digital Archive

80/20 Stands on Its Head in the Services Industry

The mantra of 80/20 (80 percent offshore, 20 percent onshore) has been the war cry for the services industry for the last 10 years. It has stood for the absolute sweet spot for a services player, particularly in terms of maximum leverage of offshore talent. This has been the most profitable space. Providers that

Sell Digital Services, Not Apps Rationalization

After coming back from Nasscom and discussing the inflection change coming to the services industry, I’ve observed a lot of service providers preparing for the shift – especially the apps providers. But I see them making a mistake: putting too much emphasis on apps rationalization and rearchitecting. It’s not that apps rationalization and rearchitecting

Digital Is Shading Out Cloud

Three years ago global services industry was abuzz that the world would be set on fire by cloud computing. Today, although CIOs and senior executives, accept the cloud model and are looking to implement it, they are increasingly excited about infrastructure and the digitization of business. The digital revolution is shading out cloud, capturing

Internet of Things Opens Up Intriguing New Growth Opportunities for Service Providers

Code Halos: How the Digital Lives of People, Things, and Organizations are Changing the Rules of Business, by Cognizant’s Malcolm Frank, Paul Roehrig and Ben Pring, discusses the impact of the already huge and ever-increasing amounts of data surrounding individuals and our environment. The authors point out today many pieces of equipment or devices

Digital Enterprise Iceberg

We all understand the power of digital — it enables us to change the way we interact with our customers, employees, vendors and governments. Getting interactions right with those stakeholder groups gives us powerful strategic advantages. However, the digital world is like an iceberg, and we tend to see only the tip. Below the

The Industry-Wide Significance of Accenture’s PureApps Acquisition

Accenture recently announced its acquisition of PureApps, a UK-based Enterprise Performance Management (EPM) provider.  Our understanding is that it’s a full-service provider for all Oracle Hyperion EPM and BA solutions. Nevertheless, PureApps is a small firm and the revenue won’t make a noticeable difference to Accenture. So why is Accenture buying PureApps? My opinion:

ERP Hits the Wall

The services industry is facing a big issue. The market for ERP implementation cycle and corresponding transformation projects has matured and is coming to an end. We can see the ERP decline in the reported results from IBM and Accenture and HCL. These three providers have had very big SI practices around large-scale ERP

Pondering TCS’s Modest Morsel

TCS posted industry-leading financial results in its FQ4 2013 report. But what caught my attention was its quarterly guidance to investors where management stated they believe TCS can add “a few billion dollars” from digital as a growth driver. Really? Just a few billion? We believe TCS is substantially underplaying its digital hand. Management