digital business – solutions and service partners€¦ · the adoption of virtual reality (vr)...

47
Digital Business – Solutions and Service Partners A research report aligning enterprise requirements and provider capabilities February 2020 Archetype Report Customized reprint courtesy of:

Upload: others

Post on 28-May-2020

1 views

Category:

Documents


0 download

TRANSCRIPT

Digital Business – Solutions and Service Partners

A research reportaligning enterpriserequirements andprovider capabilities

February 2020

ArchetypeReport

Customized reprint courtesy of:

Section Name

22

Note: Only use before TOC

ISG Provider Lens™ Archetype Report | February 2020

© 2020 Information Services Group. Inc. All Rights Reserved.

About this ReportInformation Services Group Inc. is solely responsible for the content of this report.

Unless otherwise cited, all content, including illustrations, research, conclusions,

assertions and positions contained in this report were developed by, and are the sole

property of Information Services Group Inc.

The research and analysis presented in this report includes research from the ISG

Provider Lens™ program, ongoing ISG Research programs, interviews with ISG

advisors, briefings with services providers and analysis of publicly available market

information from multiple sources. The data collected for this report represents

information that ISG believes to be current as of July 3, 2019 – August 19, 2019,

for providers who actively participated as well as for providers who did not. ISG

recognizes that many mergers and acquisitions have taken place since that time, but

those changes are not reflected in this report.

All revenue references are in U.S. dollars ($US) unless noted.

The lead author for this report is Akhila Harinarayan. The editors are Ipshita

Sengupta and Grant Gross. The research analyst is Monica K and the data analyst is

Vishal Kulkarni.

ISG Provider Lens™ delivers leading-edge and actionable research studies, reports

and consulting services focused on technology and service providers’ strengths and

weaknesses and how they are positioned relative to their peers in the market. These

reports provide influential insights accessed by our large pool of advisors who are

actively advising outsourcing deals, as well as large numbers of ISG enterprise clients

who are potential outsourcers.

For more information about ISG Provider Lens™ studies, please email

[email protected], call +1.203.454.3900, or visit ISG Provider Lens™.

ISG Research™ provides subscription research, advisory consulting and executive

event services focused on market trends and disruptive technologies driving change in

business computing. ISG Research™ delivers guidance that helps businesses accelerate

growth and create more value.

For more information about ISG Research subscriptions, please email [email protected], call +1.203.454.3900, or visit research.isg-one.com.

Contents© 2020 Information Services Group, Inc. All rights reserved. Reproduction of this publication in any form without prior permission is strictly prohibited. Information contained in this report is based on the best available and reliable resources. Opinions expressed in this report reflect ISG’s judgment at the time of this report and are subject to change without notice. ISG has no liability for omissions, errors or completeness of information in this report. ISG Research™ and ISG Provider Lens™ are trademarks of Information Services Group, Inc.

1 Executive Summary

5 Introduction

11 Digital Business – Solutions and Service Partners Archetypes

12 Targeted Transformers Archetype

17 Strategic Implementers Archetype

22 Ecosystem Modernizers Archetype

27 Disruption Embracers Archetype

31 Service Providers Across Archetypes

35 Guidance

38 Appendix

39 Methodology

42 Additional Relevant Digital Business Solutions and

Services Providers

Section Name

11

EXECUTIVE SUMMARY

A Decade of Revolutionizing Businesses using Digital Transformation is Paving the Way for New Partnerships and Hyper-Personalized Services in 2020With the availability of digital technologies that can be innovatively leveraged and hyper-personalized to the needs of users, enterprises are trying to determine ways in which they can reap profitability and ensure return on investment (ROI). Digital technologies have multiplied the possibility of such opportunities. Concurrently, enterprises are focused on addressing the challenges hindering the adoption of these technologies and on improving productivity or adding new revenue streams or enhancing customer experience. With the adoption of “digital” at its peak now, some observers might call this a “post-digital” era; in the last decade, we have seen significant changes in the digital paradigm almost every year.

At the beginning of this decade, digital transformation was focused around four technologies, namely, social, mobile, analytics and cloud (SMAC), with most of the deals in 2011 focused around one or more of these four technologies. The subsequent year, 2012, saw the emergence of mobile apps targeted to improve customer experience, and an increase in adoption of bring your own device (BYOD) policy in workplaces. This year also

11

saw a focus on millennials; organizations targeted this consumer segment and workspaces were re-aligned to the needs of this population group. Also, enterprises began to leverage big data and analytics to optimize operations. Together with this, enterprises recognized the importance of social media in driving perception of service quality or customer experience.

The following year, 2013, saw an increase in use of smartphones and mobile apps. In addition, there was growth in platform-oriented businesses that integrated the digital and physical realms to provide services to consumers. Also, the year witnessed an increase in adoption of cloud and data analytics and the onset of Internet of Things (IoT) adoption in enterprises. The adoption of these technologies only increased in 2014 and paved the way for smart machines and omni-channel services. Wearables saw the light of the day with end users adopting Google Glass. Concurrently, enterprises began leveraging advanced analytics technologies such as cognitive analytics to make smart business decisions. With the availability of data and digital technologies, gamification became a mainstay for industries such as healthcare and education.

In 2015, there was an increase in adoption of analytics to provide personalized services to customers. At the same time, enterprises began using robotics and 3D printing. The integration of business units with IT became imperative. Several companies prioritized the “platform economy” approach, which increased the scope of services offered to customers. This approach was widely adopted in 2016, where enterprises began to use it for establishing additional revenue streams. Concurrently, automation was on the rise, where artificial

© 2020 Information Services Group. Inc. All Rights Reserved.

Executive Summary

ISG Provider Lens™ Archetype Report | February 2020

© 2020 Information Services Group. Inc. All Rights Reserved.

Executive Summary

intelligence (AI) and machine learning (ML) found increased adoption among enterprises. The adoption of virtual reality (VR) and augmented reality (AR) opened the door to conceiving experiences that could not be earlier imagined. IoT and cloud were leveraged across multiple industries, leading to a rise in use of smart machines across organizations.

Conversational AI was a big hit in 2017; many enterprises launched chatbots to manage customer expectations and as a first-level resolution channel. The emergence of chatbots, or intelligent assistants, enabled enterprises to focus on the establishment of a digital workforce to aid employee experience and implement technology that allowed flexible workplace structures. At the same time, the adoption of VR and AR increased with enterprises leveraging VR/AR for providing better customer experiences. In the meanwhile, the manufacturing industry leveraged the new concept of digital twin to improve the performance of systems. Blockchain was the buzz word of the year and many use cases were developed and deployed across industries.

The adoption of robotic process automation (RPA) increased in 2018, and AI/deep learning was adopted across enterprises to reduce the time required for end-to-end processes and realize cost benefits. Similarly, 3D printing and blockchain were used extensively by multiple industries. The use of intelligent devices was on the rise and many enterprises adopted the Application Program Interface (API) approach to integrate legacy systems with intelligent, digital applications. As data aggregation increased over a period of time, digital ethics and digital trust became important factors to address. The role of chief data officer (CDO) became necessary, in an enterprise, to manage data and use it to build additional service streams.

22

In 2019, with the increase in adoption of RPA, IoT and cloud, the use of autonomous devices increased. Autonomous drones, robots were implemented across enterprises to optimize operations. The year also witnessed an increase in use of blockchain across geographies, with maximum adoption across supply chains and in smart contracts. Concurrently, the use of advanced data analytics, alongside AI, across industries enabled enterprises to provide personalized services to end users. At the same time, low code and no-code applications have been on the rise and the use of agile, DevOps approaches is increasing to implement digital applications. AR, VR or mixed reality (MR) are being leveraged to create smart spaces. Digital ethics is beginning to get its due importance, particularly in the AI domain.

