2008 Outsourcing Advisor Report[1]

7/31/2019 2008 Outsourcing Advisor Report[1]

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Copyright 2008All Rights Reserved.

Brown-Wilson GroupThe Black Book of Outsourcing

Brown-Wilson Group annually evaluates leading globoutsourcing service providers across 18 operationalexcellence key performance indicators completely frothe perspective of the client experience.Independent and unbiased from vendors influence,over 400,000 global outsourcing users are invited toparticipate. Suppliers also encourage their clients toparticipate to produce current and objective customerservice data for buyers, analysts, investors, consultancompetitive suppliers and the media. "Additionally,Outsourcing Advisors and Consultants are evaluatedon 20 advisor-unique key performance indicatorssimultaneously."

For information on hard-copy or electronic reprints ofThe 2008 State of the Outsourcing Industry Report,please contact the Client Resource Center at+1 727.784.6689 or [email protected]

2008 Brown-Wilson Group All Rights Reserved.Reproduction of this publication in any form without prwritten permission is forbidden. The informationcontained herein has been obtained from sourcesbelieved to be reliable. Brown-Wilson Group disclaimswarranties as to the accuracy, completeness oradequacy of such information. Brown-Wilson Group shave no liability for errors, omissions or inadequaciesthe information contained herein or for interpretationsthereof. The reader assumes sole responsibility for thselection of these materials to achieve its intendedresults. The opinions expressed herein are subject tochange without notice.

Brown-Wilson Group's unrivaled objectivity and credibis perhaps your greatest assurance. At a time whenalliances between major consultancies and suppliershave clouded the landscape, Brown-Wilson Groupremains resolutely independent. We have no incentivrecommend specific outsourcing vendors or advisors.Our only allegiance is to help you achieve the results want with the best possible solution.

The Black Book of Outsourcing: How to Manage theChanges, Challenges and Opportunities, published byJohn Wiley & Sons Publishers, Inc. is the bestsellingmanagement book, available in its second editionin June 2008 in four languages around the world,everywhere books are sold.

For more information, visitwww.TheBlackBookOfOutsourcing.com
mailto:[email protected]:[email protected]


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About The Black Book of Outsourcing

Released first in May 2005 by John Wiley &Sons Publishers, The Black Book of

Outsourcing is the worlds best-sellingbusiness book on the subject.

With over twenty print runs of the firstedition in five languages, The Black Bookwill be re-released in an updated format inJuly 2008 by Wiley.

Available wherever books are sold.

ContentsIntroduction 2Black Book Advisor Survey Overview 3

Summary: Full Service Outsourcing Advisory 4

Summary: Boutique Advisors 6

Summary: Specialty Advisors 7

Methodology 8

Top Advisors Results By Service Line 1

Full Service Advisor KPI Detail 1

Boutique Advisors 3

Globalization Advisors 3

Independent Research Advisor Rankings 3

Legal Outsourcing Advisor Rankings 3

Appendix: Survey Respondents 6

Brown-Wilson Group, through The Black Book of Outsourcing, maintains the business perspective that because the outsourcing marketplace is so complex and dynamic, theoutsourcing industry is looking for the most valid and premium knowledge. BWGs answer to that need has been to provide continuous supplier data and research that helpbuyer executives throughout their process-improvement lifecycle, investors in their due diligence processes, and vendors with a measurement standard set to improvcustomer services. This report has been developed for the global outsourcing industry with the single purpose to ensure the growth and success of initiatives by clients, usersprospective clients, analysts, venture capitalists and investors, media outlets and press, competitive vendors, subcontractors, service suppliers, supporters and advisors in theevolving outsourcing continuum.

BWG's Investment Philosophy: As a privately held company, Brown-Wilson Group believes that our customers are our primary constituency. A large percentage of everyrevenue dollar is reinvested back into our independent survey instruments and programs, including additional auditors and analysts, more industry coverage, and extensiveunbiased research. Our steady growth over the past 6 years reflects our commitment to investing in our customers and the satisfaction process in the global outsourcing andoffshoring industry exclusively.


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Introduction

Each year, Brown-Wilson Group and Black BookResearch undertakes annual survey sets intoorganizations satisfaction with their outsourcingservice providers and advisors.

