The outsourcing business is facing the music. The contract signings for IBM Global Services fell 9% as compared to the same period last year. Revenues also dipped by 5 % over the last year’s fourth quarter to $ 12 billion. Even large outsourcing companies are struggling to improve their financial performance as they are finding it difficult to fine tune to a market which is characterized by a large number of competitors and smaller deals. Although some areas for e.g. revenues from business process outsourcing deals are growing at a good rate but other areas are suffering from poor growth rates. One of the main reasons behind the poor outsourcing performance has been the fall in broad, soup to nuts IT outsourcing deals.





via [BlackEnterprise]