Phil Fersht has a sarcastic post on the Insight HCL event we both attended on Tuesday.
To start with I think he is a bit too tough on HCL. I thought they did a fairly good job with the event logistics and the customer showcasing – enough for me to include those items in my “Best of 2012 events” post.
Now on the composition of the advisers in the audience – I sent him an email to verify which bucket he put me in :)
My own observation was how long many of those advisers have been in the outsourcing industry – either at providers like EDS or advisory firms like TPI. While that grey hair protects their clients interests in some respects, not sure they are aware of all the disruptions happening in adjacent markets that they could be leveraging to their client’s benefit.
As I wrote on that day “Over the last few years, I have cataloged on my blogs what Salesforce and Workday have been delivering in massive efficiencies in application management and upgrades, and what Amazon and other cloud infrastructure providers have been doing to redefine the data center. “
There is much more in my books and blogs about disruptions and innovations which could, in fact, should have already made its way into the IT outsourcing world.
HCL mentioned they are well positioned for the $ 190 billion in “re-bid” business (that is currently being serviced by competitors like IBM, Accenture, Infosys etc) coming up in the next 3 years. Since those customers will likely use many of the advisers in the audience, I think there will be churn in providers and maybe a 5-10% improvement in economics and performance SLAs.
The sad truth is the impact could be far, far more dramatic.