In the last 10 years, the use of different advanced technologies has resulted in many developments in the digital space. Some of these are considered mainstream and are providing quantifiable benefits to enterprises. In 2020, enterprises are expected to focus on “digital experiences,” either within an organization (for employees) or outside the organization (for customers). With big bets on AI, customer control over their data and appropriate platform strategy, enterprises will focus on hyper-personalized services by leveraging on a partnership-based approach to deliver digital services to customers.

ISG Provider Lens™ Archetype Report | February 2020

33

© 2020 Information Services Group. Inc. All Rights Reserved.

Executive Summary

� Focus Areas of Digital Businesses in the Last Decade

ISG Provider Lens™ Archetype Report | February 2020

2011

2013

2015

2017

2019

2012

2014

2016

2018

SMAC technologies

Conversational AI, VR, AR, digital twin, digital workforce and rise in adoption of blockchain

RPA, IoT and cloud leveraged to build autonomous devices (drone, robots, vehicles); increase in the adoption of AI and RPA; personalized services; blockchain and smart spaces using AR and VR

Automation, AI, ML, VR, AR and platform economy

Personalized services using analytics, robotics, platform economy, changing role of IT in businesses

Wearables (Google glass), smart machines, IoT, cloud, cognitive analytics and omni-channel services

IoT, cloud and data analytics, and increased use of smartphones and mobile apps

Mobile apps, big data analytics and BYOD for enterprise mobility

Hyper-personalized services, platform strategy, partnerships, AI and data ethics

Analytics, AI, 3D printing, intelligent things, RPA, API services and digital trust

2020

44

As enterprises focus on determining the impact of digital transformation initiatives in terms of quantifiable revenue, enhance customer experiences or obtain operational benefits, they are seeking the best possible approach. There is much focus on experience platforms and personalized services to widen customer base. Most of the enterprises are focused on automation to optimize internal processes and improve operational dynamics. Leveraging AI to analyze customer data and providing customized services for a microsegment of customers is a major focus area for enterprises. In this context, providing these services within the ambit of regulations, by region, and in an ethical manner will be important for businesses. The adoption of IoT, cloud, analytics, AI and blockchain is likely to increase in the market. Service providers help enterprises in their platform strategy and the enterprises seek value from an implemented digital project. To realize the benefits of digital transformation, enterprises and service providers work in a partnership model to develop customized solutions. In such partnerships, they establish a joint center of excellence to develop cutting-edge digital solutions. In addition to such partnerships, enterprises are seeking partnership for hardware such as drones, AR/VR headsets and edge computing devices.

Service providers are helping enterprises undergo digital transformation by helping them through their proprietary platforms and by chalking out their digital transformation roadmap. In this process, the service providers are also upskilling and reskilling their workforce to focus on neo-skills. With the prevalence of the gig economy and an increase in millennials and Gen Z in the workforce, service providers are employing new techniques to hire and train workforce. Business agility and digital governance are increasingly becoming important to deliver digital projects. The API economy has opened numerous possibilities and service providers are integrating digital applications with the legacy

systems of enterprises. New pricing models such as outcome-based pricing and risk-sharing/gain sharing are being used in digital deals to deliver holistic services and realize the benefits of digital transformation. The service providers are entering into partnerships with local providers, including hardware, software, infrastructure and network providers. The local expertise is of prime importance as aligning with cultural affinities is critical for the successful delivery of digital transformation projects. In addition, innovation centers are being set up by the service providers focused on developing applications that can be readily deployed by customers with minimal changes.

With turbulent macro-economic conditions across major economies worldwide, digital technologies will create opportunities for businesses across the globe. Therefore, 2020 will be the year of the customer, with hyper-personalization or hyper-automation being leveraged across most industries.

© 2020 Information Services Group. Inc. All Rights Reserved.

Executive SummaryISG Provider Lens™ Archetype Report | February 2020

© 2020 Information Services Group. Inc. All Rights Reserved.

IntroductionEnterprises are leveraging technology for growth, and the majority of these enterprises have recognized the importance of digital transformation. While many are debating on whether the market is in a digital or post-digital era, the enterprises seek tangible benefits from the implementation of digital technologies. The enterprises that have the capability and capacity to invest in emerging technologies are innovating and launching state-of-the-art services for customers. However, most organizations are still struggling to realize a return on investment (ROI) on their digital initiatives. It is to be noted that the needs of enterprises differ based on technology adoption maturity, roadmap for business growth and sustainability of businesses.

An enterprise that is heavy on legacy systems may find it difficult to transform into a digital enterprise. On the other hand, an enterprise that has been established in the recent years using cloud services is nimble enough to transform into a digital organization. Technology plays an important role in any type of business and its growth. An enterprise might be compelled to undergo digital transformation to integrate all business units in case of an acquisition or in response to competitive pressures. Another enterprise might have a clear vision of digital transformation and would grow its business based on its digital roadmap. Most of the enterprises are in the latter group. In this archetype study, we have identified four types of enterprise segments seeking services for digital transformation based on their requirements.

The needs of each enterprise segment differ based on innovation capabilities and digital technology adoption maturity. The digital outsourcing needs of each segment varies based on which the enterprises decide on outsourcing digital services. The graphic representation below shows the four archetypes assessed in this study.

55

The capabilities of 40 providers have been assessed in this report. The most important parameters within each archetype are considered for assessment. The most important requirements of each archetype are stacked up against the capabilities of the services providers. In addition, the ISG Digital Value Assessment™ helps enterprises measure the return on the digital investments by correlating three critical datapoints, namely, capability, digital value and investment. The combination of ISG’s Digital Value Assessment™ and the guidance from this Digital Business archetype report helps enterprises to narrow down their decision on the outsourcing services based on the enterprises’ priorities.

Introduction

ISG Provider Lens™ Archetype Report | February 2020

Innovation

Dig

ital M

atur

ity

TargetedTransformers

StrategicImplementers

EcosystemModernizers

DisruptionEmbracers

© 2020 Information Services Group. Inc. All Rights Reserved.

Introduction

About This Research This ISG Provider Lens™ report summarizes the relative capabilities of 40 Digital Business Solutions and Services providers and their abilities to address the requirements of four typical, frequently encountered categories of enterprise buyers (“archetypes”). Each archetype represents a unique set of business and technological needs and challenges. Our research found no shortage of providers with capabilities adequate to satisfy the Digital Business Solutions and Services needs across most user archetypes. This is due in large part to two core realities regarding the archetypes:

1. The characteristics of each archetype are moving targets because, while the core requirements rarely change, the relative importance of different requirements can vary based on business and/or technological environment changes.

2. Most enterprises, especially larger firms, tend to include multiple archetypes. As each archetype’s requirements evolve based on business and technological changes, so too does the presence and value of each archetype within the enterprise. Therefore, enterprises have an ongoing series of choices when it comes to contact center services provider selection. They will need to strike a balance between optimal business value and relative cost of the provider engagement, integration and management. Market changes, new business models, fluctuating economic factors and other variables will continually add to and subtract from user needs.

This report uses research and analysis from ISG’s long-running work with enterprise clients and business process outsourcing services providers to identify and examine key changes in, approaches for and buyers of Digital Business Solutions and Services. We map the user-side requirements to provider-side offerings and capabilities. Not every user enterprise has the same requirements. In this report, we use four buyer archetypes – detailed in the following sections – to identify and assess buy-side requirements for business value relative to provider-side offerings and capabilities. All revenue references are in U.S. dollars ($US) unless noted.

The assessment methodology has been developed and refined over several years of working with buyers to understand and articulate their services requirements and from working with services providers to understand how those buyer requirements influence the development of suitable solutions and go-to-market strategies.

This report assesses the capabilities of 40 providers. Some services providers that are typically included in our work are not included in this report because they were unable to or declined to participate. They may be included in future versions of this report, based on merit and on the services providers’ willingness to provide current and relevant materials. Readers should not make any inferences based on a services provider’s absence from this report.

