Business Intelligence

To Bundle Or Not To Bundle? Effective Decision-Making For Business And IT Services

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Executive Summary

This paper details the key research findings on the purchasing decisions clients make on bundling, or not bundling, IT (ITO) and business process outsourcing (BPO) services. The authors studied over 1,850 outsourcing contracts, and carried out interviews with 69 leading clients and suppliers in ITO and BPO services. At the macro level they found IT, IT infrastructure and applications bundling accounting for over 70 percent of bundling activity, followed by bundled BPO, (for example billing, finance and accounting) representing some 15 percent of bundling activity.

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