Is the number and size of large outsourcing deals getting shrunk? Answer seems to be Yes. For the mega deals happening in the market, there are some business takeover activity – where suppliers have to make significant upfront payments. It typically involves writing a check to create joint fund, buying an asset or taking over delivery centers with a large ticket long term deal commitment. This requires a revised mindset of suppliers and such changing behaviors include,
- Put skin in the game to partner in large smart sourcing transaction rather than just winning a hefty TCV contract
- Collaborate with clients to expediting cloud adoption – end of life asset strategies and strike a balance with apt markups to manage cloud contracts
- Refresh application / software currency delivering services in hyper connected world
- Enable efficient business processes with platforms that offer predictive and prescriptive capabilities with consumption based pricing
- Not really offshoring but the right balance with local-shoring offering cost arbitrage
- Revived business model with competitive margins. Automation is the next frontier for to improve profit margins
- Progress beyond automation – a software bot is costing about one-third the price of an offshore full-time employee
- Keep in mind “Digital is default” – partner to digitally reimagine client’s business and transform into AI’led sourcing.