66

ISG Provider Lens™ Archetype Report | February 2020

7777

How to Use This Report This report is intended to provide advice founded on ISG’s experienced-based, proprietary assessment of services providers’ relative suitability to the needs of the typical Digital Business Solutions and Services customer. This advice is then applied across each of the four archetypes as profiled. No recommendation or endorsement is indicated, suggested or implied. Clients must make the decision to engage with any provider based not only on their specific, current workplace needs, but also on other factors such as cost, culture and timing.

This report is organized as follows:

Client archetype description: This section identifies and describes the most common user-side archetypes that we have identified in our ongoing research and analysis.

Assessments by archetype: These sections first detail each of the client archetypes, along with the types of service offerings that each typically requires to realize the most business value. Each archetype section includes our assessment of the relevant capabilities and positioning of the services providers surveyed and interviewed. It covers the relative suitability of the providers for each archetype based on the information they have provided to ISG. These assessments are developed using the data, analysis and comparative methodology described in the methodology section.

Methodology: In this section, we outline and explain how we developed and applied the data, analysis and insights provided in this report.

Please note: This report presents services providers’ known capabilities in the context of user enterprises’ typical project needs (which are categorized as specific archetypes). This report is not meant to rank providers or to assert that there is one top provider with capabilities that can meet the requirements of all clients that identify themselves as a particular archetype.

Introduction

© 2020 Information Services Group. Inc. All Rights Reserved.

ISG Provider Lens™ Archetype Report | February 2020

CLIENT ARCHETYPE DESCRIPTIONSThe client archetypes used in this report (and in our ongoing advisory and consulting engagements) represent the various types of clients ISG has observed and we classify them according to their relative outsourcing maturity and objectives. Each client archetype encapsulates the characteristics of a specific type of buyer that is looking to outsource one or more processes or functions. Identifying archetypes enables us to develop sets of characteristics and needs that can be uniformly and repeatedly applied across multiple environments, industries, provider types and other variables within one service line.

The archetypes are not meant to be comprehensive examinations of all potential or likely client situations and requirements. They are meant to provide a simple, relevant and repeatable set of user-side requirements that can be compared (and assessed) with a similarly simple, relevant set of provider capabilities.

The archetypes included in ISG reports are based on the most current marketplace knowledge on prevalent buyer goals, resources, initiatives and requirements. Archetype characteristics are also developed (and refined over time) based on our advisory and consulting interactions with enterprise clients and IT service providers, and on our global business IT market research and advisory programs.

88

© 2020 Information Services Group. Inc. All Rights Reserved.

ISG Provider Lens™ Archetype Report | February 2020

Client Archetype Descriptions

99

STRATEGIC IMPLEMENTERS ARCHETYPEClients in this archetype are keen to embark on a digital journey. They typically have made digitalization their mission and seek service providers to realize this vision. These organizations are taking baby steps toward digital transformation, but do not know where to begin. Such companies are looking for new revenue streams to achieve a competitive advantage, improve customer relations and improve operational efficiency. For these clients, digital transformation is the means to achieve efficient governance, effective execution, and value and progress measurement and management. These companies are either looking to implement a digital contract across one business function or on one aspect of business and are in an exploratory stage with regard to the tools and methodologies that could assist in the transformation. These clients require strategy, consulting services and implementation and managed services from providers for their digital journey.

TARGETED TRANSFORMERS ARCHETYPEBuyers in this archetype usually have legacy-heavy enterprise IT functions in the form of multiple disjointed silos. For these organizations, enterprise IT is usually a cost center and not a value generator. These clients undertake digital transformation journeys because of ad-hoc requirements such as an acquisition, merger, divestiture, competitive reaction, initiative to enter a new geography or the need to adopt a completely new solution. A digital transformation program would represent a significant improvement for such organizations, but they often are not prepared to leverage this transformation in methods, processes or technology. A digital incubator function has proven to be a relatively effective solution to organize such organization and push them slowly toward strategically implementing digital solutions. Clients in this archetype require basic expertise and assistance in digital transformation.

© 2020 Information Services Group. Inc. All Rights Reserved.

ISG Provider Lens™ Archetype Report | February 2020

1010

Client Archetype Descriptions

© 2020 Information Services Group. Inc. All Rights Reserved.

ECOSYSTEM MODERNIZERS ARCHETYPEOrganizations in this archetype are born digital. They are customer-centric and gain competitive advantage by utilizing current and emerging digital transformation methods, processes and technologies. These companies often have multi-channel customer touchpoints and are focused on increasing revenue by utilizing IT rather than just reducing costs. The focus on increasing revenue is the major driver behind their strategy, coupled with improving flexibility, agility, competitive positioning and speed of reaction to competitive pressure. They are comfortable with crowdsourcing and crowdfunding, user micro-service creation and continuous development and improvement and are willing to form partnerships and engage in profit sharing or pay-as-used relationships with providers, rather than just buying sourcing contracts. They are even prepared, under specific circumstances, to adopt disruptive or new solutions through proof of concepts or pilot projects, but typically limit these to specific solutions, especially if deploying enterprise-wide.

DISRUPTION EMBRACERS ARCHETYPEEnterprises in this archetype are keen to adopt niche technologies such as blockchain, AR, VR and 3D printing and are very innovative in nature. Such organizations are intrinsically geared toward digital technologies and innovation and cost considerations have a limited role to play in their business visions. Such companies have high R&D investment and are keen on collaborating to develop next-generation innovative solutions. Disruption embracers want to partner not only with service providers but also hardware vendors; they look for holistic partnerships that can help them in their journey toward innovation. These companies are willing to form partnerships and collaborations with providers (from small to large) on seed payment, no success/no fee, profit sharing or pay-as-used models. They create or defend against competition by using emerging, potentially disruptive methods, processes and technologies (such as blockchain).

ISG Provider Lens™ Archetype Report | February 2020

Digital Business – Solutions and Service Partners Archetypes

Digital Business – Solutions and Service Partners Archetypes

© 2020 Information Services Group. Inc. All Rights Reserved.

1212

TARGETED TRANSFORMERS ARCHETYPE

Clients in the targeted transformers archetype are legacy heavy and undertake digital transformation journeys due to ad-hoc requirements such as integration of two IT systems in case of mergers or acquisitions or to implement new systems to counter competitive pressure. This type of buyer typically explores cloud services in addition to deploying out-of-the-box solutions. These buyers need service providers to create new services in a short span of time either through ideation, prototyping or deploying ready pre-built solutions. This buyer needs service providers to re-align business processes to enable growth.

Targeted Transformers Archetype

ISG Provider Lens™ Archetype Report | February 2020

Targeted Transformers Archetype

© 2020 Information Services Group. Inc. All Rights Reserved.

1313

� Legacy systems transformation

� IT Systems consolidation and optimization

� Cloud migration and management

� Strategy for IT transformation roadmap

� Efficient management of IT

� Organizational process alignment

Targeted Transformers - Client Objectives

Targeted Transformers - Influence of Provider Capabilities

ISG Provider Lens™ Archetype Report | February 2020

Fig 1

Increase in future influence Decrease in future influence

Size based on relative current importance in the archetype profile

Software Prototyping

Business AgilityCloud Services New Portfolio

Management

Turqoise

Grey

Blue

Section NameISG Provider Lens™ Archetype Report | June 2018

ISG Provider Lens™ Archetype Report | June 2018Section Name

Section NameISG Provider Lens™ Archetype Report | June 2018

Large

Medium

Small

Text

Box

Siz

es Large

Medium

Small

Color Block Sizes

Margin for Graphics

1414

Software Prototyping Cloud Services Business Agility New Portfolio Management

Cognizant 4 4 4 4

DXC 3 4 3 3

HCL 3 4 4 3

Infosys 3 4 4 4

LTI 2 4 3 4

Mindtree 3 4 3 4

Softtek 2 4 3 3

Trianz 2 4 4 4

Wipro 3 4 4 3

Of the 35 services providers included in our research, we found nine leaders that stand out above the others to match Targeted Transformers based on our assessment of their capabilities as described in the methodology section in the appendix. These nine leaders, referred to as archetype leaders, and their relevant capabilities are presented in Figure 2, and briefly examined in the following sections. Note: The service providers listed are arranged in alphabetical order. No ranking is implied

Targeted Transformers Archetype LeadersFig 2

© 2020 Information Services Group. Inc. All Rights Reserved.

