“Back-office service in supply chain management (SCM) grew at a compound annual growth rate (CAGR) of 25% between 2010 and 2014, to reach US$1.2 billion, according to a study from Everest Group. The sector is, however, undergoing some fundamental changes, with BPO providers wondering how they can make use of Big Data analytics to sign up more buyers. Compared to other back-office services such as F&A outsourcing, analysts say, supply chain management is still in its infancy.” Read More.
“Indian IT firms are seen to be using lower prices as a means to win the big contracts, and some of them are tweaking their onsite-offshore ratios and deploying automation tools to lower costs to ensure margins are not adversely affected. “We see Wipro, HCL, and Cognizant leading the way in using price aggressively in mega deals, with the other Indian firms following close behind. HCL, Wipro and TCS are all looking to utilize automation to change the game and come in at very aggressive price points,” said Peter Bendor Samuel, CEO of Everest Group.” Read More.
“It has been a tough journey. If not for the acquisition of Satyam, Tech Mahindra would have continued to be a mid-sized services provider. Scale does give you an advantage in IT services. More, the IT services market has reached a certain stage. For a company to now enter and make a mark in the same genre is difficult. The wave of opportunity that took Indian IT service providers with it is over. This acquisition gave them scale and also capabilities in ERP (enterprise resource planning) and infrastructure management for non-telecom clients, said Yugal Joshi, practice director, Everest Group, a research and consulting firm.”Read More.
“HP has dismissed reports that it’s planning to exit the public cloud market, after one of its senior vice-presidents admitted the supplier has given up trying to compete with the likes of Amazon, Google and Microsoft. However, that’s not to say the company may not have a stab at taking on the public cloud behemoths directly later down the line, according to research vice-president for Europe at IT market-watcher Everest Group, Sarah Burnett.” Read More.
Apple is secretive about almost everything it does. And among its best kept secrets is the work it does with Indian IT vendors. The vendors themselves are sworn to secrecy through stringent non-disclosure agreements. And since Apple is invariably among their most valued clients, they don’t disclose a word about their relationship with the Cupertino-based iPhone and iPad maker. Peter Bendor Samuel, CEO of US-based research advisory Everest Group, believes the Indian firms have the potential to capture significant revenue from Apple across areas and that the business could grow into hundreds of millions of dollars.” Read More.