Corporate operations are changing – you can no longer stay competitive by simply cutting costs
Companies are increasingly looking for new types of partners in the managed services market. Traditional outsourcing is no longer enough: according to the latest research from KPMG, nearly three-quarters of companies expect a comprehensive, transformative impact from service providers – not only in terms of operations or technology, but also in strategic outcomes. Expectations go far beyond previous cost-cutting goals, and companies are relying on managed services in more and more areas and for increasingly complex tasks.
But what is a managed service? A business model in which an external partner with great expertise and a strong technological background takes over a corporate function or process on a long-term basis and operates it on a results-based basis. This is more than traditional outsourcing: it is a strategic collaboration where the service provider creates business value – faster innovation, greater flexibility, better market responsiveness and measurable results. It is no coincidence that more and more companies are choosing this, especially in a rapidly changing, technology-driven competition.
The KPMG and HFS Research Managed Services Outlook study is based on responses from 1,250 senior executives – decision-makers who are directly involved in their companies’ managed services decisions. The sample covers a wide range of industries: from financial services and healthcare to manufacturing, energy and utilities, and technology, media and telecommunications.
The study finds that managed services already account for more than half of services in many functional areas. It is expected to grow by an average of 10% over the next year or two.
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