Item 1 Item 2 Item 3 Item 4 Item 5 Item 6

CSC 3 4 3 2 3 4

HP Enterprise 3 3 4 2 3 3

Infosys 4 3 3 3 4 3

KPIT 4 4 4 2 4 4

L&T Infotech 3 4 4 2 3 4

Mindtree 3 4 2 4 3 4

Syntel 4 4 2 3 4 4

UST Global 3 3 1 4 3 3

ValueLabs 4 4 2 4 4 4

4 Score 4 out of 4 3 Score 3 out of 4 2 Score 2 out of 4 1 Score 1 out of 4

Targeted Transformers ArchetypeISG Provider Lens™ Archetype Report | February 2020

1515

© 2020 Information Services Group. Inc. All Rights Reserved.

Leader NameMindtreeMindtree helps clients build digitally intelligent, cloud-first across three different phases, namely, 1.) getting on the cloud – migrating to the cloud and helping to build a digital foundation for their business, 2.) living in the cloud – building cloud-native businesses while optimizing spend, and 3.) creating new possibilities and unlocking new value by leveraging new technologies in areas such as experience transformation, AI/ML and edge computing to build cloud-powered personalized interactions, intelligent products and services, and as-a-service models.

Mindtree has a four-level application analysis methodology for cloud conversion; 1.) a detailed Q&A with the provider’s architecture modernization methodology; 2.) an agentless scan that provides process and component dependencies (it also suggests PaaS options); 3.) an agent-based scan for in-depth analysis of certain applications and their fit for cloud adoption; 4.) a code-level scan to understand cloud fit and areas of code that need addressing for cloud migration and adoption. After assessing the landscape, architecture guidelines are applied, which are a combination of tools and architectural methodologies that leverage architecture templates defined for popular digital workloads (such as digital content and commerce platform), container-based systems, and data-enabled applications. These tasks require two to six weeks depending on complexity and application size, with environment discovery based on a customer's ability to provide access to the application architecture and the underlying infrastructure.

Targeted Transformers ArchetypeISG Provider Lens™ Archetype Report | February 2020

Turqoise

Grey

Blue

Section NameISG Provider Lens™ Archetype Report | June 2018

ISG Provider Lens™ Archetype Report | June 2018Section Name

Section NameISG Provider Lens™ Archetype Report | June 2018

Medium

Small

Text

Box

Siz

es

Medium

Small

Color Block Sizes

Margin for Graphics

1616

© 2020 Information Services Group. Inc. All Rights Reserved.

OTHER NOTEWORTHY PLAYERS – TARGETED TRANSFORMERS ARCHETYPESome other providers scored high in one or more areas that are important for the Targeted Transformers clients. However, they were not categorized as leaders for this archetype because they did not rate high in adequate number of categories.

These providers have been listed below.

Targeted Transformers Archetype

Other Noteworthy Players – Targeted Transformers ArchetypeFig 3

Software Prototyping Cloud Services Business Agility New Portfolio Management

Atos Atos Atos Avanade

Avanade Capgemini Capgemini Hexaware

Hexaware Tech Mahindra Stefanini

Mphasis Zensar

NTT

Persistent Systems

Tech Mahindra

UST Global

ISG Provider Lens™ Archetype Report | February 2020

1717

STRATEGIC IMPLEMENTERS ARCHETYPE

© 2020 Information Services Group. Inc. All Rights Reserved.

The strategic implementers have a definitive, and long-term, vision of their digital transformation journey. The enterprises in this archetype need services to guide them on data management, application development and management. These enterprises may take a data-driven approach to provide focused services across product lines. They also need to integrate existing systems with digital solutions. This buyer segment seeks services to manage digital solutions on day-to-day basis. Providers need to offer automation, AI or ML to optimize services and reduce the time required for software delivery and managing the services.

Strategic Implementers Archetype

ISG Provider Lens™ Archetype Report | February 2020

© 2020 Information Services Group. Inc. All Rights Reserved.

� Determine a roadmap for digital transformation

� Advice around areas of digital adoption

� Data-driven approach to maximize ROI

� Integration of IT systems

� Align IT transformation with business objectives

� Leverage agile methods for deploying digital applications

� Use of automation to manage applications

Strategic Implementers - Client Objectives

Fig 4

1818

Strategic Implementers - Influence of Provider Capabilities

Increase in future influence Decrease in future influence

Strategic Implementers Archetype

Size based on relative current importance in the archetype profile

ISG Provider Lens™ Archetype Report | February 2020

Data Sourcing & Analytics

System Integration

Digital Governance

Automated Service Delivery

Proven Track

Record

Turqoise

Grey

Blue

Section NameISG Provider Lens™ Archetype Report | June 2018

ISG Provider Lens™ Archetype Report | June 2018Section Name

Section NameISG Provider Lens™ Archetype Report | June 2018

Large

Medium

Small

Text

Box

Siz

es Large

Medium

Small

Color Block Sizes

Margin for Graphics

1919

Of the 35 services providers included in our research, we found 15 leaders that stand out above the others to match Strategic Implementers based on our assessment of their capabilities as described in the methodology section in the appendix. These 15 leaders, referred to as archetype leaders, and their relevant capabilities are presented in Figure 5, and briefly examined in the following sections. Note: The service providers listed are arranged in alphabetical order. No ranking is implied.

Strategic Implementers Archetype LeadersFig 5

© 2020 Information Services Group. Inc. All Rights Reserved.

Item 1 Item 2 Item 3 Item 4 Item 5 Item 6

CSC 3 4 3 2 3 4

HP Enterprise 3 3 4 2 3 3

Infosys 4 3 3 3 4 3

KPIT 4 4 4 2 4 4

L&T Infotech 3 4 4 2 3 4

Mindtree 3 4 2 4 3 4

Syntel 4 4 2 3 4 4

UST Global 3 3 1 4 3 3

ValueLabs 4 4 2 4 4 4

4 Score 4 out of 4 3 Score 3 out of 4 2 Score 2 out of 4 1 Score 1 out of 4

Data Sourcing and Analytics Digital Governance System Integration Automated Service

DeliveryProven Track

Record

Accenture 4 4 4 4 4

Atos 3 3 3 3 4

Capgemini 4 3 3 3 3

Cognizant 4 3 3 3 3

DXC 3 3 2 3 2

HCL 4 4 4 4 4

IBM 4 4 3 4 3

Infosys 3 4 4 3 4

LTI 3 3 3 3 2

Mindtree 3 3 2 3 2

NTT 4 3 2 3 2

TCS 4 4 3 3 3

Tech Mahindra 3 3 3 4 3

Wipro 3 4 3 3 3

Zensar 3 2 2 3 4

Strategic Implementers ArchetypeISG Provider Lens™ Archetype Report | February 2020

2020

© 2020 Information Services Group. Inc. All Rights Reserved.

Mindtree is an IT outsourcing and managed services provider co-headquartered in Bangalore, Karnataka, India, and Warren, New Jersey , U.S. The company’s Digital Pumpkin innovation hub focuses on creating digital experiences by rethinking the way customers engage with companies, partners, and employees. Mindtree’s consulting-led approach centers on humanized AI to deliver digital experiences and design solutions and platforms to make AI all-pervasive. The company’s Decision Moments platform provides industry-specific, self-learning algorithms to enable rapid and improved decision making across industries and organizations. The company has built other platforms such as MWatch, VMUnify and Composable Automated Platform for Enterprises (CAPE), which is an automated meta-platform. Through its digital strategy framework, the service provider guides the business transformation of its clients by leveraging digital technologies.