These research results are recognized as themost extensive and representative perceptionstudy of outsourcing vendors, validated by over24,226 respondents from service users aroundthe globe. From a base of over 4300 suppliers,Each vendor receives an average 5 qualifiedclient ballots. 1780 suppliers receive an averageof 10.3 ballots that qualifies them for ranking.

401 Outsourcing advisory and consultant firmswere nominated in 2008, 80 of which receivedtop honor rankings in the various consultationcategories. 2429 validated client ballots werereceived in the advisor categories.

The global marketplace is growing increasinglycompetitive, corporations are being required tostreamline operations and cut costs in order topreserve profitability. Advisors lead their clientsthrough the complex steps from the decision tooutsource through governing the vendorrelationship and renegotiations.

Clearly, the leaders in the outsourcing advisoryspace in 2008 have demonstrated the expertiseof market focus and customer centricity.

The marketplace results of this comprehensiveresearch study, are used by

Current managed services clients tocompare other users experiences withsimilar and competitive outsourcingadvisors.

Prospective outsourcing clients to longlist advisors in the RFI stages, or contrastfinal cut consultants in selection stages orsubset in the outsourcing process

Investors, venture capital firm, analysM&A experts and bankers in makingfinancing decisions;

Media and press to recognize industroutsourcing trends as collected from clballots particularly relating to advisors consultants in the industry;

Most vendors seeking to establishcorporate relationships and channelmarketing with best practice advisors; a

Advisor groups and consultants toinform their go-to-market strategies,

assess their perceived strengths andweaknesses, educate their staffs,communicate to a wider market, and fintune their improvement and marketingposition programs;

To assist in accreditation and validatequality improvement efforts of the advisgroup; and

Benchmarking the consultants servic

and outcomes in quantitative scores.

It also provides them with the opportunity tounderstand the perceived client approval andsatisfaction of their advisors compared to themarket at large.


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Black Book

AdvisorSurveyOverviewIn 2008, the Black Book Advisory client surveyinvestigated over 850 contracts held by 400 ofthe top outsourcing conglomerate corporationsas well as midsize organizations globally.

Twenty (20) Advisor-unique Key PerformanceIndicators (KPIs) or criteria are employed, scoredon each respective advisor by client type andranked on a 1-10 scale per KPI.

The most important issue reported by over 92%of all current outsourcing client respondents thisyear is for prospective buyers to have a strategicglobal sourcing strategy before embarking on avendor search. An organization's outsourcingdesign should consider its own businessstrategy, how its competition is approachingoutsourcing and what capabilities are or will beavailable from global service providers over thenext one to three years. Current industry usersalso agree (94.8%) that most new buyerorganizations do not have the internal staff,capabilities, research and insight to perform thisin a timely or effective fashion as yet.

Sourcing advisory firms are a new breed ofindustry consultants and lawyers worldwide thatadvise customers on selecting outsourcingservice providers and helping set and executesourcing plans. Sourcing advisory firmsnegotiate outsourcing contracts ranging in valuefrom millions to several billion dollars on behalfof their customers, and do so with theexperience of knowing how much to pay andwhat is required to effectively match uniqueinitiatives.

There have been several developments in theevolution of outsourcing and offshoring thatalmost require external assistance to navigateFor instance, most US companies haveoutsourced some portion of their business tolower costs and, over time, have achieved cos

savings in the outsourced portion of thebusiness. However, unless your efforts inoutsourcing to lower costs are unusually supeto your competitors, you are not gaining muchsustainable strategic or economic advantage,since your competitors are outsourcing just likyou are. It was customary in the earlier stageof outsourcing and offshoring that advisors weused to assess readiness, write RFPs, selectvendors, manage implementations andtransitions and provide pricing insight.

Leading companies are now using globalresources to drive new forms of revenue andgrow their top line. Companies are realizing nforms of business value through their globalsourcing partnerships by accelerating newproduct development, shortening time-to-marand finding successful entres into new markCompanies that are realizing these benefits frtheir global sourcing strategies are also creatinew forms of value for their customers and

sustainable competitive advantages. Still, mosarent prepared internally to make thesedecisions alone and those that do reportregretting that choice.


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Full Service

OutsourcingVendorsFull Service Outsourcing/Offshoring Advisorshave the staff, expertise and resources to deliverconsulting advice on any and all stages ofbusiness initiatives. A typical full service client isoften a company officer with a cross-enterpriseview looking for help to drive sustainable

outsourcing results across their organization.

