Rapid generative AI adoption across enterprise functions presents diverse opportunities and significant challenges. Organizations recognize clear pathways to enhanced productivity and new revenue streams, yet most deployments remain cautious and limited, yielding minimal rewards. Despite widespread generative AI risk awareness, most enterprises are unprepared to manage these effectively. However, enterprises with mature risk management strategies achieve 25% higher rewards compared to those who do not have similar risk management maturity, highlighting the vital link between risk management capability and business value. In this report, we examine how enterprises can move beyond cautious experimentation to realize substantial returns from their generative AI investments. The report explores the quality function’s role in assuring AI applications across layers and adoption stages. This research benefits enterprises seeking to build robust risk management strategies while scaling their AI initiatives responsibly and sustainably. Scope All industries and geographies Contents In this report, we: Examine generative AI adoption’s current enterprise status Recommend a roadmap for managing generative AI adoption risks Analyze the approach for the quality function to assure generative AI rewards Memberships Application Services Sourcing and Vendor Management

Organizations are grappling with ensuring quality and reliability in their AI applications and systems while keeping pace with rapid technology advances and evolving regulatory requirements. As AI adoption increases, enterprises need Quality Engineering (QE) service partners that can not only validate AI models and systems but also embed responsible AI principles throughout the development life cycle. Organizations seek providers that understand AI testing’s unique challenges and can blend traditional testing approaches with AI-specific methodologies while remaining compliant with emerging AI regulations and ethical guidelines. Providers offering comprehensive AI testing frameworks, specialized validation tools, and deep expertise in detecting biases, explaining models, and monitoring performance are uniquely positioned to support enterprises in their AI quality assurance journey. These providers must demonstrate technical proficiency in AI testing and a strong understanding of domain-specific AI applications, regulatory requirements, and ethical considerations. In this report, we assess 21 providers featured on the Quality Engineering (QE) Services for AI Applications and Systems PEAK Matrix® Assessment 2024 and categorize them as Leaders, Major Contenders, and Aspirants based on their capabilities and offerings. The study will enable buyers to choose the best-fit provider based on their AI testing requirements, while providers will be able to benchmark their performance against each other. Scope All industries and geographies Service: QE Contents This report features detailed assessments, including strengths and limitations, of 21 providers focusing on delivering QE services for AI applications and systems. Membership(s) Application Services Sourcing and Vendor Management

For years, technology has underpinned business growth, compelling enterprises to focus on sustainable IT for long-term success. However, despite leadership support and buy-in for sustainable IT, a significant gap exists between intention and implementation because product teams often treat sustainability as an afterthought. Everest Group believes the quality function can enable enterprises to achieve these sustainable IT goals. To enhance its impact and reach, enterprises must widen the quality function’s scope to include sustainability when defining product quality. In this viewpoint, we explore how a shift-left and shift-right approach ensures the continual integration of sustainable practices throughout the Software Development Lifecycle(SDLC) and highlights the quality function’s role. This report benefits enterprises seeking a structured approach to implement sustainable IT initiatives effectively. Scope: All industries and geographies Contents: In this report, we: Identify and address key challenges in implementing sustainable IT initiatives Define the quality function’s vital role in sustainable IT mandates Highlight enterprise-level strategic investments in people, processes, and technology for sustainable IT initiatives Measure sustainable IT initiatives’ impact and efficacy   Memberships Application Services Sourcing and Vendor Management

In 2024, gen AI emerges as a vital technology, enhancing capabilities of enterprises and providers in the application services sector. Enterprises are embedding gen AI in applications to drive operational efficiency, foster business innovation, and drive growth. In this report, we examine the transformative impact of gen AI across the application services value chain, highlighting the transition from pilot projects to full-scale deployments. The report explores gen AI use cases across various segments of application services, including consulting, implementation, testing, and maintenance. Each section offers detailed insights into specific application services challenges, gen AI applications, their impact, and the key technologies being leveraged by providers to make significant strides in this domain. Additionally, the report offers a comprehensive view of the current landscape of pilot and production use cases across different application services segments, helping enterprises to make informed decisions regarding future investments in gen AI. Scope All industries and geographies Service: Application Contents In this report, we examine: Application services’ overview, value chain, key business issues, and challenges Gen AI’s impact in addressing application services challenges Market maturity for gen AI adoption Segment wise adoption in application services based on the study Membership(s) Service Optimization Technologies (SOT) Application Services Artificial Intelligence (AI) Sourcing and Vendor Management