Mindtree

Strategic Implementers ArchetypeISG Provider Lens™ Archetype Report | February 2020

Turqoise

Grey

Blue

Section NameISG Provider Lens™ Archetype Report | June 2018

ISG Provider Lens™ Archetype Report | June 2018Section Name

Section NameISG Provider Lens™ Archetype Report | June 2018

Medium

Small

Text

Box

Siz

es

Medium

Small

Color Block Sizes

Margin for Graphics

2121

© 2020 Information Services Group. Inc. All Rights Reserved.

Some other providers scored high in one or more areas that are important for clients in the Strategic Implementers archetype. However, they were not categorized as leaders for this archetype as they did not rate high in adequate number of categories.

Some of these providers have been listed below.

OTHER NOTEWORTHY PLAYERS – STRATEGIC IMPLEMENTERS ARCHETYPE

Other Noteworthy Players – Strategic Implementers ArchetypeFig 6

Data Sourcing and Analytics

Digital Governance

System Integration

Automated Service Delivery

Proven Track Record

CGI Mphasis CSS Corp Fujitsu Fujitsu

Fujitsu T-Systems Hexaware Hexaware Softtek

Hexaware Mphasis Mphasis UST Global

Publicis Sapient Softtek Softtek

Trianz Trianz

T-Systems T-Systems

Strategic Implementers ArchetypeISG Provider Lens™ Archetype Report | February 2020

2222

ECOSYSTEM MODERNIZERS ARCHETYPE

Ecosystem Modernizers Archetype

© 2020 Information Services Group. Inc. All Rights Reserved.

Ecosystem Modernizers are extremely customer-centric and focused on implementing new services to enhance the customer experience or bring additional revenue. These buyers may also consider the platform ecosystem or implement SaaS solutions. These enterprises need service providers to deploy applications at a fast pace either by developing customized solutions or by using ready-to-use platforms. The buyers also seek assistance in formulating API strategy and aligning the IT ecosystem to enable addition of newer systems in the future. These buyers need the services of providers not only to deploy digital solutions but also to realize the benefits of pursuing digital initiatives. Hence, gain-sharing, risk-sharing or outcome-based pricing models have greater relevance in outsourcing contracts for this buyer segment.

ISG Provider Lens™ Archetype Report | February 2020

© 2020 Information Services Group. Inc. All Rights Reserved.

2323

� Deploying customer-centric applications and devising additional revenue streams

� Co-creating niche and innovative solutions with partners

� Offering a strong digital workforce adept at working in evolving environments

� Faster time to market in developing and deploying digital solutions

� Advisory for digital journey and maximizing benefits

� Use of automation to manage monotonous processes

Ecosystem Modernizers - Client Objectives

Ecosystem Modernizers - Influence of Provider Capabilities

ISG Provider Lens™ Archetype Report | February 2020

Fig 7

Increase in future influence Decrease in future influence

Ecosystem Modernizers Archetype

Size based on relative current importance in the archetype profile

Platforms and MVPs

Application Transformation

API Development

and Migration

Pricing Flexibility

Turqoise

Grey

Blue

Section NameISG Provider Lens™ Archetype Report | June 2018

ISG Provider Lens™ Archetype Report | June 2018Section Name

Section NameISG Provider Lens™ Archetype Report | June 2018

Large

Medium

Small

Text

Box

Siz

es Large

Medium

Small

Color Block Sizes

Margin for Graphics

2424

Of the 35 services providers included in our research, we found 13 leaders that stand out above the others as a match for the Ecosystem Modernizers based on our assessment of their capabilities as described in the methodology section in the appendix. These 13 leaders, referred to as archetype leaders, and their relevant capabilities are presented in Figure 8, and briefly examined in the following sections.

Note: The service providers listed are arranged in alphabetical order. No ranking is implied.

Ecosystem Modernizers Archetype LeadersFig 8

© 2020 Information Services Group. Inc. All Rights Reserved.

Item 1 Item 2 Item 3 Item 4 Item 5 Item 6

CSC 3 4 3 2 3 4

HP Enterprise 3 3 4 2 3 3

Infosys 4 3 3 3 4 3

KPIT 4 4 4 2 4 4

L&T Infotech 3 4 4 2 3 4

Mindtree 3 4 2 4 3 4

Syntel 4 4 2 3 4 4

UST Global 3 3 1 4 3 3

ValueLabs 4 4 2 4 4 4

4 Score 4 out of 4 3 Score 3 out of 4 2 Score 2 out of 4 1 Score 1 out of 4

Ecosystem Modernizers Archetype

Application Transformation

API development and migration

Pricing Flexibility

Platforms and MVPs

Accenture 4 4 3 4

Atos 4 3 4 4

Capgemini 4 4 3 4

Cognizant 4 4 4 3

DXC 3 4 3 3

HCL 4 4 4 4

IBM 4 4 3 4

Infosys 4 4 3 4

Mindtree 4 4 4 3

TCS 4 4 3 4

Tech Mahindra 4 4 4 3

Wipro 4 3 3 4

Zensar 4 4 4 3

ISG Provider Lens™ Archetype Report | February 2020

2525

© 2020 Information Services Group. Inc. All Rights Reserved.

MindtreeMindtree’s Digital Pumpkin innovation hub provides support for experience and journey mapping, digital evangelization and reimagination. The company offers a discovery workshop for persona identification, gap assessments, and “as-is” and “to-be” journey maps, before defining a roadmap for customer experience transformation.

Mindtree takes a consultation-led, human-centric approach to deliver digital experiences to its clients. Based on the business imprint of the client, digital needs are mapped to one of three areas, namely, modernizing the core, transforming experiences and making AI all-pervasive. Based on journey mapping, the roadmap is defined to deliver connected experiences with edge, intelligence and cloud in a platform-based approach using relevant digital tools and Mindtree accelerators and frameworks.

Some of the products or intellectual properties offered by Mindtree include Yorbit, which is an employee learning management platform to upskill and cross-skill employees on emerging technologies, and the MWatch platform that provides a consolidated view of applications and infrastructure by integrating the service desk with monitoring tools. It also integrates various stacks of tools with process workflows to provide an enterprise-wide, integrated view based on intelligent aggregation and correlation of data, processes and business rules.

Ecosystem Modernizers ArchetypeISG Provider Lens™ Archetype Report | February 2020

Turqoise

Grey

Blue

Section NameISG Provider Lens™ Archetype Report | June 2018

ISG Provider Lens™ Archetype Report | June 2018Section Name

Section NameISG Provider Lens™ Archetype Report | June 2018

Medium

Small

Text

Box

Siz

es

Medium

Small

Color Block Sizes

Margin for Graphics

2626

© 2020 Information Services Group. Inc. All Rights Reserved.

OTHER NOTEWORTHY PLAYERS – ECOSYSTEM MODERNIZERS ARCHETYPESome other providers scored high in one or more areas that are important for the Ecosystem Modernizers client archetype. However, they were not categorized as leaders for this archetype because they did not rate high in adequate number of categories.

Some of these have been listed below.

Other Noteworthy Players – Ecosystem Modernizers ArchetypeFig 9

Ecosystem Modernizers Archetype

Application Transformation

API Development and Migration

Pricing Flexibility

Platforms and MVPs

CGI CGI Hexaware Bridgei2i

CSS Corp CSS Corp Softtek C3IoT

Deloitte Deloitte LTI

EY EY T-Systems

Fujitsu Fujitsu

Hexaware Hexaware

Mphasis Mphasis

NTT Publicis Sapient

Publicis Sapient Softtek

Softtek

ISG Provider Lens™ Archetype Report | February 2020

2727

DISRUPTION EMBRACERS ARCHETYPE

Disruption Embracers Archetype

© 2020 Information Services Group. Inc. All Rights Reserved.

The Disruption Embracers are innovators and out-of-the-box thinkers. They are always ahead of competitors and lead industry or service lines. These buyers have high investments in R&D and are ready to adopt functional digital solutions based on emerging technologies. These organizations are disruptors and leverage service provider capabilities to drive their innovation agenda. Typically, this buyer segment is willing to co-create digital solutions and establish joint centers of excellence to exchange ideas/knowledge on the implementation of emerging technologies. The buyers in this segment need to leverage the ecosystem of the service provider to deploy holistic digital solutions or services for its customers. As the enterprises in this segment usually tread unexplored paths, they require robust consulting and advisory services to take them through their digital journey.

