2020 German IT Sourcing Study Results Published

The 2020 German IT Sourcing Study, conducted by Whitelane Research in collaboration with Navisco AG - Sourcing Professionals, investigates more than 450 unique IT sourcing relationships and more than 300 cloud sourcing relationships held by over 160 participants of the top IT spending organisations in Germany.

Key findings from the 2020 German IT Sourcing Study include:

» Over the next two years more outsourcing is predicted for Germany, with 73% of respondents planning to outsource at the same rate or more (an increase of 8% in comparison with last year). Insourcing plans, last year highest in Germany compared to the rest of Europe, have dropped significantly from 22% to 13%. For the financial services sector however, one in five organisations are planning to outsource less, driven primarily by the need to achieve faster time-to-market and improved quality outcomes.

» More scalability to business needs is the main reason why organisations in Germany are planning to outsource more (66%). This is followed by focus on core business (60%) and access to innovation (48%). Service providers still believe that achieving cost savings is the main reason why their clients outsource more (75%) while clients rank this only 6th in importance (dropping from 2nd place in 2019).

» Overall, respondents are satisfied with their IT service provider(s), with 91% of all 452 IT sourcing relationships being rated as satisfactory, 6% being somewhat unsatisfied, 2% unsatisfied and only 1% very unsatisfied.

» NTT DATA and TCS achieve joint first place on the overall ranking for general satisfaction with a score of 84%. They are followed by Data Group and Deloitte (both at 82%) and Capgemini (77%). The average satisfaction score increases by five percentage points in comparison with last year to 72% with at least two thirds of service providers making significant improvements of 5% or more.

» The cloud providers are ranked separately this year with participants evaluating more than 300 unique cloud sourcing relationships. Average satisfaction is high for both infrastructure and software cloud providers (72% and 74% respectively). Google Cloud Platform, Microsoft Azure and Amazon Web Services (AWS) top the ranking for infrastructure cloud platforms while Microsoft 365, Salesforce.com and Google Suite top the ranking for software cloud platforms.

» At least two thirds of service providers have made significant improvements of 5% or more on the service delivery, innovation and proactivity KPIs in comparison with last year. Price level and transformation quality have the lowest average satisfaction scores of the nine KPIs with 61%.

» Almost 50% of organisations are using Intelligent Automation (IA) although one in five have no plans to adopt these new technologies (double the European average).

The German study is part of Whitelane’s annual IT sourcing studies. We interview sourcing executives (CIOs/CFOs or their direct reports) about their outsourcing plans and their opinions on service providers. The studies are conducted in 13 different European countries and provide a comprehensive overview of the IT outsourcing landscape in each country. The survey shows the main outsourcing trends, evaluates and ranks the main IT service providers based on a set of key performance indicators (KPIs), and analyses trends in outsourcing governance and the impact of new technologies.

Navisco AG - Sourcing Professionals
Heilwigstrasse 33
D - 20249 Hamburg

T: +49 (40) 25 31 32 80
info@navisco.com
www.navisco.com

About Navisco:

With 20 years of specialized expertise and more than 400 projects in Benchmarking, Sourcing and Transformation, Navisco AG has become one of the leading independent Sourcing Advisors in Germany, Austria and Switzerland. Navisco supports leading international corporations to assess and optimize their IT organization, application landscape and their IT infrastructure services in order to enable digitalization and generate higher business value. Navisco’s sourcing engagements comprise benchmarking, cloud sourcing strategies and transforming external outsourcing contracts and offering digital provider management service. Navisco is independent from service providers, technologies and invests about 10% of the yearly revenue into best practice reference models, people and research projects.

For more information about Navisco’s specialized services, email info@navisco.com or visit www.navisco.com

About Whitelane Research:

Whitelane Research is an independent organisation uniquely focused on IT Outsourcing across Europe. Our core activities include:
- IT Sourcing Research
- Executive Sourcing Events
- Best Practices Groups
- IT Outsourcing Relationship Healthcheck

Whitelane Research’s unique and extensive annual IT sourcing studies survey CIOs of the largest IT spending organisations in different European countries about their opinion on their outsourcing plans and IT Outsourcing/Cloud service providers.

For more information visit www.whitelane.com

This release was published on openPR.