch naar z n eigen rol te kijken. Wat hij dan ziet is vaak dat geïnterviewde CIO s zelfkritiek niet schuwen. Waar het een paar jaar geleden nog bon ton was om elk sourcingongemak aan de dienstverlener toe te schrijven, blijkt de CIO zich anno 2010 zeer bewust van zijn eigen verantwoordelijk voor de ingekochte diensten. Als belangrijkste verbeterpunt voor zou toenemen als er meer aandacht kon worden besteed aan deze basale vraag. Daarnaast zeggen veel CIO s dat hun sourcingmanagement beter kan worden als ze meer inzicht zouden hebben in de kosten van hun uitbestedingen. Beter inzicht verkrijgen op dit punt wordt door meer dan 40 procent van de geïnterview- Al jaren is in IT-sourcing een trend gaande van single-vendorsourcing naar multivendorsourcing. De overwegingen daarbij variëren van het ook binnen de IT-discipline recht doen aan specialisaties tot spreiding van afhankelijkheid en risico in de samenwerking. De cijfers van Giarte suggereren dat sommige organisaties Dubbel gevoel 10 Java-gebruikers hebben een dubbel gevoel overgehouden aan Oracles OpenWorld. De plannen overtuigen niet. PEOPLEWARE de schoen al wringt in de allereerste fase van de sourcing, bij het definiëren van de het eigen sourcingmanagement noemen de meeste CIO s de definiëring van de be- den als eerste of tweede prioriteit aangewezen. En die urgentie staat los van het daarin wat zijn doorgeschoten; het aantal bedrijven dat van een multiventidorpolicy Het roer om 21 genlijk onvoldoende inzicht hebben in de kosten van hun outsourcing. Het meest geuite punt van kritiek dat wel op het Bijna de helft van de opdrachtorganisaties bij een op de tien geïnterviewden aan de orde. bedraagt (met 18 procent) bijna het dubbele van de tien procent die een tegengestelde beweging voor ogen staat. Van de sociale verantwoordelijkheid worden. En Jeroen Verkuyl moet daarvoor zorgen. bord van de dienstverlener belandt blijkt een teleurstellende IT-productiviteit. Waarover we zoal niet tevreden zijn... grote groep die multi-vendor sourcet (70 procent), en dat ook wil blijven doen, is Er valt voor dienstverleners nog genoeg te verbeteren IT-outsourcingproviders tegen het licht ADVERTENTIE niet optimaal loopt komt Giarte tot een nogal heterogeen beeld: de eerste en tweede verbeterprioriteiten omspannen in tend: 19 procent van de ondervraagden denkt dat de tevredenheid van hun vang: onder de bedrijven met minder dan 1000 medewerkers is het percentage single sourcers (24 procent) ruim driemaal Con ICT 21 (externe) klanten lijdt onder missers die Don t buy servers. Create them! totaal meer dat tien sterk uiteenlopende kwesties: Het meest in het oog springende punt van ongenoegen is het simpele kwantitatieve gegeven van ITproductiviteit. Meer dan de helft van de geïnterviewden geeft (op de eerste of tweede plaats) aan dat de ingehuurde zijn terug te voeren op geoutsourcete IT-ondersteuning. Verder blijken ook zaken als ITrisicomanagement, innovatie, bedrijfsproductiviteit, ef ciëntie van de compliance, marketing en proces- & systeemintegratie als outsourcingkopzorg bij ten minste een op de tien ADVERTENTIE zo hoog als onder de grotere bedrijven. Rolf Bij ontevredenheid hoort ingebrekstelling. Want zonder aanmaning kun je een overeenkomst meestal niet ontbinden.. Ontdek de voordelen van IT-dienstverlener eigenlijk wat harder zou moeten werken. Het tweede punt op Giartes ranglijst CIO s op de eerste of tweede plaats te komen. The Enterprise Cloud op: Negatieve effecten op groei, duurzaam- van ongenoegens is getalsmatig heid of onderscheidend vermogen desalniettemin inhoudelijk verontrus- minder dan een op de tien ondervraagde CIO s.. 14

15 Communication and media Yearbook Outsourcing Performance 2012 The results of the study will be published in the fifth edition of the yearbook. This book will contain the most detailed information about the Dutch market, described in clear language. Each year, this publication is a must-read for all CIOs, sourcing executives and consultants who we all will send this book. This edition will of course feature the research results and profiles of the largest service providers. Sourcing professionals will be interviewed and additional analysis will describe how to support successful outsourcing. Giarte is aware of the impact that such a publication can have on the conduct of organisations that are going for contract extensions or are involved with vendor selection. A minimum of 15 contracts is therefore used before extensive reporting is done on performance in the market. Entries in the booklet are completely separate from participation in the study. Giarte employs absolute objectivity in the texts that it publishes. Each provider with 15 evaluations or more is given a profile in the booklet. Service providers who have fewer contracts, but who are included in the vendor reporting are given a brief mention in the booklet. Market communication Giarte treats information that comes out of the study with extreme care. Respondents receive feedback about their own service provider(s) to a limited extent, depending on the level to which the organisation contributes data. As well as general results, five aspects from individual service providers are communicated in public articles, research notes and possible articles from the press: - The Outsourcing Recommendation Index, including qualitative explanation and the size of the three recommendation groups for the service providers with more than 15 contracts in the study - The names of the service providers that are number one, two and three in the Application Management, Infrastructure Management and End User Management domains, if it appears that we have more than ten domain evaluations in the benchmark for each of these parties - The market penetration of various service providers - The perception of the positioning of service providers - Chances of extending current and gaining new orders for service providers Full disclosure of all results to clients is only given in the form of a presentation at a closed meeting (Outsourcing Performance Day), exclusively for the researched organisations. There is also the possibility for end users to gain an insight into the detailed results by means of an exclusive paid workshop. The press only receives the publicly available information as indicated above, and the generally available respondents booklet and information about the general market developments if they have a need for them. Giarte does not have any influence on journalistic freedom and how the information provided is used. 15

16 about Giarte Giarte is a research agency for strategic issues in the field of IT and business. CIOs, CEOs, CFOs and VPs are involved in the framing of strategic issues such as governance, global sourcing and shared service centres via the closed research community, DigitalBoardroom. The focus is on larger companies and government organisations in the Netherlands. Almost all large companies and government organisations are represented in the community. Hundreds of decision-makers periodically provide their feedback on strategic issues via DigitalBoardroom. This closed community serves as a trusted basis for the Outsourcing Performance 2011 study. For more information about Giarte s services visit: Giarte Jacob Bontiusplaats LL Amsterdam PO Box AW Amsterdam Telephone Fax

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