In 2008, the Full Service Advisory consultantshave experienced increased client interest inmany of the historically knowledge-based, oftenindustry-specific processes. As clients

outsourcing advisement needs have evolvedwith the tide of industry changes, these full

service advisors are now assisting clients asthey explore evolving areas such as clinical dtrial management, market analytics, legalprocesses, complex supply chain programminengineering services and research anddevelopment among new outsourcing program

While these are not always direct revenue itemthey are processes much closer to the revenustream than say processes such as payroll,accounts payable, and data processing.

It is now commonplace for the clients of FullService Outsourcing/ Offshoring Advisors todesire business transformation and the resultimprovements that often ensue. The outsourservice provider community has matured andcan be a strong business transformation partn

and full service advisors have created theirneeded role. It should be noted, that while thterm business transformation is sexy, it comewith a cost. Full Service Advisors work withclients to help them understand the cost/beneof a full transformation and map them to theirobjectives to determine the appropriate depthcustom transformation.

Full service advisors must be able to guideclients throughout the process, from the initial

strategy through ongoing management to ensthey achieve their desired results. These arethe best at delivering on that goal.

Founded in 1989, #1 TPI established thesourcing advisory industry and is the largestsourcing advisory firm in the world.

Key Findings

KEY FINDING: MOST IMPORTANT

CUSTOMER SATISFACTION KPIs

Client Relationship & Trust are the mostimportant attributes influencing Advisor clientsatisfaction with their 2008 outsourcingcustomers.

KEY FINDING: ADVISOR

DISSATISFACTION IS UNCOMMON IN THEOUTSOURCING INDUSTRY AMONG TOPRANKED SUPPLIERS IN BUNDLED, ITO, H

& BENCHMARKING INITIATIVES, INPARTICULAR

Defining Full ServiceOutsourcing/Offshoring AdvisorsThe Full Service Advisor ranking is thecompilation of mean scores from fivesubcategories of outsourcing advisoryfunctions:

Information Technology Outsourcing (ITO)Advisors

Human Resources Outsourcing (HRO)Advisors

Financial & Accounting Outsourcing (FAO)Advisors,

Business Process Outsourcing (BPO)Advisors, and

Benchmarking Advisors

Defining Boutique Outsourcing/OffshoringAdvisorsThe Boutique Advisor ranking encompassesadvisory firms which focus primarily in up tothree functions above, but typically specializein one. Firms might also offer all functions buthave less than twenty consultants.


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Strong dissatisfaction is uncommon in theseproject types, occurring in less than 2.7% of USclient types, 4.3% of UK & European clients, and6.5% of International organizations.

KEY FINDING: FULL SERVICESS AND

BUNDLED ADVISORY ARRANGEMENTSFROM A COMPREHENSIVE/END-TO-ENDFIRM PRODUCES THE HIGHESTSATISFACTION RATES CURRENTLY

2008Full Service Outsourcing Advisor

TOP HONORS OVERALL

TPI

2008Full Service Outsourcing

AdvisorsTOP FIRM BY FUNCTION

#1 INFORMATION TECHNOLOGY

TPI

#1 HUMAN RESOURCES

TPI

#1 FINANCE & ACCOUNTING

PricewaterhouseCoopers

#1 BUSINESS PROCESSOUTSOURCING

Avasant (formerly StradlingGlobal Sourcing)

Benchmarking has been used to define a broadlist of comparison activities. In outsourcing,benchmarking most commonly refers to a projectundertaken by an independent third-party to

compare an outsourcing transaction to the

broader marketplace for services (a PriceBenchmark).

Benchmarking may also refer to an internalcomparison of the cost to deliver services to tof similar organizations (a Cost Benchmark), o

comparison of internal processes and how wethey adhere to a standard such as ITIL (aProcess Benchmark). Price Benchmarks arecommonly used to compare pricing, services,SLA structures, and other aspects of anoutsourcing transaction (or a potentialtransaction) to those of similarly structuredtransactions common in the open market.

