| The slight decrease in the IT dynamics at the beginning | | | | behind, while overwhelming reduction of the contract's |
| of 2000s being over, the new drivers has fueled | | | | scope becoming a nowadays reality. "Gartner's Key |
| further development of the IT branch throughout 2006 | | | | Predictions for 2007" include the forecast that through |
| - 2007. | | | | 2009, market share for the top 10 IT outsourcers will |
| One of the tendencies of the global impact has to deal | | | | decline to 40.0 percent (from 43.5 percent now), |
| with growing business value of the Internet as well as | | | | equalling a revenue shift of $5.4 billion. The above |
| associated boom in e-commerce. The IT-rich | | | | mentioned trend consequently leads to the growing |
| enterprises have won substantial market advantage | | | | number of SMEs on the IT arena and therefore the |
| over the competitors that have not placed IT as the | | | | increase of the impact on the outsourcing landscape. |
| key element of their business strategy. According to | | | | Precise attention should also be devoted to the Top |
| Gartner, the investments in the new information | | | | Trends 2007, outlined by CIO Insight: particularly, |
| technologies would double within 2006 - 2010 period. | | | | Management section of the forecast features |
| The burning IT issues of the two previous years have | | | | predictions that outsourcing will change IT management |
| included digital convergence, mobility and | | | | and that offshoring will shift from India. Concerning the |
| Service-oriented architecture. Other point of focal | | | | later tendency, notwithstanding pure neashoring, it is |
| interest turns out to be the alignment of IT and | | | | worth to note that Indian outsourcing providers are |
| business processes within the enterprise in general and | | | | increasingly seeking possibilities for mergers with |
| in sourcing models in particular. | | | | Eastern European software developers. Inevitably, |
| The analysts from Experton Group have come up | | | | outsourcing "moves closer to home", with Indian and |
| with the statement that in the next few years | | | | Chinese outsourcing proposals becoming less |
| outsourcing "would be the driving force behind IT | | | | appealing to European vendors. |
| market dynamics". Despite the global slow down in | | | | Over the years, data privacy as well as data security |
| outsourcing dynamics - for the most part in America, | | | | has become fundamental prerequisites for successful |
| the number and quality of outsourcing contracts | | | | outsourcing cooperation. Therefore, intellectual property |
| concluded in Europe has risen during the first quarter | | | | issues together with effective practices on risk |
| of 2007 (Morrison & Foerster's Global Sourcing | | | | mitigation will stay top of the agenda for the years to |
| Group). The year 2007, alike the previous one, has | | | | come. Also, outsourcing service providers are |
| demonstrated the increase in the IT staff, despite the | | | | expected to be capable of driving innovation and |
| forecasts for decrease due to the outsourcing of IT | | | | delivering industry specific know how. Another trend of |
| activities. Hence, it proves out that outsourcing | | | | interest, highlighted by Morrison & Foerster's Global |
| strengthens the market position of outsourcing buyers, | | | | Sourcing Group, introduces transformational application |
| expanding their technological scope and consequently | | | | outsourcing, which foresees restructuring of the code |
| creates new workplaces. | | | | in a more modern architecture, therefore making it |
| During the past few years we have seen the shift | | | | deployable in SOA. |
| occurring in decisive factors for outsourcing: in addition | | | | To sum up with, the coming years will see tighter |
| to traditional reduction of development costs, | | | | alignment between outsourcing providers and |
| outsourcing buyers become more and more interested | | | | software development vendors, resulting in more |
| in access to the pool of talents (due to the internal | | | | effective business cooperation models. Also, increasing |
| shortages of highly-qualified IT graduates) and | | | | competition will fuel more innovative approach to |
| industry-specific know-how. Another visible trend of | | | | outsourcing, with process orientation becoming the |
| 2007 is multisourcing, accompanied by growing | | | | core of it. |
| process-orientation. The time of "mega-deals" is left | | | | |