Gartner Research

Prepare for the Internet of Things to Drive Big Change in Sourcing

Published: 23 February 2015

ID: G00272477

Analyst(s): DD Mishra

Summary

Impacts from the IoT will cause the next big change in the infrastructure outsourcing industry. These impacts will require sourcing executives to plan for and drive change in areas such as pricing, solutioning, security and sourcing approaches.

Table Of Contents
  • Impacts

Analysis

Impacts and Recommendations

  • The IoT will drive a shift from traditional sourcing models toward more adaptive sourcing and bimodal IT approaches, requiring sourcing executives to calibrate their organization for more agility, innovation and outcome-based approaches
  • The growth of the IoT will force sourcing executives to work with their service providers to implement the requirements to secure, encrypt and safely transmit data to and from IoT devices toward their data centers or into the cloud
  • The IT services provider landscape will change as best-of-breed suppliers with deep industry knowledge evolve their IoT service portfolios and form alliances to provide services, pushing sourcing executives to calibrate their approach to vendor selection and management

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