Monthly Archive:: November 2013

There has been a lot of talk in the services industry around new pricing vehicles: non-linear pricing, outcome-based pricing, pricing for results and gainsharing, for example. All these new pricing models whipped up by providers have something in common: they’re complex. I’ve been in this industry since 1983. Here’s one of the important things

Cloud-based services are distinctly different from traditional outsourcing not only because of the obvious cost and agility benefits but also because they fuel the need for a different kind of management of the services. From a management perspective the governance is transformational because it allows the governance team to change their focus on how

If you follow the news, you probably saw last week that three people working for EXL used some operational process materials about EXL’s client Travelers with a competitor of Travelers. Travelers found out about it and terminated the contract. We see companies terminating for cause all the time, but terminating a contract for breach

We’ve noted several instances in our research and consulting practices where providers’ behavior reminds me of an old Mac Davis song. The lyrics proclaim that he no longer has a girlfriend but he never gets lonesome because he treasures his own company and that it’s hard for him to be humble because he’s perfect

Service providers often ask Everest Group for advice on how to grow their business faster. We usually find that their starting-point perspective has a pitfall. They fall for the seduction of new logos. The problem with this growth strategy is that it’s very difficult to win a brand new customer without “privilege.”  Privilege is

There is an inconvenient truth in the global services industry: The growth rates in labor-arbitrage-based businesses are diminishing. Tied to that fact is an even more inconvenient truth: Service providers have overreached in moving to outcome-based platform models to compensate for the drop in arbitrage growth rates. Labor arbitrage is not going away. But

My first impression when I recently attended this year’s Cloud Connect conference is that there is a significant increase in interest in all things cloud, as there were more attendees than at last year’s conference. What impresses me most as I reflect on the case studies and insights discussed at the event is the