Welcome!

Containers Expo Blog Authors: Elizabeth White, Liz McMillan, Yeshim Deniz, Pat Romanski, Jyoti Bansal

News Feed Item

ISG Forecasts Top Americas Sourcing, Operational Trends for 2013

Sea change in sourcing dynamics underway, cloud growth to continue

STAMFORD, Conn., Dec. 13, 2012 /PRNewswire/ -- Information Services Group (ISG) (NASDAQ: III), a leading technology insights, market intelligence and advisory services company, today identified seven top trends that will define the sourcing and operational agendas of Americas CIOs and their business enterprises in 2013.

"2013 is shaping up to be a year of significant change," said David Whitmore, Vice Chairman, ISG, and President, ISG Americas. "We see a sea change underway in sourcing dynamics, the continued growth of cloud continuing and a changing operational landscape in key verticals. While some of the particular challenges our clients face will vary, a consistent imperative will be to develop and implement strategies that significantly improve efficiency, facilitate managerial oversight and transparency, and enhance competitiveness."

The seven trends ISG identified are based on a survey of the firm's sourcing experts and industry specialists:

Automation will transform the economics of outsourcing. Outsourcing has historically achieved cost efficiencies principally by moving jobs to low-cost labor centers. Today, a new model is emerging that deploys tools, platforms and software that automate tasks and functions previously performed by humans. As a result, the competitive advantage of offshore service providers – skilled resources at low cost – will become less important. Expect to see new players emerge as both buyers and providers create new business models to integrate and manage these capabilities.

HR and e-mail will drive cloud computing growth. In 2013, several big-name global brands will overcome commercial and contracting barriers associated with cloud computing and move their workforce administration, payroll and messaging platforms to multi-tenant SaaS delivery models. As mature and largely commoditized technologies, HR and collaboration are both ideally suited for the SaaS model.  Expect HR organizations to look to SaaS to decrease reliance on corporate IT and provide a more compelling new experience for employees. For IT and procurement organizations, SaaS-based email will reduce costs and licensing overhead.

"Hoteling" of global networks will become more prevalent. As BYOD and mobility requirements continue to drive bandwidth demand in 2013, large organizations will adopt new approaches to manage their global data and telecom networks. Businesses are becoming more conscious of connect-from-anywhere demand from users and are thinking globally about how they buy bandwidth. An emerging "hotel" interconnect model allows an enterprise to tap into a large hosting facility and then provide regional interconnects for best-in-class pricing. Rather than relying on one provider to deliver global services, the hotel model requires enterprises to assume greater ownership of assembling and managing the network, increasing the importance of effective multi-vendor management practices and governance processes.

Risk mitigation will top the agenda for financial services firms. In response to regulatory and compliance pressures, financial services organizations will focus on governance and operational transparency to assess, monitor and mitigate risk. Next year will likely see stricter audits and more regulation of third-party relationships. Regulators will require more evidence of service provider management, as well as evidence of defined governance processes. Many organizations today are lacking – in resources, in data and in connection of data to action.

Insurers will aim high but must overcome legacy barriers. Insurance organizations will aim to centralize and standardize operations across multiple business lines. Rather than having one set of operations for life policies and another for auto, they'll seek rationalization to drive significant efficiency gains. In a similar vein, insurers' sourcing strategy is shifting from staff augmentation to a managed services model. But implementing these initiatives will require overcoming substantial cultural barriers.

Healthcare payers will adapt to a new order. Tier one payers will add to their group portfolios while also increasing their focus on individual policies. As a result, operational dynamics will change, creating demand for new products and for greater granularity in underwriting. And as consumers start buying individual plans, they will demand transparency into costs, service quality and health outcomes. Tier two payers, most notably the regional Blues, must catch up in terms of basic operational efficiency. This will mean more benchmarking, against peers as well as against competitors, as the Blues aim to understand where they have a chance to compete. We will see a move to rationalize myriad administrative systems, implement governance processes, transition from staff augmentation to shared services and manage internal demand for services.

