Finance and Accounting Outsourcing (FAO) – Service Provider Landscape with PEAK Matrix™ Assessment 2014



The global multi-process FAO market grew at 8% in 2013 to reach US$4.6 billion in size. This growth was marked by a significant increase in contract terminations and new contract signings, signalling an increase in buyers switching their service providers. Increasing competitive intensity among service providers and rising agility of the buyers to satisfy their transformational agenda is pushing service providers to innovate. Thus, providers are investing in unique FAO solutions to deliver differentiated value proposition. On the other hand, as buyers increasingly seek to achieve objectives beyond simple cost reduction and efficiency, they need to evaluate service providers more holistically.

In this research, we analyse the global FAO service provider landscape in 2013. We focus on:

  • Position of 25 service providers on the Everest Group PEAK Matrix for FAO
  • 2014 Star Performers
  • Key insights on PEAK Matrix dimensions
  • Emerging service provider trends

Everest Group Performance | Experience | Ability | Knowledge (PEAK) Matrix for FAO

The scope and methodology of this report covers:

  • Third-party multi-process FAO deals with a minimum of two F&A processes, over US$1 million in ACV, and a minimum contract term of three years
  • Over 900 multi-process FAO deals signed as of 2013
  • 25 FAO service providers with multi-process capability including Accenture, Aegis, Capgemini, Cognizant, Datamatics, Dell, EXL, Genpact, HCL, HP, IBM, IGATE, Infosys, IQ BackOffice, Minacs, NIIT, Quatrro, Serco, Sutherland Global Services, TCS, Tech Mahindra, Wipro, WNS, Xchanging, and Xerox

Emerging Trends


This report examines the dynamics of the global FAO service provider landscape and its impact on the FAO market. In this report, based on comprehensive Everest Group PEAK Matrix, each of the 25 FAO service providers are categorized as Leaders, Major Contenders, or Emerging Players. In addition, 2014 FAO Star Performers are selected based on their top-quartile performance in market success and delivery capability enhancement. This report also provides detailed analysis of market success and FAO delivery capability (across scale, scope, technology, delivery footprint, and buyer satisfaction dimensions) for service provider categories. Additionally, it provides details of the various areas in which service providers are investing, in order to stand out in the crowded FAO market.

Some of the findings of this report are:

  • Based on Everest Group’s comprehensive evaluation framework, PEAK Matrix, the 25 established FAO service providers evaluated are segmented into three categories – Leaders, Major Contenders, and Emerging Players
  • The competitive intensity in FAO is at an all-time high – there are now seven service providers in the Leaders category and several Major Contenders are closing the gap with Leaders
  • Everest Group identified four service providers as the “2014 FAO Market Star Performers” based on the relative year-on-year movement of each service provider on the PEAK Matrix
  • We assessed the overall FAO capability of service providers by evaluating them along six dimensions – 2013 market success and wins, scale, scope, technology, delivery footprint, and buyer satisfaction levels
  • While the Leaders strengthened their positioned on the PEAK Matrix, several Major Contenders are steadily expanding their capabilities to challenge the Leaders
  • Rising competitive intensity and evolving buyer demand are inducing service providers to invest in industry-specific solutions, analytics, and robotic automation

Everest Group has a complimentary four-page PEAK Matrix preview document for this service provider landscape report.

Report Info