ISG Provider Lens™ Archetype Report | February 2020

© 2020 Information Services Group. Inc. All Rights Reserved.

2828

� Soliciting consultations to solve business challenges and adopting new approaches across business functions

� Establishing co-innovation centers to adopt emerging technologies and explore new use cases

� Embracing a digital mindset to continually create new solutions

� Managing talent pool to develop neo-skills of digital workforce

� Building a partner ecosystem for the optimal delivery of digital services

� Focusing on agility, flexibility and speed to deploy new capabilities

Disruption Embracers - Client Objectives

Disruption Embracers - Influence of Provider Capabilities

ISG Provider Lens™ Archetype Report | February 2020

Fig 10

Increase in future influence Decrease in future influence

Disruption Embracers Archetype

Size based on relative current importance in the archetype profile

Innovation PotentialConsulting Services

Emerging Technology

Implementation

Partner Ecosystem

Turqoise

Grey

Blue

Section NameISG Provider Lens™ Archetype Report | June 2018

ISG Provider Lens™ Archetype Report | June 2018Section Name

Section NameISG Provider Lens™ Archetype Report | June 2018

Large

Medium

Small

Text

Box

Siz

es Large

Medium

Small

Color Block Sizes

Margin for Graphics

2929

Of the 35 services providers included in our research, we found 11 leaders that stand out above the others to match the Disruption Embracers based on our assessment of their capabilities as described in the methodology section in the appendix. These 11 leaders, referred to as archetype leaders, and their relevant capabilities are presented in Figure 11, and briefly examined in the following sections.

Note: The service providers listed are arranged in alphabetical order. No ranking is implied.

Disruption Embracers Archetype LeadersFig 11

© 2020 Information Services Group. Inc. All Rights Reserved.

Item 1 Item 2 Item 3 Item 4 Item 5 Item 6

CSC 3 4 3 2 3 4

HP Enterprise 3 3 4 2 3 3

Infosys 4 3 3 3 4 3

KPIT 4 4 4 2 4 4

L&T Infotech 3 4 4 2 3 4

Mindtree 3 4 2 4 3 4

Syntel 4 4 2 3 4 4

UST Global 3 3 1 4 3 3

ValueLabs 4 4 2 4 4 4

4 Score 4 out of 4 3 Score 3 out of 4 2 Score 2 out of 4 1 Score 1 out of 4

Consulting Services Emerging Tech Implementation Partner Ecosystem Innovation Potential

Accenture 4 4 4 4

Atos 4 3 3 4

Capgemini 4 2 3 3

Cognizant 4 3 4 4

Fujitsu 3 3 4 3

HCL 4 3 3 4

IBM 4 4 4 4

Infosys 4 3 3 4

TCS 4 3 4 3

Tech Mahindra 4 3 3 4

Wipro 4 3 4 2

Disruption Embracers ArchetypeISG Provider Lens™ Archetype Report | February 2020

Turqoise

Grey

Blue

Section NameISG Provider Lens™ Archetype Report | June 2018

ISG Provider Lens™ Archetype Report | June 2018Section Name

Section NameISG Provider Lens™ Archetype Report | June 2018

Medium

Small

Text

Box

Siz

es

Medium

Small

Color Block Sizes

Margin for Graphics

3030

© 2020 Information Services Group. Inc. All Rights Reserved.

OTHER NOTEWORTHY PLAYERS – DISRUPTION EMBRACERS ARCHETYPESome other providers scored high in one or more areas that are important for the Disruption Embracers client archetype. However, they were not categorized as leaders for this archetype because they did not rate high in adequate number of categories.

The noteworthy providers have been listed below.

Other Noteworthy Players – Disruption Embracers ArchetypeFig 12

Consulting Services Emerging Tech Implementation Partner Ecosystem Innovation Potential

BCG Applied Blockchain Deloitte Applied Blockchain

CGI C3IoT NTT C3IoT

CSS Corp ConsenSys ConsenSys

Deloitte NTT Mindtree

DXC Zensar

EY

KPMG

McKinsey

Mphasis

PWC

Softtek

Zensar

Disruption Embracers ArchetypeISG Provider Lens™ Archetype Report | February 2020

Turqoise

Grey

Blue

Section NameISG Provider Lens™ Archetype Report | June 2018

ISG Provider Lens™ Archetype Report | June 2018Section Name

Section NameISG Provider Lens™ Archetype Report | June 2018

Medium

Small

Text

Box

Siz

es

Medium

Small

Color Block Sizes

Margin for Graphics

© 2020 Information Services Group. Inc. All Rights Reserved.

3131

Ù = Leaders = Noteworthy Providers (number of check marks indicate the degree of alignment

with the capability requirements of each client archetype) = Not In (the Service Provider wasn’t considered a leader in any of the capability requirements for this archetype)

NOTE: All Service Providers evaluated for this report have the abilities to service all four archetypes, only those with the best fit to the capability requirements were identified as Leaders or Noteworthy Providers

SERVICE PROVIDERS ACROSS ARCHETYPESService Providers Across Archetypes

Targeted Transformers

Strategic Implementers

Ecosystem Modernizers

Disruption Embracers

Accenture 0 Ù Ù Ù

Applied Blockchain 0 0 0 PP

Atos PPP Ù Ù Ù

Avanade PP 0 0 0

BCG 0 0 0 P

bridgei2i 0 0 P 0

C3IoT 0 0 P PP

Capgemini PP Ù Ù Ù

CGI 0 P PP P

Cognizant Ù Ù Ù Ù

ISG Provider Lens™ Archetype Report | February 2020

Service Providers Across Archetypes

3232

© 2020 Information Services Group. Inc. All Rights Reserved.

Ù = Leaders = Noteworthy Providers (number of check marks indicate the degree of alignment

with the capability requirements of each client archetype) = Not In (the Service Provider wasn’t considered a leader in any of the capability requirements for this archetype)

NOTE: All Service Providers evaluated for this report have the abilities to service all four archetypes, only those with the best fit to the capability requirements were identified as Leaders or Noteworthy Providers

SERVICE PROVIDERS ACROSS ARCHETYPESTargeted

TransformersStrategic

ImplementersEcosystem

ModernizersDisruption Embracers

ConsenSys 0 0 0 PP

CSS Corp 0 0 PP P

Deloitte 0 0 PP PP

DXC Ù Ù Ù P

EY 0 0 PP P

Fujitsu 0 PPP PP Ù

HCL Ù Ù Ù Ù

Hexaware PP PPP PPP 0

IBM 0 Ù Ù Ù

Infosys Ù Ù Ù Ù

ISG Provider Lens™ Archetype Report | February 2020

Turqoise

Grey

Blue

Section NameISG Provider Lens™ Archetype Report | June 2018

ISG Provider Lens™ Archetype Report | June 2018Section Name

Section NameISG Provider Lens™ Archetype Report | June 2018

Medium

Small

Text

Box

Siz

es

Medium

Small

Color Block Sizes

Margin for Graphics

Service Providers Across Archetypes

3333

© 2020 Information Services Group. Inc. All Rights Reserved.

Ù = Leaders = Noteworthy Providers (number of check marks indicate the degree of alignment

with the capability requirements of each client archetype) = Not In (the Service Provider wasn’t considered a leader in any of the capability requirements for this archetype)

NOTE: All Service Providers evaluated for this report have the abilities to service all four archetypes, only those with the best fit to the capability requirements were identified as Leaders or Noteworthy Providers

SERVICE PROVIDERS ACROSS ARCHETYPESTargeted

TransformersStrategic

ImplementersEcosystem

ModernizersDisruption Embracers

KPMG 0 0 0 P

LTI Ù Ù P 0

McKinsey 0 0 0 P

Mindtree Ù Ù Ù P

Mphasis P PPP PP P

NTT P Ù P PP

Publicis Sapient 0 P PP 0

PWC 0 0 0 P

Softtek Ù PPP PPP P

Stefanini P 0 0 0

ISG Provider Lens™ Archetype Report | February 2020

Turqoise

Grey

Blue

Section NameISG Provider Lens™ Archetype Report | June 2018

ISG Provider Lens™ Archetype Report | June 2018Section Name

Section NameISG Provider Lens™ Archetype Report | June 2018

Medium

Small

Text

Box

Siz

es

Medium

Small

Color Block Sizes

Margin for Graphics

Service Providers Across Archetypes

3434

© 2020 Information Services Group. Inc. All Rights Reserved.