Savvy pharmas will use M&A to drive improvement. The M&A activity that many major pharmaceutical companies are engaging in presents an opportunity to standardize operations and rationalize software portfolios. Because an M&A initiative requires an organization to document the utilization of all software licenses and associated support agreements, the process will encourage some companies to go a step further and deploy a software rationalization initiative. In addition, regulatory requirements will drive an increased focus on data management, tiering and retrieval strategies.

About Information Services Group
Information Services Group (ISG) (NASDAQ: III) is a leading technology insights, market intelligence and advisory services company, serving more than 500 clients around the world to help them achieve operational excellence. ISG supports private and public sector organizations to transform and optimize their operational environments through research, benchmarking, consulting and managed services, with a focus on information technology, business process transformation, program management services and enterprise resource planning. Clients look to ISG for unique insights and innovative solutions for leveraging technology, the deepest data source in the industry, and more than five decades of experience of global leadership in information and advisory services. Based in Stamford, Conn., the company has more than 800 employees and operates in 21 countries.

For additional information, visit www.isg-one.com.

Follow us on Twitter: https://twitter.com/ISG_News

Follow us on LinkedIn: http://www.linkedin.com/company/information-services-group

SOURCE Information Services Group (ISG)

More Stories By PR Newswire

Copyright © 2007 PR Newswire. All rights reserved. Republication or redistribution of PRNewswire content is expressly prohibited without the prior written consent of PRNewswire. PRNewswire shall not be liable for any errors or delays in the content, or for any actions taken in reliance thereon.

