Procurement Outsourcing (PO) – PO Service Provider Landscape with PEAK Matrix™ Assessment 2015

14 Sep 2015
by Rajesh Ranjan



The global multi-process PO market continued its robust growth of 12% in 2014. The year witnessed significant contractual activity with 98 new contracts. The PO service provider landscape is evolving, as players continue to invest in technological tools and new-age technologies. With the increasing focus on innovation, technologies, such as advanced/cognitive analytics, RPA, mobile solutions, and automation, will provide a competitive edge in the future.

In this research, we analyze the PO service provider landscape across various dimensions:

  • 2015 PO PEAK Matrix and Star Performers
  • Service provider delivery capability assessment
  • Everest Group analysis on service providers
  • PO market share analysis

 PEAK Matrix

The scope of analysis includes:

  • Third-party PO deals; it does not include shared services or Global In-house Centers (GICs)
  • Over 1,100 multi-process PO deals signed as of 2014, with a minimum of three procurement processes, over US$1 million in ACV, and a minimum contract term of three years. Typically, managed spend is greater than US$50 million
  • Coverage across 18 PO service providers with multi-process capability, namely Accenture, Aegis, Aquanima, Capgemini, Genpact, GEP, HCL, HCMWorks, HP, IBM, Infosys, Optimum Procurement, Proxima, TCS, Tech Mahindra, Wipro, WNS, and Xchanging
  • Global survey and one-on-one executive-level buyer interviews to understand how organizations perceive their PO engagements

 PO Market Share


The report analyses the performance of various service providers of PO along six dimensions and includes:

  • 2015 PO PEAK Matrix and Star Performers
    • Everest Group classified 18 PO service providers on Everest Group’s proprietary PEAK Matrix framework into:
      • Leaders: Accenture, GEP, IBM, and Infosys
      • Major Contenders: Aquanima, Capgemini, Genpact, HCMWorks, HP, Proxima, Tech Mahindra, Optimum Procurement, TCS, Wipro, WNS, and Xchanging
      • Aspirants: Aegis and HCL
    • Based on YoY movement of different service providers on the PEAK Matrix, Everest Group identified three service providers as the “2015 PO Market Star Performers” – Accenture, GEP, and IBM
  • Everest Group analysis on service providers
    • We assessed the overall PO capability of service providers by evaluating them along six dimensions – market success, scale, scope, technology & innovation, delivery footprint, and buyer satisfaction levels
  • PO market share analysis
    • The PO market is concentrated in the hands of a few large players. IBM and Accenture are invariably the top two players in almost all segments and control almost 50% of the market share
    • The top players have exposure to a wider array of buyer segments, while the other players focus largely on the large- or mid-market segment
    • IBM, Accenture, and Xchanging accounted for more than 65% of the new contracts signed in 2014

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


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