Price Benchmarks are often a contractualrequirement in IT and BPO outsourcing deals

(known as Third Party Benchmarks). In additPrice Benchmarks are used by clients to betteunderstand proposals from vendors, todetermine if renegotiations are warranted, or tunderstand market alternatives prior to addingscope or scale to an existing outsourcingagreement. Simply put, a Price Benchmark isanalogous to a Real Estate appraisal, wheremarket pricing is determined by an independefirm that researches similarly scoped outsourcdeals (as in sales of similar homes) and mak

adjustments for services differences betweenvarious contracts being compared (whereas arealtor would adjust for number of bedrooms,bathrooms, acreage, a third-party benchmarkfirm might adjust for scope, volume and serviclevels).

Benchmarking not only looks at pricing, but caalso highlight structural and relationship issuewhich may cause friction between the partiesBenchmarking is a useful way to create

meaningful comparisons for clients whileensuring that the contract will be flexible enouto evolve as client requirements change overtime.

2008Benchmarking Firm

TOP HONORS OVERALLGartner


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Boutique

AdvisorsBoutique firms support their clients with highlyspecialized outsourcing expertise. Boutique firmschoose tofocus on a smaller number of industries,outsourcing functions or methodologies. Thereare a couple of common misconceptions aboutboutique outsourcing advisory firms. One is thatbeing a boutique consulting firm necessarilyimplies being a small firm. This is not the case. Aboutique is determined not by size, but by focus.

All this said, we should note that manyoutsourcing boutiques are indeed small, rangingfrom upwards of 200 employees down to a singleconsultant. Often, boutique consulting firms growfrom the expertise and client relationships of oneto five founding partners, and unless it sells aconsistently large flow of work, the firm has nocompelling reason to grow quickly. Also, smallerboutiques can deliver services at lower coststhan the larger consultancies because a smallerfirm requires less overhead and less extra

"capacity" (i.e., consultants), so their servicesmight seem more attractive to prospective clientsthan those of the more expensive full serviceoutsourcing advisory firms.

2008Boutique Outsourcing Adviso

TOP HONORS OVERALLPace Harmon

2008Boutique Outsourcing Advisor

TOP FIRM BY FUNCTION

#1 INFORMATION TECHNOLOGY

The W Group

#1 HUMAN RESOURCES

Alsbridge

#1 FINANCE & ACCOUNTING

Pace Harmon

#1 BUSINESS PROCESS OUTSOURCING

NelsonHall

#1 OUTSOURCING BENCHMARKING

Nautilus ProBenchmark


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Specialty

AdvisorsResearch and Data Services Firms: Expertoutsourcing research firms create business andtechnology strategies that meet short-term goalsand position clients for long-term success. Topoutsourcing data firms develop proprietary andadvanced research, analytics, databases,templates, and toolkits covering all aspects ofoutsourcing to provide strategic intelligence,analysis and insight that assist clients in making

important business decisions. Clients andprospective buyer companies and investors canmake better outsourcing decisions regardinggrowth, adoption by buyers and suppliers,location determination, vendor selection,contractual terms, value creation and risks,globalization strategies, determination of bestpractices and choosing execution modelsallfrom great data.

Globally, thousands of industry professionals

utilize external outsourcing data research as anindispensable resource. Most markedly,research companies provide independent,insightful, and instantly applicable to yourspecific business challenges without employed amultitude of expert analysts in-house.

2008Independent Research Firm

TOP HONORS OVERALL

Everest Group

Corporate Globalization Firms: CorporateGlobalization Consultants: 2007 is the year woutsourcing clients and buyers/prospectivebuyers are commanding steps to implementstrategic globalization plans. Still, over 83% oorganizations with directives to plan and

implement such strategies have yet to producplan and execute. Of the 17% who havesuccessfully moved into corporate globalizatioonly 38% have utilized an advisory firm to mothem into the process To split the hair further,almost 95% recommend employing a topglobalization advisor to best leverage knowledand strategically organize for the competitiveadvantage fastest. Corporate globalizationconsulting firms should expect a busy year.

2008Corporate Globalization Firm

TOP HONORS OVERALLMcKinsey

Outsourcing Legal Advisors: Outsourcing

contractual law has been at the forefront ofglobal sourcing since the 1980s with extensivtrack record in IT outsourcing, business proceoutsourcing, business transformationoutsourcing, technology transformation, off shservices or strategic services.

Outsourcing lawyers negotiate the full range ostrategic sourcing transactions, helping clientsshorten the sourcing cycle, speed the realizatof benefits, and design lasting solutions that

effectively support their strategic and operatioobjectives.

