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How a PMO May Cause Your Transformation Initiative to Fail

Enterprises have undertaken transformation initiatives for decades, and there is a bevy of books, articles, white papers and consultants that tout how to ensure transformation success. One of the top best practices touted is to use a central Project Management Office (PMO) that takes responsibility for the transformation plan and holds the organization accountable

Forces Driving Change in the Services Industry

The outsourcing industry is at an inflexion point. It reminds me of Bob Dylan’s hit song from the 1960s, “The Times They are A-changing.” I believe the industry will undergo dramatic change over the next two to three years. Three forces are driving the change. The first is a shift in user and company

Analytics Pose Competitive Advantage Questions for Service Providers

Analytics technology is like a three-legged stool. Its rests on three necessary components: talent (data scientists, analysts and project managers), tools (from Excel all the way to Watson) and data. The most powerful is data. Data yielded in analytics are incredibly valuable in addressing business problems. As I recently explained, that value can be

How Can A CFO Become A More Strategic Business Partner?

Two years ago, I blogged about the switch from CIOs to CFOs as the new influencer in technology spend decisions. Fast forward to today, and there’s a lot of talk about how CFOs can become a more strategic partner to the business by adding more value. There are a couple of approaches that companies

Analytics Services – the X Factor

Just a little over a year ago, I predicted that the analytics services market was maturing quickly. I pointed out that it was moving beyond the early “gold rush” stage and becoming core or necessary to customers’ businesses and competitive advantage. Today I characterize analytics as “the X factor” – something that has a

How to Determine Whether Automation is Worth the Cost

There is a lot of talk in the marketplace about the benefits of automation. Even so, people ask Everest Group whether automation is worth the journey. Essentially, they want to know if, after having gone through the cost and effort of automating and deploying a robotic or cognitive agent they will have saved enough

TCS Makes Digital Bet against Accenture and Cognizant

TCS is the largest Indian heritage player in the services industry and is a true market leader. But like the rest of the services industry, TCS faces the maturity of the labor arbitrage market. We see it reflected in TCS’ growth over the last year and in its prospects of growth going forward. Like

“This Time it’s Different” are Dangerous Words

“This time is different” are often thought of as the most dangerous words on Wall Street. I’ve been in the outsourcing services industry since 1983 in the early days of outsourcing pioneer EDS. I watched the rise of the asset-intensive infrastructure space. Then I watched the rise of labor arbitrage and the enormous changes

Bot Farm: Next Step Forward in Automation

In another blog almost a year ago, I called for a consumption-based pricing mechanism for automation. Like the software industry has proved, I believe the concept of moving away from a traditional software license structure to a SaaS basis makes sense in the automation space. Instead of paying for a robot, a company would

Are IT Shared Services Dead?

For the last 30 years, companies have built shared service organizations, and IT shared services units have been the best known of these. IT shared services have created a lot of value for companies, delivering high-quality, low-cost IT capacity. But today they’re almost like zombies – resembling a body that’s alive but really isn’t.