A recent report from TPI shows a slowdown in the signing of outsourcing deals . According to the report new outsourcing contracts in Europe fell from 75 to 56 in the 2nd to 3rd quarter of this year and the only one significant mega deal was signed during the 3rd quarter. This has got people within the industry wondering whether we are about to see the decline in outsourcing contracts as more end users keep a close eye on the bottom line, maybe bring services back in house or just dont do anything at all.
Despite TPI’s reports, organisations are going to turn their back on outsourcing altogether. Instead we may see a change in the nature of outsourcing deals.
In the past couple of years the mega deal has been consigned by many to the outsourcing scrap heap in favour of multi sourcing that is choosing separate suppliers for different processes.
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