Thought Leadership Archive

Customer Care Call Centers Face Massive Disruption

Here’s a prediction that will make a huge difference in businesses: 40 percent of customer care / call center seats will be automated out of existence in the next five years. We at Everest Group think customer care is ripe for a performance breakthrough, transforming it through technology across two dimensions: the customer experience

Deciding Between Active and Passive Management of Outsourcing Services

Understand which model works best for managing outsourcing services in a consumption-based pricing model. There are effectively two models for managing outsourcing relationships, whether it’s for IT and infrastructure services or for BPO. The services industry has been pushing a managed services environment as the best practice. But in reality, this is not the

Consequences of Infosys Taking Market Share

As we at Everest Group study issues in service industry growth, it’s clear that Infosys has effectively doubled its growth rate under CEO Vishal Sikka. In fact, Infosys has gone from a six percent growth rate to 12 percent, putting Infosys back into the leaders quadrant in terms of growth. Today it’s one of

New Focus on Risk of Concentrating Too Much Scope in a Service Provider

As we at Everest Group study the service industry, we find that a number of service providers have been successful in growing their relationships with some large clients into very substantial annual expenditures often exceeding $100 million a year. These accounts have become the backbone of the leading service providers’ business and have accounted

How to Turbocharge Digital Transformation

The story of how H. D. Smith, a pharmaceutical distributor since 1954, transformed its business to the digital world and expanded to providing innovative services and solutions is remarkable. Progress in strategic business transformations always takes place outside of people’s comfort zone, so it requires excellence in leadership to drive extensive change. The firm’s

Paving the Way for Digital Transformation

How a CIO helped maximize a legacy business while helping create an innovative new business. In my previous blog post, I began telling the story of a CIO’s role in the business transformation of H. D. Smith to expand its core business of pharmaceutical products distribution to include innovative, integrated technology-enabled services. The leadership

Breaking Through the Uncertainties in a Digital Transformation

How a company transformed from a product supplier to a leader in innovative services. A strategic business change is extremely disruptive, not only to employees but also to partners and customers. It’s even more challenging when the starting point is an underinvested IT environment mostly just surviving in maintenance mode compared to the future-state

What Does the CSC & HP Merger Mean for the Services Industry?

Two of the three titans of the asset-intensive infrastructure services business are merging. What does this mean for the services industry? Let’s start with why they’re merging. Clearly, the space that they occupy is a mature space. It has been undergoing tremendous competitive pressure from the Indian firms with their Remote Infrastructure Management (RIM

A Key Factor in the CIO’s Ability to Drive Change

I recently met with a major player in the Internet of Things (IoT) space, and the company is incredibly frustrated with how developments are evolving. They pointed out the promise of the IoT but said it’s not evolving much beyond the use case of predictive maintenance. It seems people are In Denial (ID). Why

Service Providers Face the End of Enterprise Infrastructure Function

In the new world we’re moving into, where we have a high degree of automation and hyper-scale data centers, cloud, SaaS and re-usage, why do companies even have an IT infrastructure function or department? As companies integrate their software-defined ops function with their software development function, creating DevOps, they no longer need an IT