Ù = Leaders = Noteworthy Providers (number of check marks indicate the degree of alignment

with the capability requirements of each client archetype) = Not In (the Service Provider wasn’t considered a leader in any of the capability requirements for this archetype)

NOTE: All Service Providers evaluated for this report have the abilities to service all four archetypes, only those with the best fit to the capability requirements were identified as Leaders or Noteworthy Providers

SERVICE PROVIDERS ACROSS ARCHETYPESTargeted

TransformersStrategic

ImplementersEcosystem

ModernizersDisruption Embracers

TCS 0 Ù Ù Ù

Tech Mahindra PP Ù Ù Ù

Trianz Ù PP 0 0

T-Systems 0 PPP P 0

UST Global P P 0 0

Wipro Ù Ù Ù Ù

Zensar P Ù Ù PP

ISG Provider Lens™ Archetype Report | February 2020

© 2020 Information Services Group. Inc. All Rights Reserved.

(OpEx). The clients that have seen higher than average revenue after the implementation of digital solutions are focused on regular assessments of the impact of automation, on processing and analyzing IoT data streams and are co-creating digital products along with customers and partners. The clients that have envisaged a substantial increment in customer retention have adopted a common technology platform approach, are focusing on end-to-end visibility into a product and handling service backlog in development teams and IoT data streams. The clients achieving higher than average OpEx reduction are opting for the adoption of personalized content, leveraging IoT data, taking advantage of common tech platforms and co-creating digital products and solutions.

As the adoption of all that is digital increases, the market is moving toward the peak of the digital era. Adoption of new technologies and innovative approaches to bring about business benefits will continue to find favor in the market. Enterprises need to have a clear digital transformation roadmap aligned to the business growth targets and spread over a period of time after assessing the current state of IT systems and by forecasting the optimal ability to handle risks based on growth. The service providers need to be attuned to the needs of enterprises and help in the journey for digital transformation. Most enterprises are looking for the quantifiable benefits of implementing digital projects and the providers that can help to realize such outcomes will be more preferred. These changes in market dynamics will lead to further changes in the outsourcing dynamics in 2020 and the following years. The relationship between an enterprise and a provider is moving toward partnership-based models that can be mutually beneficial compared with the traditional outsourcing models that were essentially turn-key assignments. Digital will become the way of life for many businesses and will enable enterprises to handle uncertainties, including those in the macro-environment such as political instability.

GUIDANCEGoing digital has become the norm for many businesses. Organizations have increasingly begun adopting digital solutions to remain ahead in the game. As a result, an increasing number of outsourcing engagements have a digital aspect to it. The intended outcome of such deals could be cost optimization, innovation, enhancement of business value or increase in revenue. The innovators around the world are leveraging digital solutions to transform business and maintain leadership in their respective microsegments. According to ISG, in 2019, 43 percent of deals had a digital component, and this is expected to grow in the coming years.

Most organizations are seeing the benefits of digital transformation when devised and implemented correctly. According to ISG, among enterprises that are investing in digital, 97 percent have seen an average increase of approximately 5.6 percent in revenue, 91 percent have witnessed approximately 5.5 percent improvement in customer retention and 87 percent have seen approximately 5.2 percent reduction in operational expenditure

3535

Guidance

ISG Provider Lens™ Archetype Report | February 2020

3636

© 2020 Information Services Group. Inc. All Rights Reserved.

Guidance

Enterprise Leadership Actions

With organizations looking for ways to improve business, the dynamics within an organization are changing. IT is no longer a separate functional unit, but an integrated function along with other business functions. The emergence of roles such as chief data officer, chief digital officer and chief information security officer, in an enterprise, indicates that the role of a CIO is changing. Technology is more than support function and has a direct impact on business priorities. Hence, it has become imperative for the IT of an organization to work in tandem with business priorities and targets.

Based on the needs of the enterprises, the organizational and IT priorities could vary. Below are the leadership priorities based on archetype

� Targeted Transformers – These enterprises need to implement an integrated IT approach rather than work as silos. The digital initiatives devised should focus on integrating business functions to realize operational and cost benefits. The leadership needs to focus on organizational change management and re-align processes to enable business growth. This will help an organization envision more digital initiatives for future business growth.

� Strategic Implementers – These enterprises need to have a clear digital strategy before embarking on a digital journey. The roadmap needs to be aligned with the long-term vision of business growth. It is also important for these organizations to have a clear data strategy and leverage the data to optimize services to customers, leading to additional revenue streams.

The cultural alignment of the operational team needs to be assessed and imbibed for the use of technology to reap the benefits of digital initiatives. Also, business functions need to work in collaboration to provide seamless services to end customers.

� Ecosystem Modernizers – As these firms are adept at using cloud and digital technologies, the use of automation to reduce operational workloads will help them to optimize processes. These enterprises need to adopt new approaches and expand their partner ecosystem to bring about enhanced customer experiences. Empowering employees to work in new ways will help the enterprise stay agile to changes needed for adding or altering the digital services delivered. These enterprises can also consider the gig economy to manage skillset availability and project-cost tradeoff.

� Disruption Embracers – Hiring and retaining talent with digital skills will be a key imperative for these enterprises dealing with emerging technologies. Setting up centers of excellence and having an innovation charter will be mandatory to maintain market leadership. A culture of startups needs to be inculcated in the large organizations to allow the free flow of new ideas.

ISG Provider Lens™ Archetype Report | February 2020

3737

© 2020 Information Services Group. Inc. All Rights Reserved.

Guidance

Provider Leadership Actions

Most of the service providers have aligned their capabilities to deliver digital projects to their clients. However, the providers are not confined to one type of enterprise segment and are focused on acquiring clients across all segments. To achieve these objectives, the service providers need to define what they consider as digital transformation. It is imperative to build a digital transformation framework by considering both human element and design thinking, which acts as the guiding light across project implementations.

The imperatives for a service provider are listed below:

1. Focus on most embraced technologies: IoT, analytics, cloud, AI and cybersecurity will be commonly adopted by enterprises in 2020. Hence, it is imperative for service providers to focus on solutions involving these technologies to expand their customer base.

2. Develop capability to support hyper-personalized services: The providers need to focus on benefits their clients intend to deliver to end consumers and target specific microsegments within industries; this will require the delivery of hyper-personalized services for end-customers.

3. Leverage Agile and DevOps approaches: Developing, deploying and realizing digital projects would require agile and DevOps approaches in addition to a goal-oriented understanding of the business requirements of clients.

4. Increase focus on control of customer data: As privacy and security of consumer data is becoming critical, service providers need to help clients with integrating the required regulations while deploying digital solutions or creating the proofs of concept for an innovative idea.

5. Manage the talent pool effectively: It is pertinent for the service provider to hire the right number of people and with the right skillset. Re-skilling and upskilling for neo-skills have become a necessity. The service providers need to have a strategy to handle the expectations of the digital workforce and, simultaneously, manage the skillsets of its employees.

6. Focus on new-age partnerships: Service providers need to build a holistic partner ecosystem comprising the right combination of hardware, software, integration, infrastructure and regional partners. Not only does this help to provide a holistic business solution for clients by leveraging digital technologies, but also enables knowledge exchange between partners.