2008Legal Outsourcing Advisors

TOP HONORS OVERALLHunton & Williams


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Black Book

MethodologyHow the Data Is CollectedBlack Book utilizes a three-step process tocollect candid performance data. First, BlackBook collects a series of direct evaluationscovering 20 performance areas on OutsourcingAdvisory Firms, which comprise the scoredranking of Black Book Top Advisors survey andclient recognition award.

The gathered data is subjected immediately toan internal and external audit to verifycompleteness and accuracy, and to make surethe respondent is valid while ensuring theanonymity of the client company is maintained.During the audit, each data set is reviewed by aBrown-Wilson executive and at least twoauditors. In this way, clients are able to clearlysee how an Advisor Firm is truly performing.

Third, Black Book collects ballot results on 20performance areas of consultation excellence torank Advisors by outsourced practice outcomesand subjected to the same audit and validationprocesses.

Other outsourcing vendor and situational studiesare conducted on areas of high interest such asGreen Outsourcers, Educational Providers inOutsourcing, Outsourcing Benchmarkers andBoutique Advisors. These specific survey areas

range from fourteen to twenty questions orcriteria each.

Understanding the Statistical Confidence oBlack Book Data

Statistical confidence for each performancerating is based upon the number of organizati

scoring the outsourcing service. Black Bookidentifies data confidence by one of severalmeans:

1. Top Ten ranked vendors and advisors mushave a minimum of five to ten unique clientsrepresented. Broad categories require aminimum of ten unique client ballots. Data thaasterisked (*) represents a sample size belowrequired limits and are intended to be used fotracking purposes only, not ranking purposes

Performance data for an asterisked vendorservices can vary widely until a larger samplesize is achieved. The margin of error can be vlarge and the reader is responsible forconsidering the possible current and futurevariation (margin of error) in the Black Bookperformance score reported.

2. Vendors and Advisors with over ten uniqueclient votes are eligible for top ten rankings anare assured to have highest confidence and

lowest variation. Confidence increases as moorganizations report on their outsourcing vendData reported in this form is shown with a 95percent confidence level (+/- .25, .20 or .15,respectively).

3. Raw numbers include the quantity ofcompleted surveys and the number ofunique organizations contributing the data forsurvey pool of interest.


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Who Participates in the Black BookRanking Process

Over 400,000 individuals are invited toparticipate annually (including C officers ofthe Fortune 2000, Inc 500, institutional

members and officers of various professionalorganizations, subscribers of our mediapartners and previously validated surveyparticipants). Non-invitation receivingparticipants must complete a verifiableprofile, utilize valid corporate email addressand are then included as well. Over 24,000users were validated in the 2008 rankingprocess for vendor surveys and 3200 in theadvisor categories.

The Black Book survey web instrument isopen to respondents and new participantseach year in calendar Q2. In 2008, the surveyinstrument was available from March 15 -May 12 athttp://TheBlackBookOfOutsourcing.com

2008

US & North AmericanOutsourcing Advisor

TOP HONORS OVERALLTPI

2008

EuropeanOutsourcing Advisor

TOP HONORS OVERALLIneum

2008United Kingdom

Outsourcing AdvisorTOP HONORS OVERALL

Ovum
http://theblackbookofoutsourcing.com/http://theblackbookofoutsourcing.com/


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INDIVIDUAL PROJECT INITIATIVES(FULL SERVICE & BOUTIQUE VENDORS)

Overall 2008 Advisors Rankings

Rank ITOAdvisors

HROAdvisors

FAOAdvisors

BPOAdvisors

BenchmarkingAdvisors

Rank BOUTIQUEOUTSOURCING

ADVISORS

FULL SEROUTSOURC

ADVISO1 TPI TPI Pricewaterhouse

Coopers

Avasant

(formerlyStradling)

