LARGE firms that have fueled the global information technology outsourcing boom and have put developing countries such as India and the Philippines on investors' radar screens are getting to be picky, according to a recent study.
"We do believe that the boom years for IT outsourcing growth have come and gone," said Brian Tumpowsky in a statement. "Buyers are learning to be more selective and strategic in the way they approach outsourcing and, as such, the pace of growth is slowing."
Tumpowsky is co-author of the 2006 Global IT Outsourcing Study conducted by Diamond Management and Technology Consultants (DMTC), a Chicago-based IT management consulting firm.
DMTC's study reveals that buyers are still prematurely terminating contracts, and questioning the value of onshore outsourcing. They are also struggling with the basics of determining what to outsource, measuring effectiveness and managing a global pool of resources.
