User Survey Analysis: Outsourcing, Upper-Midmarket Buyers Embrace Outsourcing, North America, 2008-2009

ID Number: G00166382

7 April 2009

Michele C. Caminos

Upper-midmarket businesses (those with 500 to 999 employees) are where critical mass in demand for outsourcing services begins. This research looks at the willingness of upper-midmarket businesses to outsource various parts of their IT infrastructure.

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Pages: 15

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Table of Contents

Key Findings and Recommendations

Introduction and Survey Objectives

Methodology Statement

Gartner Recommendations Based on Findings

Data Insights

Which IT Environments Are Upper-Midmarket Businesses Outsourcing?

Drivers and Inhibitors to Outsourcing

		Drivers
		Inhibitors

Contract Terms

Cost Savings — Expected and Realized

		Infrastructure Outsourcing
		Application Outsourcing

Alternative Delivery Models for Upper-Midmarket Businesses

Offshore

Methodology

Recommended Reading

List of Tables

	Table 1.	North America: Top Three Drivers for Outsourcing by Company Size

	Table 2.	North America: Top Three Inhibitors to Outsourcing by Company Size

List of Figures

	Figure 1.	North America: IT Environments That Are Being Outsourced, Upper-Midmarket Businesses

	Figure 2.	North America: Contract Terms by Company Size

	Figure 3.	North America: Expected Cost Savings for Infrastructure Outsourcing Deal by Company Size

	Figure 4.	North America: Achieved Cost Savings for Infrastructure Outsourcing Deal by Company Size

	Figure 5.	North America: Expected Cost Savings for Application Outsourcing Deal by Company Size

	Figure 6.	North America: Achieved Cost Savings for Application Outsourcing Deal by Company Size

	Figure 7.	North America: Alternative Delivery Models for Upper-Midmarket Businesses

IT Outsourcing
Applications Outsourcing
Small and Midsize Business Marketplace
IT Services Marketplace
Alternative Delivery Models

IT Outsourcing Worldwide
Small and Medium Businesses Market Strategies

© 2009 Gartner, Inc. and/or its Affiliates. All Rights Reserved. Reproduction and distribution of this publication in any form without prior written permission is forbidden. The information contained herein has been obtained from sources believed to be reliable. Gartner disclaims all warranties as to the accuracy, completeness or adequacy of such information. Although Gartner's research may discuss legal issues related to the information technology business, Gartner does not provide legal advice or services and its research should not be construed or used as such. Gartner shall have no liability for errors, omissions or inadequacies in the information contained herein or for interpretations thereof. The opinions expressed herein are subject to change without notice.

Resource Id: 932314