Gartner 1 Pace Harmon TPI

2 .Gartner Towers Perrin TPI Hackett Group Hackett Group 2 The W Group Gartner

3 The W Group Everest Group Everest Group Nelson Hall Aberdeen 3 NelsonHall Hackett Gr

4 RampRate Hackett Group Expense ManagementSolutions

Everest Group Deloitte 4 Hitachi Everest Gr

5 Booz & Company PricewaterhouseCoopers

Pace Harmon Gartner NautilusProBenchmark

5 Vantage Partners Pri cew aterhCoopers

6 PA Consulting Avasant (formerlyStradling)

Hackett Group PricewaterhouseCoopers

PricewaterhouseCoopers

6 Alsbridge Booz & Com

7 Pace Harmon Gartner Gartner TPI McKinsey 7 Global Equations Avasan(formerly Stra

8 ArchstoneConsulting

Equaterra ScottMadden PA Consulting RampRate 8 Ineum ManagementConsulting

PA Consul

9 Hitachi Consulting Vales Consulting Equaterra KPMG IDC 9 ArchstoneConsulting

Equaterr

10 DiamondConsulting

PA Consulting KPMG McKinsey Atos Consulting 10 ScottMadden AT Kearn

11 PricewaterhouseCoopers

Hay Group PA Consulting Equaterra TPI 11 RampRate Deloitte

12 Everest Group Fidelity Avasant (formerlyStradling)

neoIT PA Consulting 12 Argea McKinse

13 McKinsey Ineum Capco Vantage Partners Expense ManagementSolutions

13 Vales Consulting KPMG

14 KPMG Buck Consultants Argea Argea Everest Group 14 neoIT Ovum Orb

15 Fujitsu Consulting Hager Strategic FAO Research Quantum Plus Ventoro 15 Diamond Consul ting BearingPo


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Append

Full Service Advisor Rank

w Scores

Rank Advisor 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 MEA

1TPI

9.32 9.49 9.15 9.38 9.15 9.43 9.31 9.30 9.27 9.47 9.02 9.30 9.58 9.45 9.54 9.10 9.89 9.48 9.73 9.62 9.4

2Gartner

9.03 9.35 9.50 9.01 9.13 8.73 9.35 9.19 9.01 9.42 9.55 9.22 9.45 9.50 9.58 9.64 9.43 8.99 9.65 9.29 9.3

3Hackett

8.96 8.89 8.79 8.36 8.28 8.92 9.27 8.89 9.47 9.07 8.74 9.63 9.18 9.38 9.42 9.41 9.02 9.51 8.93 9.01 9.0

4Everest

9.05 9.31 9.07 8.96 9.18 9.13 9.08 8.90 9.26 9.03 8.89 9.11 9.40 8.81 9.38 9.00 8.78 9.32 8.50 8.90 9.0

5PWC

8.94 8.80 9.16 7.98 9.07 8.41 8.85 9.18 8.50 8.77 8.81 9.13 8.95 7.99 9.04 9.18 9.45 9.12 9.33 9.47 8.9

6

Booz &

Company 8.98 8.73 9.10 7.85 8.90 8.20 9.14 8.98 8.44 9.44 8.85 9.07 8.93 8.51 9.16 8.65 8.35 9.02 8.93 8.14 8.7

7Avasant

9.02 9.00 9.05 9.16 8.89 8.29 9.24 9.01 9.32 8.88 8.72 8.90 9.02 8.39 8.93 9.18 7.75 8.09 8.02 8.39 8.7

8PA Consulting

8.76 8.79 8.69 8.65 8.58 8.79 8.03 8.94 7.89 8.38 8.66 8.96 8.08 9.14 8.75 8.33 8.02 9.54 7.89 7.45 8.5

9Equaterra

8.39 8.32 7.67 8.01 7.95 8.84 8.19 8.04 8.46 8.36 8.25 7.96 7.20 9.01 8.50 8.92 8.29 9.05 7.91 7.05 8.2

10AT Kearney

8.43 8.54 8.23 7.81 8.00 7.94 8.49 8.43 8.51 8.12 7.98 8.35 9.10 8.20 8.20 8.31 7.59 8.25 7.24 8.43 8.2


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FULL SERVICE ADVISOR CRITERIA QUESTION

OUTSOURCING ADVISORY FIRMSWITH MOST #1 INDIVIDUAL CRITERIA SCORESOf 20 Total Criteria, the

Number of Criteria FirmRanks #1 FIRM

OverallRank

10 TPI 1

6 GARTNER 2

2 THE HACKETT GROUP 3

1 EVEREST GROUP 4

1 PA CONSULTING 8

TOP

RANKEDADVISORS

BYREGIONALCLIENTELE

FULL SERVICEADVISORS

UK

USA

&

AMERICAS

EUROP

E

ASIA,

MIDDLE

EAST&

AFRICA

1 ITO Ovum TPI AtosConsulting

Fujitsu

1 BPO Equaterra Avasant Deloitte PWC


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FULL SERVICE OUTSOURCING ADVISORY FIRMS

