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2013 Trends in Managed Services & Outsourcing

by: Sarah Joson

Friday, February 8, 2013 | Outsourcing News |

An article posted at ITWeb.co.za highlights some major shifts in the outsourcing and managed services sector. It also shares the observations of Brian Anderson, an executive at SunGard Systems SA, a technology and software services firm.  

Anderson said as the industry is diversifying in terms of processes being offered to the market, he saw that more businesses are adapting as well, by outsourcing or putting up managed services centers related to non-traditional methods like retirement plan record-keeping, tax processing, and actuarial modelling.    

He also noted that organizations can take advantage of the valuable services and traits of outsourcing providers - their expertise, ability to render services at a lower cost, and they enable business executives to focus on the core operations.

SunGard predicts 10 trends in outsourcing and managed operations:
1. Business process outsourcing and managed services activity will increase this year since more and more clients are seeing its benefits.

2. With the surge of cloud technology, Software as a Service (SaaS) will become more popular as it is anticipated to help increase the productivity of companies across several software components.

3. A more customizable and flexible strategies application hosting for industry-specific services will be the main focus of buyers who have had experience in IT outsourcing in the past.

4. Bulk processes such as infrastructure, application management services, and custom development are likely to be outsourced more as business executives want to have more internal resources for their core functions.
5. Apart from the traditional services, providers are seen to offer complex and high-value processes related to IT.
6. Contracts are also predicted to become more flexible, which balances cost control between the provider and buyer.

7. Cloud technology will be strongly considered by a lot of buyers for their IT infrastructure and application management.

8. There will be stricter guidelines that will monitor if outsourcing providers are complying with global standards, and the provisions of COPC, ITIL, and Lean Six Sigma.

9. More buyers will be more cautious and are anticipated to put providers under a microscope before signing a deal. They will look for good customer reviews, stricter service level agreements, and certifications.
10. Buyers will expect more from their managed services providers. For instance, they will be expecting that providers are capable of handling complex processes such as big data and smart grids.

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