New TPI Momentum research finds activity slowing in industries that have historically outsourced heavily while adoption growing in other verticals
HOUSTON, June 10 /PRNewswire/ — TPI, the largest sourcing data and advisory firm in the world and a unit of Information Services Group, Inc. (Nasdaq: III), a leader in the information-based services industry, today announced the release of the TPI Momentum 2010 Market Trends & Insights Vertical Industries Report, a comprehensive look at outsourcing activity in 27 major sectors of the economy that shows the factors driving new outsourcing adoption, client decision-making, and spending levels vary dramatically by market segment.
Cost-cutting imperatives brought on by weak economic conditions are affecting outsourcing activity in all verticals, including several that traditionally have outsourced only sparingly. Meanwhile, outsourcing spending is falling in some of the largest verticals, including Diversified Financials, Consumer Durables and Banking.
“There are clearly new industry, regulatory, political and technological drivers that are impacting outsourcing activity,” said TPI Momentum Chief Research Officer Paul Reynolds. “This report highlights the specific, topical factors that impact outsourcing spending levels and decision-making within each of these verticals.”
The report, which combines proprietary market data on outsourcing activity within the Forbes® Global 2000 (G2000) largest public companies with commentary from TPI’s expert advisors, is designed to help service providers and market watchers identify the latest critical market trends and opportunities.
With more than 260 pages and more than 1,500 charts and graphs, it features a global market overview plus individual chapters on 27 vertical industries. It shows not only total spending by G2000 companies within each industry, but also documents the specific services being outsourced and identifies which service providers are winning the contracts. TPI advisors share their recent experiences from real-world sourcing engagements to provide insight into the specific factors that are influencing decision-making in each industry. “Most service providers go to market by vertical, and our research was designed with this in mind,” Reynolds said.
TPI has identified common influences that span markets, such as cost-cutting initiatives, government involvement, technology and increasing demand from emerging markets. The specific outsourcing opportunity within each industry is shaped by penetration rates, historical spending levels, current catalysts and other conditions.
TPI found significant year-over-year changes in the market opportunities for two-thirds of the 27 industries studied. Some industries that were previously weak for hunting new prospects are now much more promising, while in other industries service providers would be better served by trying to expand relationships with current clients.
Source:-http://www.prnewswire.com/news-releases/study-shows-industry-outsourcing-adoption-patterns-changing-96068084.html
