Gartner Inc has named 15 companies as the leading SAP application management service providers worldwide, according to its latest Magic Quadrant report.
The report evaluates the 15 vendors on their ability to execute and their completeness of vision in regard to worldwide SAP application management services.
Each provider is placed in a ‘Magic Quadrant’ of expertise, with Wipro, Deloitte and Ciber named visionaries; NTT Data and Fujitsu named niche players; TCS, HP and Infosys classed as challengers, and Accenture, IBM and CSC in the leaders quadrant.
Gartner estimates that end-user spending on application outsourcing worldwide will be worth $40 billion in 2012, with an expected growth of 3.6 per cent in 2013.
While 2012 hasn’t been much different from 2011 in terms of market drivers, Gartner says market developments reveal a continued cost focus.
On average, contracts for SAP application management services are 4.3 years long for the included vendors, with an average total contract value of $6.4 million.
According to Gartner, drivers for end-user organisations to consider outsourcing SAP application management services include legacy modernisation through to consolidation, rationalisation and optimisation of a business applications landscape.
“Providers commonly tend to address this through ‘transformational services’, as buyers commonly tend to use the SAP migration as a means to refresh internal processes and prepare for business changes. However, in many cases buyers prefer, as much as possible, a ‘vanilla’ implementation whereby they can redefine processes to minimise customisations,” Gartner said in the report.
Each vendor named cloud, analytics and mobile on their list of investments and capabilities and all indicated they had a partnership with SAP in these areas.
More in News…
Mobile and social app spending on rise: IDC
Wednesday, November 07, 2012
SAP releases new cloud offerings
Wednesday, November 07, 2012
SAP and leading Asia-Pacific banks collaborate on cloud-based platform
Wednesday, November 07, 2012
