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Home  > Computers and Information Technology  >  IT Administration & Services  >  Outsourcing

Market Maturity Heralding the End of the 10-Year BPO Contract?


Published Date: August 2006
Published By: IDC
Page Count: 16
Order Code: R104-28062
 
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Table of Contents
IDC Opinion
In This Study
Situation Overview
The Pros and Cons of Long-Term Contracts
Table: The Benefits of 10-Year Contracts From a Client and Provider Perspective
Table: Assessing the Disadvantages of 10-Year Contracts
Characteristics of a Mature BPO Market
Figure: Measuring BPO Market Maturity
BPO: The Trend Towards Shorter Contracts
Figure: BPO Contract Lengths to Trend Downwards
Impact on Contract Profitability
Figure: Front-Loaded Transition Costs Pushing Contract Breakeven Into Year Three
Figure: Breakeven Pushed Back and Contract Margins Lowered Due to Renegotiation
Future Outlook
Changing the Business Model
Figure: Process-Oriented Delivery Architecture Key to Challenging Market
Figure: Productivity Vital in Keeping Ahead of the Cost Curve
Essential Guidance
Learn More
Related Research
Western Europe
U.S.
Synopsis

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