Clients believe outsourcers invent work for extra money

13 July 2012

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13 July 2012 | Kamalpreet Badasha

Just less than two-thirds of IT professionals think their outsourcing provider invents work to earn extra money.

The survey of 250 IT staff, carried out by Lieberman Software, also found 33 per cent said they trust the work done by the outsourcing provider less than that done in-house. The poll also discovered 42 per cent said their outsourcing agreements ended up costing more than planned.

But this lack of trust and extra cost has not weakened the desire to outsource IT. According to the research, 71 per cent outsource their IT, compared to 43 per cent in 2011.

“On the surface, IT outsourcing may seem an ideal solution for many companies, however it often turns out to be more expensive than planned,” said Philip Lieberman, president and CEO of Lieberman Software.

* Meanwhile, both the International Association of Outsourcing Professionals and analysts the Everest Group have published rankings of the top outsourcing providers.

The IAOP’s 2012 Global Outsourcing 100 list was topped by Accenture, followed by Infosys and HCL Technologies. Companies were judged on four criteria: size and growth; customer references; organisational competencies; and management capabilities. The list was compiled using an application process and judged by an independent panel of experts.

The IAOP also rated KPMG as the best outsourcing advisor, followed by Deloitte and PwC.

Accenture was also rated top of the Everest Group’s 2012 financing and accounting outsourcing market leaders league, followed by Capgemini and Genpact. This was compiled using a matrix that assessed market success and delivery capability of services.


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