Tag: Outsourcing trends

The CX in CCO has Evolved – How are Pinnacle Enterprises™ Doing it? | Sherpas in Blue Shirts

There’s no shortage of market discussion around a wide range of customer experience (CX) opportunities and challenges. It’s what everyone in your organization, from IT, to HR, to actual customer care, are talking about. But while ideas about what you should be trying to achieve and why you should care abound, insight on how to actually execute and what delivery outcomes to target is hard to come by.

Use of CCO Services

One approach drawing attention involves the use of contact center outsourcing (CCO) services. The traditional “butts-in-seats” model is evolving to more of a customer experience management (CXM) service model, where outcomes are assessed for impact as much as for cost management. The traditional view has been that the primary value delivered by CCO providers is operational cost savings through efficiencies, labor arbitrage, and scale. But that’s no longer enough. An increasing number of enterprises are raising the bar and looking to their CCO providers for an expanded value proposition targeting digitally-enabled and differentiated CX capabilities. We refer to this engagement approach as Customer Experience Management (CXM) services.

CX Outsourcing Pinnacle EnterprisesTM

We believe that companies really serious about reshaping their brand through memorable CX are more often turning to this new model of CXM services. We call this breed of buyers CX Outsourcing Pinnacle EnterprisesTM. And we believe these enterprises are very intentionally leveraging these advanced CXM services to enhance their corporate-wide CX strategies, and to achieve results more quickly and at lower costs.

We’ve launched a unique study to dig deep and identify how these Pinnacle Enterprises engage CXM services to drive both operational and strategic imperatives for their overall CX strategy. How can this emerging model help enterprises tackle high-value CX objectives such as digital enablement, greater insights on and visibility into consumer wants and behaviors, increased wallet share, and reduced customer effort? What are the mechanisms in play around technology, governance, talent models, pricing models, and others?

This is an all-around different approach to CXM services – a rethinking of which outcomes to target, what to measure, the role of technology, and the new relationship model.

Curious to know what leading CX Outsourcing Pinnacle Enterprises are doing? Want to know where your organization stands compared to others? Everest Group invites you to become part of the research process and take our survey.

Future of Healthcare IT Outsourcing Market Hinges on US Election, Department of Justice Verdict | Press Release

Healthcare payers choose wait-and-see strategy for mergers, health insurance exchanges; focus on security, integrated operations is full steam ahead

The outlook for the global healthcare IT outsourcing (ITO) market is hanging in the balance, with all eyes watching to see the outcome of the U.S. presidential election and the verdict of antitrust proceedings filed by the U.S. Department of Justice opposing the proposed Aetna-Humana and Anthem-Cigna mergers. Despite these uncertainties, Everest Group predicts that the global healthcare ITO market will exhibit a 12 percent compound annual growth rate during the period between 2014 and 2020, reaching US$68.3 billion in 2020.

“This growth, a bright spot in an otherwise bleak IT outsourcing marketplace, will be driven primarily by healthcare payers as they gear up for various movements in the market, such as payer-provider convergence, patient-centric care, evolving reimbursement models and value-chain digitization,” said Abhishek Singh, practice director with Everest Group and leader of Everest Group’s Healthcare & Life Sciences research practice. “Tactically, payers need to evolve on their sourcing maturity journey. The cost and efficiency mandate will be best served by sourcing the best quality services at the lowest possible costs. In this regard, the maturing technology service provider landscape is ripe for payers to explore outsourcing in a big bang manner.”

Everest Group has identified four trends that will shape healthcare IT outsourcing demand in the next 24 months:

  1. Large mergers are being pursued in the healthcare payer market. As noted above, two such mergers are being held at bay by the U.S. Department of Justice, with antitrust proceedings slated to begin on December 5, 2016. Should the mergers proceed, they will (after an initial lull in demand) increase the IT consulting spend for merger planning and integration projects. Subsequently, the mergers will lead to vendor consolidation as the surviving entity attempts to eliminate redundant IT systems and processes.
  2. Disillusionment with health insurance exchanges (HIXs) will impact spending in the near future. Already, several payers are seeking market exit options from the HIX business due to heavy losses sustained in the past financial year. The U.S. presidential election in November 2016 will shape the outcome. Democrats are promoting HIX; Republicans are opposing it. Many factors such as subsidies, premium rates and private participation hang in the balance. Everest Group believes HIX will survive; however, the shape and size of the program will be determined by the largest national plans and by the new US presidential administration. In the meantime, payers have adopted a wait-and-see approach with regards to expanding, withdrawing or investing in the HIX market.
  3. Security is a top priority for more than 90 percent of CIOs. This will drive the next wave of tech spending. Recent high-profile data breaches combined with a shift in the enterprise perception of threats have given renewed impetus to security and a stronger demand for ROI accountability.
  4. Integrated operations is the way forward for large healthcare IT outsourcing deals in the mid-market. Service providers who are able to guarantee financial outcomes and predictable spend for adoption of integrated applications, infrastructure and processes will win the favor of payers.

Each of these trends—how they came to be and the implications they hold for payers, service providers and consumers—are discussed in detail in “Healthcare Payer IT Services: Outsource (Offshore) or Perish.” In this annual report, Everest Group analyzes the current trends and future outlook of large, multi-year ITO relationships in the healthcare payer market. The report also provides specific insights into enabling a go-to-market strategy for healthcare IT.

Global Services Developments: 2015 Trends & 2016 Predictions | Webinar

Tuesday, February 9, 2016 | 9 a.m. CST, 10 a.m. EST, 3 p.m GMT, 8:30 p.m. IST

Listen to a recording of this webinar or Get the Presentation

While the global services industry experienced continued growth in 2015, we saw the drivers of that growth evolve. Next-generation technologies, innovative talent strategies, and new regulations — among others — are affecting growth and leading to an uncertain outlook for 2016. Will they spur a spike in growth this year? Or lead to a collective market pause as stakeholders consider the next best step? Join us for an insightful one-hour webinar in which our experts will provide commentary on the global services developments in the fourth quarter of 2015, as well as a recap of the past year. Highlights will include:

  • Outsourcing trends
  • Market trends across key industry verticals and buyer geography segments
  • GIC market trends and analysis
  • Insights into location activity in offshore and nearshore geographies

Don’t miss the special topic… Global services market predictions for 2016 But what’s ahead? Our experts will answer that, providing predictions and perspectives for 2016, including the potential impact to your organization and other industry stakeholders. Be sure to join us to gather key information that will help you and your organization make critical decisions this year.

Presented by:

  • Eric Simonson, Managing Partner – Research
  • Salil Dani, Vice President – Global Sourcing
  • Sakshi Garg, Practice Director – Global Sourcing

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