7. Enable cultural alignment within its workforce: To successfully deliver digital transformation, it is necessary for the service provider’s delivery team to understand the cultural nuances in a client’s business landscape. Inculcating the right digital mindset in the organization to deliver digitalization would help providers to deliver digital solutions effectively.

8. Co-innovate along with clients or partners: The providers are setting up centers of excellence to create new and innovate digital solutions. The service providers need to extend this innovation attitude toward its partner ecosystem and clients to co-create innovative and beneficial solutions.

ISG Provider Lens™ Archetype Report | February 2020

Appendix

Appendix

Section NameISG Provider Lens™ Archetype Report | June 2018ISG Provider Lens™ Archetype Report | February 2020

© 2020 Information Services Group. Inc. All Rights Reserved.

APPENDIX

Report Methodology

MethodologyAs previously noted, this report uses four archetypical sets of buy-side client requirements to assess the relative suitability of Digital Business Solutions and Services providers. Data regarding the providers’ capabilities and positioning was provided to ISG via briefings, ISG advisor interviews and surveys of service providers, including client references if appropriate.

Digital Business Solutions and Services providers (SPs) shared their data across different digital business solutions and services dimensions through the research initiatives noted above. These dimensions cover their technological competency, preferred engagement models, scope of work performed, service capability, functional expertise and industry and regional presence.

1Categorize and assess provider data

2Weight Importance of capability requirement

3Determine provider position in quartile

4Create cumulativescore

5Categorize providers in archetypes

3939

Methodology

ISG Confidential © 2018 Information Services Group. Inc. All Rights Reserved. ####

4040

Appendix: Methodology

© 2020 Information Services Group. Inc. All Rights Reserved.

4040

Methodology Details

1 The data provided by the services providers were categorized and assessed according to the Digital Business Solutions and Services requirements described for each of the four client archetypes. In cases in which provider descriptions and data were not worded as precisely as our archetype requirements, our Digital Business Solutions and Services analysts relied on their expertise and experience to classify provider capabilities.

3 Once the relative ability of each services provider was assessed for each of the archetype requirements, each provider was then positioned in a relevant quartile (for example, top 25 percent, second 25 percent and so on). The top quartile was awarded a numerical “capability score” of 4/4; the second quartile earned a score of 3/4, the third quartile earned a score of 2/4, and the fourth quartile earned a score of 1/4. Those with no capabilities to meet the archetype requirements were not included in the assessment.

2 Each archetype capability requirement was weighted based on its relative importance to that archetype’s typical requirements. Weightings for each archetype’s requirements add up to a total of 100 percent. Specific weightings are not disclosed in this report. The relative importance of each capability requirement is depicted in illustrations at the beginning of each archetype section using differently sized “hexagon” icons.

Please note: This report simply presents services providers’ known capabilities in the context of user enterprises’ typical project needs. This report is not meant to rank providers or to assert that there is one top provider with abilities that meet the requirements of all clients that identify themselves with a particular archetype.

5 The cumulative scores were then used to identify the services providers most well suited for each archetype’s requirements. These providers are listed alphabetically and briefly profiled in each archetype section. Where relevant, additional services providers with noteworthy capabilities are also mentioned (e.g., providers that may have scored well on a specific requirement but not across all the requirements for that archetype).

4 Provider capability scores from Step 3 were then multiplied by the weightings developed for each client archetype requirement in Step 2. The results for each provider were then totaled to develop a cumulative score for each service provider. These cumulative scores are not disclosed in this report.

ISG Provider Lens™ Archetype Report | February 2020

ScoreHarvey Ball

representationScore 4 out of 4 4

Score 3 out of 4 3

Score 2 out of 4 2

Score 1 out of 4 1

4141

Provider Capability Scores as Harvey BallsFig 13

Appendix: Methodology

The cumulative score for each of the selected services providers against each archetype requirement is represented using Harvey Balls. For example: if a provider is assessed with a score of 4 out of 4, then a full Harvey Ball is used to represent their capability against that requirement. Similarly, if a provider is assessed a score of 1 out of 4, then a one-quarter Harvey Ball is used, as shown in below.

© 2020 Information Services Group. Inc. All Rights Reserved.

ISG Provider Lens™ Archetype Report | February 2020

© 2020 Information Services Group. Inc. All Rights Reserved.

4242

Additional Relevant Digital Business Solutions and Services Providers

The capabilities of 40 providers were assessed in this report. Some of the services providers are typically included in our work and are not rated, are not included in this report. Some of the companies that were not included were not able to participate and others declined. Providers that do not offer a full portfolio of digital business solutions and services have not been included in the study. They may be included in future versions of this report, based on merit and on the services providers’ willingness to provide current and relevant materials. Readers should not make any inferences about a services provider’s absence from this report.

Appendix: Additional Relevant Digital Business Solutions and Services Providers

Other Relevant Service Providers

Headquartered Country

Applied Blockchain UK

Blockshipping Denmark

Bridgei2i India

Coinify Denmark

Devoteam France

Intellectsoft US

OpenLedger Denmark

Persistent Systems India

Publicis Sapient US

TietoEvry FinlandAdditional Relevant Digital Business Solutions and Services Providers

ISG Provider Lens™ Archetype Report | February 2020

© 2020 Information Services Group. Inc. All Rights Reserved.

Authors and Editors

Mrinal Rai is the Principal analyst for Digital Workplace and Social business collaboration. His area of expertise is digital workplace services and enterprise social collaboration both from a technology and business point of view. He covers key areas around the Workplace and End User computing domain viz., modernizing workplace, Enterprise mobility, BYOD, VDI, managed workplace services, service desk and modernizing IT architecture. In Social business collaboration, he focuses on enterprise social software, content collaboration, team collaboration, social media management and chatbot platforms. He has been with ISG for last 7+ years and has more than 12 years of industry experience. Mrinal works with ISG advisors and clients in engagements related to workplace modernization, social intranet, collaborative workplace, cloud-based VDI, end user computing and service desk.

Mrinal Rai, AuthorPrincipal Analyst

Jan Erik Aase is a director and principal analyst for ISG. He has more than 35 years of collective experience as an enterprise client, a services provider, an ISG advisor and analyst. Jan Erik has overall accountability for the ISG Provider Lens™ reports, including both the buyer-centric archetype reports and the worldwide quadrant reports focused on provider strengths and portfolio attractiveness. He sets the research agenda and ensures the quality and consistency of the Provider Lens™ team.

Jan Erik Aase, EditorDirector

Akhila Harinarayan is a lead analyst on the ISG Provider Lens™ (IPL) team focusing on Digital Transformation and SAP. She has more than a decade experience across consulting and research including enterprise strategy, industry roadmaps, point-of-view papers, research for service providers across regions and target segments. She brings in her expertise on strategy and transformation, digital insights, thought leadership, benchmarking, market assessment and go-to-market strategies. She has also worked for Financial Services industry vertical as SAP talent consultant. She has authored many digital insights papers, devised go-to-market strategies for a specific product/industry vertical/region, built frameworks and maturity models across industries.

Akhila Harinarayan, AuthorLead Analyst

ISG Provider Lens™ Archetype Report | February 2020

ISG Provider Lens™ Archetype Report: Digital Business – Solutions and Service PartnersFebruary 2020© 2020 Information Services Group. Inc All Rights Reserved

ISG (Information Services Group) (Nasdaq: III) is a leading global technology research and advisory firm. A trusted business partner to more than 700 clients, including more than 70 of the top 100 enterprises in the world, ISG is committed to helping corporations, public sector organizations, and service and technology providers achieve operational excellence and faster growth. The firm special-izes in digital transformation services, including automation, cloud and data analytics; sourcing adviso-ry; managed governance and risk services; network carrier services; strategy and operations design; change management; market intelligence and technology research and analysis. Founded in 2006, and based in Stamford, Conn., ISG employs more than 1,300 digital-ready professionals operating in more than 20 countries—a global team known for its innovative thinking, market influence, deep industry and technology expertise, and world-class research and analytical capabilities based on the industry’s most comprehensive marketplace data. For more information, visit www.isg-one.com.