Information Week posted the results of an interesting outsourcing survey.
For “Outsourcers Lose Luster” the magazine surveyed 300 or so technology and business professionals about their IT and BPO outsourcing projects and concluded that the bigger the revenues, the less satisfied service provider clients might be. According to survey rankings, Deloitte Consulting was voted number one among service providers. IBM and EDS, numbers one and two in terms of service revenue, came in at satisfaction rankings 10 and 9, respectively.
The article quotes one IBM client as saying the company doesn\’t “pay enough attention to its smaller contracts.” (Of course, this customer actually has a multi-million dollar contract with IBM, so “small” is a truly relative term.)
“Reliability” is currently the most important criteria in selecting a service provider, though that\’s closely followed by “cost or value” and “technical skills.” “Financial viability” is another major consideration. This latter may be driven by the latest poor showing of EDS, which reported a quarterly loss tied in part to write-downs of assets related to the Navy intranet it\’s developing.
Another client quoted in the story says he\’s going to divide the work that\’s currently done by ACS into two contracts — one focused on application development and the other on infrastructure management. “Asking one [service provider] to do it all may be a bit of a stretch,” he said.