Over the years, there has been a growing emphasis on enhancing both the quality of software and the processes used to build it. This shift has prompted enterprises to transition from Quality Assurance (QA) to Quality Engineering (QE), linking the outcomes of the quality function with business results. The increased adoption of newer technologies such as generative AI underscores the importance of understanding their implications across processes, people, and technology, as well as the new opportunities they present for the quality function. Generative AI use cases are rising across the Software Testing Life Cycle (STLC) and in quality interventions for generative AI applications/systems. On the supply side, major participants such as Microsoft, Google, and Meta are investing aggressively to dominate the generative AI landscape. Additionally, there have been investments from leading QE-specific technology providers such as Copado, Katalon, QuerySurge, and Tricentis as well. This presents an opportune moment for enterprises to understand how the quality function can be a game changer in their generative AI journey. In this report, we examine generative AI’s potential in QE and how QE can facilitate smoother adoption of generative AI in the IT landscape. Scope All industries and geographies Market segment: QE services Sources leveraged: analyst inputs, Everest Group research (covering recruiters, industry experts, and industry associations), ongoing interactions with enterprises and providers, and publicly available secondary data sources Contents In this report, we: Analyze QE market size (split across geographies and industry verticals) Examine QE buyer trends across various geographies, industry verticals, and revenue sizes Identify key trends that are shaping the QE market Membership(s) Application Services Outsourcing Excellence

Enterprises pursuing digital transformation are exploring cutting-edge next-generation technologies to gain a competitive edge, drive business model innovation, and expand their operational capabilities. However, to achieve the desired benefits without disrupting their existing operations, implementing comprehensive Quality Engineering (QE) processes for these next-generation technologies is vital. To assist enterprises in their journey toward quality transformation through the adoption of next-generation technologies, providers are investing in innovation and enhancing their capabilities in areas such as cloud, AI, IoT, blockchain, and extended reality. In this report, we assess 35 next-generation QE service providers featured on the Next-generation Quality Engineering (QE) Services PEAK Matrix® 2023 and categorize them as Leaders, Major Contenders, and Aspirants based on their capabilities and offerings. Each profile offers a comprehensive picture of the provider’s vision and strategy, scope of services offered, enterprise adoption, investments, partnerships, case studies, innovative solutions, and strengths and limitations. Scope All industries and geographies The assessment is based on Everest Group’s annual RFI process for the calendar year 2023, interactions with leading next-generation QE service providers, client reference checks, and an ongoing analysis of the QE services market Contents This report features 35 next-generation QE service provider profiles and includes: A summary dashboard – market impact and vision & capability assessment Providers’ strengths and limitations An overview of providers’ QE services business – vision, scope of services offered, and adoption across enterprise segments and geographies Key QE services case studies An overview of providers’ QE services investments, key solutions, and partnerships Membership(s) Application Services Sourcing and Vendor Management

In today’s dynamic business landscape, the enterprise technology landscape is rapidly evolving, with software products taking center stage. The need for faster time-to-market is driving frequent releases and the adoption of both shift-left and shift-right approaches. Heightened importance is now placed on Quality Engineering (QE) as expectations for superior products soar. To support enterprises in their journey toward quality transformation, providers are channeling investments into innovation and enhanced capabilities. With such objectives, enterprises are partnering with providers that can understand their QE goals and suggest solutions that align with their complex technology ecosystem and processes. In this report, we assess 24 QE specialist service providers featured on the Quality Engineering (QE) Specialist Services PEAK Matrix® 2023 and categorize them as Leaders, Major Contenders, and Aspirants based on their capabilities and offerings. Each profile offers a comprehensive picture of the provider’s vision and strategy, scope of services offered, enterprise adoption, investments, partnerships, case studies, innovative solutions, and strengths and limitations. Scope All industries and geographies The assessment is based on Everest Group’s annual RFI process for calendar year 2023, interactions with leading QE specialist service providers, client reference checks, and an ongoing analysis of the QE services market Contents This report features 24 QE specialist provider profiles and includes: A summary dashboard – market impact and vision and capability assessment Providers’ strengths and limitations An overview of providers’ QE services business – vision, scope of services offered, and adoption across enterprise segments and geographies Key QE services case studies An overview of providers’ QE services investments, key solutions, and partnerships Membership(s) Application Services Sourcing and Vendor Management

