service delivery automation Archive

How Automation Will Change the Services Industry

As we at Everest Group look at the service delivery automation landscape and think forward to where we believe it’s heading, there is truly a lot of disruption in the picture. From working with and talking to service providers and enterprises implementing automation, we recognize that it’s more than just a labor-to-technology substitution. It

KABOOM! Is an Implosion of the Services Market Coming?

There is rising concern among the Indian service providers that their arbitrage model is about to go through a significant and abrupt change – and not to their benefit. As I look at the various factors driving their concern, I see a set of challenges that will fundamentally reshape the industry and create new

The Downside for Enterprises in Automating

Service delivery automation is obviously powerful. But there’s a downside and potential risk for enterprises in the shift to automation. Benefits include reducing the number of FTEs in a process and therefore reducing the cost. And automation can be applied without changing the system of records. Plus the implementation cost is significantly less than

The Vexing Aspect of Service Delivery Automation

The advantages of service delivery automation add up to significant value realization. Unfortunately, it’s not a one-time step change. Automating is a continuous shift, and it’s never over. You first assess where it should happen. Then you get comfortable with the tools, get data on the process, get comfortable with the organizational implications of

Global Services Trends and Tipping Points for 2015

It’s the season when analyst/advisory firms flood the media their predictions and top-10 lists. One problem with those lists is the services world rarely has 10 things that are different from the year before. Another problem is we tend to hype new technologies and business models and make predictions about their impact in the

Years of Plenty Followed by Years of Starvation for RIM Service Providers

Right now Remote Infrastructure Management (RIM) service providers are enjoying explosive growth as they take share from asset-heavy players. The labor arbitrage market is disintermediating or successfully attacking the traditional asset-heavy infrastructure space. But in every boom are the seeds of undoing. It reminds me of the story of Joseph in the Biblical book

The 40-40 Rule of Disruption in Global Services

Everest Group research has analyzed the impact that automation will have on the services industry. Our opinion, which we refer to as the 40-40 Rule, is that 40 percent of all outsourcing contracts are ready to be impacted by automation and the average impact in the amount of labor to do the work will