Recent Study: 2009 Top State and Local Government ITO Vendors, Black Book Survey 2009 Results

May 29, 2010 - PRLog -- The American Recovery and Reinvestment Act hopes to stimulate the US economy through funded public sector technology projects. For the foreseeable future, the fortified overseeing of stimulus and TARP finances is shifting purchasing decisions to "Buy American".

Outsourcing, an accepted method of maximizing effective technological initiatives, has public sector agencies and municipalities struggling to determine which managed service suppliers best satisfy oversight obligations. While procurement administrators eliminate offshore vendors from the selection process, elected officials are attempting to meet their constituents' hopes that the stimulus provided will create new jobs.

Political condemnation of outsourcing has grown in popularity as US unemployment levels have approached 10%. The offshore industry's instability is pushing customers to move away from offshore suppliers and towards captive centers and onshore vendors. As far as the average American is concerned, outsourcing is interchangeably identified as offshoring, and offshoring has been widely vilified as being at the root of many job losses.  

"Buy American" mandates are progressing, as elected officials are responding to the critical awareness of unemployed taxpayers who demand that stimulus spend remains on home shores. Stimulus funds will not make a big dent in all long under-funded or postponed public sector capital technology projects, but they are a very encouraging step towards modernizing infrastructure operations. The scrutiny of state and local government administrators is heightening, although the bureaucratic governance of funds remains ambiguous. One outcome is certain; those outsourcing suppliers identified as "American" will dominate the purchasing trends for public sector IT.

Legislating who the contractors of shovel-ready jobs will be from stimulus-derived funds is unlikely, but the effects of the growing protectionist culture in all US government purchase decisions, whether federal, state or local, are becoming unavoidable. The stimulus initiative clearly intends to put money back into the American economy and not to lower costs offshore.

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Report Table of Contents:

SUMMARY 5
Just what constitutes"Buy American" when it comes to post-stimulus outsourcing spending? 5
State and local sectors: a bright spot for US outsourcing suppliers 6
State and local government outsourcing market to reach $21 billion in two years 7
SURVEY OVERVIEW 9
Rationale for outsourcing: why are state and local governments continuing to outsource with high unemployment rates? 10
As goes the public sector, so goes the private sector? 10
Use of public sector outsourcing advisors to tackle oversight and governance will triple by 2011 11
State and local government ITO - top vendor overall 2009 11
State and local government ITO - top vendor by function 2009 11
BLACK BOOK METHODOLOGY 13
How the data sets are collected 13
Understanding the statistical confidence of Black Book data 13
Who participates in the Black Book ranking process 14
TOP 20 STATE AND LOCAL GOVERNMENT ITO VENDORS 15
STOP LIGHT SCORING KEY 16
Operational excellence of state and local government ITO vendors 16
OVERALL KPI LEADERS 21
Top score per individual criteria 21
Outsourcing vendors with most top individual criteria scores 22
INDIVIDUAL KEY PERFORMANCE 23
APPENDIX 42
Orbys consulting 42
Disclaimer 42

About Black Book of Outsourcing

BBoO provides the industry's only recognized unbiased client satisfaction resource. Their reports aim to help both customer and provider deal with the root cause of relationship issues through the use of standard industry satisfaction measures. Aggregate customer satisfaction measurement is critical to gauge the entire effectiveness of global outsourcing service implementation and execution.  View more research from Black Book of Outsourcing at http://www.fastmr.com/catalog/publishers.aspx?pubid=1018

About Fast Market Research

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