Enterprises pursuing digital transformation are exploring cutting-edge next-generation technologies to gain a competitive edge, drive business model innovation, and expand their operational capabilities. However, to achieve the desired benefits without disrupting their existing operations, implementing comprehensive Quality Engineering (QE) processes for these next-generation technologies is vital. To assist enterprises in their journey toward quality transformation with the adoption of next-generation technologies, providers are investing in innovation and enhancing their capabilities in areas such as cloud, AI, IoT, blockchain, and extended reality. In this report, we assess 35 next-generation QE service providers featured on the Next-generation Quality Engineering (QE) Services PEAK Matrix®. Each profile provides a comprehensive picture of the provider’s service focus, key Intellectual Property (IP) / solutions, domain investments, and case studies. The study will enable buyers to choose the best-fit provider based on their sourcing considerations, while providers will be able to benchmark their performance against each other. Scope All industries and geographies The assessment is based on Everest Group’s annual RFI process for calendar year 2023, interactions with leading next-generation QE service providers, client reference checks, and an ongoing analysis of the quality engineering services market Contents In this report, we examine: Everest Group’s services PEAK Matrix® evaluation of 35 QE service providers Characteristics of Leaders, Major Contenders, and Aspirants in the provider landscape Providers’ key strengths and limitations Membership(s) Application Services Sourcing and Vendor Management

In today’s dynamic business landscape, the enterprise technology landscape is rapidly evolving, and software products are taking center stage. The need for faster time-to-market has become imperative, driving frequent releases and the adoption of both shift-left and shift-right approaches. Quality Engineering (QE) now holds heightened importance, as expectations for superior products soar. To support enterprises in their journey toward quality transformation, providers are channeling investments into innovation and enhanced capabilities. With such objectives, enterprises are looking to partner with providers that can understand their QE goals and suggest solutions that fit within their complex technology ecosystem and processes. In this report, we assess 24 quality engineering specialist service providers featured on the Quality Engineering (QE) Specialist Services PEAK Matrix®. Each profile provides a comprehensive picture of the provider’s service focus, key Intellectual Property (IP) / solutions, domain investments, and case studies. The study will enable buyers to choose the best-fit specialist provider based on their sourcing considerations, while providers will be able to benchmark their performance against each other. Scope All industries and geographies The assessment is based on Everest Group’s annual RFI process for calendar year 2023, interactions with leading QE specialist service providers, client reference checks, and an ongoing analysis of the QE services market Contents In this report, we examine: Everest Group’s services PEAK Matrix® evaluation of 24 QE specialist service providers Characteristics of Leaders, Major Contenders, and Aspirants in the provider landscape Providers’ key strengths and limitations Membership(s) Application Services Sourcing and Vendor Management

Enterprises are recognizing the importance of a purpose-led organization that incorporates environmental and social goals within the fabric of its business strategy. Our definition of enterprise purpose encompasses not only environmental and social goals but also sustainable business practices. These practices include adopting long-term profitability-oriented business models, ensuring business resilience and compliance, and implementing efficient practices that minimize waste and resource strain across the organization and ecosystem. By adopting a balanced approach that considers profit, planet, and people, businesses can create lasting impact. On the other hand, disconnecting business goals from these aspects can significantly undermine planet and people aspirations. Achieving a successful purpose-led digital transformation requires a long-term roadmap, effective governance models, and measurement techniques to achieve scaled, meaningful impact. In this viewpoint, we explore the investment orientation of enterprises towards building a purpose-led enterprise and the role of technology in it. Enterprises looking for a structured approach to effectively implement enterprises’ purpose-led digital transformation journeys will benefit from this report. Scope All industries and geographies Contents In this report, we: Establish a practical definition framework for enterprise purpose, guiding a viable investment strategy Examine the current landscape for enabling enterprise purpose, identifying key opportunities and challenges Define the role of technology and digital transformation in enabling enterprise purpose Present a framework for developing enterprise-purpose roadmaps Membership(s) Application Services Sourcing and Vendor Management