@ThingsExpo Stories
DevOps is often described as a combination of technology and culture. Without both, DevOps isn't complete. However, applying the culture to outdated technology is a recipe for disaster; as response times grow and connections between teams are delayed by technology, the culture will die. A Nutanix Enterprise Cloud has many benefits that provide the needed base for a true DevOps paradigm.
Existing Big Data solutions are mainly focused on the discovery and analysis of data. The solutions are scalable and highly available but tedious when swapping in and swapping out occurs in disarray and thrashing takes place. The resolution for thrashing through machine learning algorithms and support nomenclature is through simple techniques. Organizations that have been collecting large customer data are increasingly seeing the need to use the data for swapping in and out and thrashing occurs ...
SYS-CON Events announced today that Progress, a global leader in application development, has been named “Bronze Sponsor” of SYS-CON's 20th International Cloud Expo®, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY. Enterprises today are rapidly adopting the cloud, while continuing to retain business-critical/sensitive data inside the firewall. This is creating two separate data silos – one inside the firewall and the other outside the firewall. Cloud ISVs ofte...
SYS-CON Events announced today that Outscale, a global pure play Infrastructure as a Service provider and strategic partner of Dassault Systèmes, will exhibit at SYS-CON's 20th International Cloud Expo®, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY. Founded in 2010, Outscale simplifies infrastructure complexities and boosts the business agility of its customers. Outscale delivers a secure, reliable and industrial strength solution for its customers, which in...
SYS-CON Events announced today that DivvyCloud will exhibit at SYS-CON's 20th International Cloud Expo®, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY. DivvyCloud software enables organizations to achieve their cloud computing goals by simplifying and automating security, compliance and cost optimization of public and private cloud infrastructure. Using DivvyCloud, customers can leverage programmatic Bots to identify and remediate common cloud problems in rea...
Amazon started as an online bookseller 20 years ago. Since then, it has evolved into a technology juggernaut that has disrupted multiple markets and industries and touches many aspects of our lives. It is a relentless technology and business model innovator driving disruption throughout numerous ecosystems. Amazon’s AWS revenues alone are approaching $16B a year making it one of the largest IT companies in the world. With dominant offerings in Cloud, IoT, eCommerce, Big Data, AI, Digital Assis...
SYS-CON Events announced today that delaPlex will exhibit at SYS-CON's @CloudExpo, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY. delaPlex pioneered Software Development as a Service (SDaaS), which provides scalable resources to build, test, and deploy software. It’s a fast and more reliable way to develop a new product or expand your in-house team.
In order to meet the rapidly changing demands of today’s customers, companies are continually forced to redefine their business strategies in order to meet these needs, stay relevant and continue to see profitable growth. IoT deployment and development is integral in this transformation, and today businesses are increasingly seeing the value of investing their resources into IoT deployments. These technologies are able increase ROI through projects such as connecting supply chains or enabling sm...
SYS-CON Events announced today that Cloudistics, an on-premises cloud computing company, has been named “Bronze Sponsor” of SYS-CON's 20th International Cloud Expo®, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY. Cloudistics delivers a complete public cloud experience with composable on-premises infrastructures to medium and large enterprises. Its software-defined technology natively converges network, storage, compute, virtualization, and management into a ...
New competitors, disruptive technologies, and growing expectations are pushing every business to both adopt and deliver new digital services. This ‘Digital Transformation’ demands rapid delivery and continuous iteration of new competitive services via multiple channels, which in turn demands new service delivery techniques – including DevOps. In this power panel at @DevOpsSummit 20th Cloud Expo, moderated by DevOps Conference Co-Chair Andi Mann, panelists will examine how DevOps helps to meet th...
A strange thing is happening along the way to the Internet of Things, namely far too many devices to work with and manage. It has become clear that we'll need much higher efficiency user experiences that can allow us to more easily and scalably work with the thousands of devices that will soon be in each of our lives. Enter the conversational interface revolution, combining bots we can literally talk with, gesture to, and even direct with our thoughts, with embedded artificial intelligence, whic...
Every successful software product evolves from an idea to an enterprise system. Notably, the same way is passed by the product owner's company. In his session at 20th Cloud Expo, Oleg Lola, CEO of MobiDev, will provide a generalized overview of the evolution of a software product, the product owner, the needs that arise at various stages of this process, and the value brought by a software development partner to the product owner as a response to these needs.
SYS-CON Events announced today that A&I Solutions has been named “Bronze Sponsor” of SYS-CON's 20th International Cloud Expo®, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY. Founded in 1999, A&I Solutions is a leading information technology (IT) software and services provider focusing on best-in-class enterprise solutions. By partnering with industry leaders in technology, A&I assures customers high performance levels across all IT environments including: mai...
Most technology leaders, contemporary and from the hardware era, are reshaping their businesses to do software in the hope of capturing value in IoT. Although IoT is relatively new in the market, it has already gone through many promotional terms such as IoE, IoX, SDX, Edge/Fog, Mist Compute, etc. Ultimately, irrespective of the name, it is about deriving value from independent software assets participating in an ecosystem as one comprehensive solution.
SYS-CON Events announced today that EARP will exhibit at SYS-CON's 20th International Cloud Expo®, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY. "We are a software house, so we perfectly understand challenges that other software houses face in their projects. We can augment a team, that will work with the same standards and processes as our partners' internal teams. Our teams will deliver the same quality within the required time and budget just as our partn...
SYS-CON Events announced today that delaPlex will exhibit at SYS-CON's @ThingsExpo, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY. delaPlex pioneered Software Development as a Service (SDaaS), which provides scalable resources to build, test, and deploy software. It’s a fast and more reliable way to develop a new product or expand your in-house team.
SYS-CON Events announced today that Tappest will exhibit MooseFS at SYS-CON's 20th International Cloud Expo®, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY. MooseFS is a breakthrough concept in the storage industry. It allows you to secure stored data with either duplication or erasure coding using any server. The newest – 4.0 version of the software enables users to maintain the redundancy level with even 50% less hard drive space required. The software func...
In his keynote at @ThingsExpo, Chris Matthieu, Director of IoT Engineering at Citrix and co-founder and CTO of Octoblu, focused on building an IoT platform and company. He provided a behind-the-scenes look at Octoblu’s platform, business, and pivots along the way (including the Citrix acquisition of Octoblu).
SYS-CON Events announced today that Outscale will exhibit at SYS-CON's 20th International Cloud Expo®, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY. Outscale's technology makes an automated and adaptable Cloud available to businesses, supporting them in the most complex IT projects while controlling their operational aspects. You boost your IT infrastructure's reactivity, with request responses that only take a few seconds.
SYS-CON Events announced today that Systena America will exhibit at SYS-CON's 20th International Cloud Expo®, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY. Systena Group has been in business for various software development and verification in Japan, US, ASEAN, and China by utilizing the knowledge we gained from all types of device development for various industries including smartphones (Android/iOS), wireless communication, security technology and IoT serv...