TOP SCORE PER INDIVIDUAL KPI

(Q) # CriteriaFULL SERVICE

ADVISORY FIRMOverall

Rank

1 Level of Advisor Outsourcing Experience TPI 1

2 Client Outcomes and Improvements TPI 1

3 Capability Enhancements for Client GARTNER 2

4 Advisor Domains of Outsourcing Expertise TPI 1

5 Advisor Industry-Specific Outsourcing Qualifications EVEREST GROUP 4

6 Spectrum of Outsourcing Category-Specific Functions TPI 1

7 Outsourcing Governance & Service Management Solutions GARTNER 2

8 Strategic Outsourcing Options & Delivery Alternatives TPI 1

9 Vendor Agnostic, Integrity, Objectivity HACKETT GROUP 3

10 Innovations in Consultative Approaches TPI 1

11 Scalability, Flexibility and Customization GARTNER 2

12 Breadth of Experience through Sourcing Lifecycle HACKETT GROUP 3

13 Marginal Value Adds TPI 1

14 Relationship Support and Client Care GARTNER 2

15 Trust, Reliability, Confidentiality GARTNER 2

16 Global Sourcing Applications, Globalization Understanding GARTNER 2

17 Return-On-Investment, Engagement Deliverables & Quality TPI 1

18 Speed and Efficiency of IT Engagement Deployment PA CONSULTING 8

19 Best-of-Breed Technology, IT Process Improvement TPI 1

20 Engagement Viability TPI 1


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1. Level of Advisor Outsourcing Experience

FULLSERVICEDVISORYFINALRANK

CRITERIARANK

ADVISORITO HRO FAO BPO BENCHMARK

ADVM

11

TPI 9.84 9.74 9.60 9.03 8.40 9

42

Everest Group 9.04 9.44 8.89 9.12 8.75 9

23

Gartner 9.53 8.91 8.80 8.08 9.85 9

74

Avasant (formerlyStradling)

9.00 9.06 9.07 9.78 8.19 9

65

Booz & Company 9.27 8.88 8.78 9.32 8.67 8

36

Hackett Group 8.91 9.49 8.23 8.56 9.59 8

57

Pricewaterhouse Coopers 8.31 9.02 9.19 9.03 9.16 8

88

PA Consulting 8.20 9.32 9.37 8.38 8.54 8

109

AT Kearney 9.20 8.32 9.18 7.58 7.89 8

910

Equaterra 7.23 9.02 9.20 9.48 7.02 8

ALLVENDORS (FULL & BOUTIQUE) ITO HRO FAO BPO BENCHMARK

TOP VENDORTHIS KPI TPI TPI TPI Avasant Gartner


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Client Financial Improvements (Cost Savings, Cost Avoidance, Revenue Enhancements)

FULLERVICEVISORY

FINALRANK

CRITERIARANK


ADVIME

1

1

TPI

9.68 9.75 9.68 9.10 9.22

9.4

22

Gartner

9.30 9.02 8.93 9.72 9.76

9.3

43

Everest Group

9.00 9.70 9.26 9.66 8.91

9.3

74

Avasant (formerlyStradling) 8.75 9.20 8.46 9.85 8.72

9.0

35

Hackett Group

8.69 9.36 9.05 8.08 9.47

8.9

56

Pricewaterhouse Coopers

9.03 8.35 9.74 9.05 7.82

8.8

8

7

PA Consulting

9.10 8.56 8.48 8.84 8.97

8.7

68

Booz & Company

9.52 8.63 8.37 8.02 9.10

8.7

109

AT Kearney

9.81 8.47 8.35 7.86 8.20

8.5

910

Equaterra

7.95 8.64 7.72 8.55 8.76

8.3

ALLVENDORS (FULL & BOUTIQUE) ITO HRO FAO BPO BENCHMARK

TOP VENDORTHIS KPI AT Kearney TPI Pricewaterhouse

CoopersAvasant Gartner


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Capability Enhancements for Client

FULLERVICEVISORY

FINALRANK

CRITERIARANK


ADVIME

31

Gartner 9.50 9.39 9.14 9.68 9.80 9.5

52

Pricewaterhouse Coopers 9.00 9.38 9.87 9.54 8.00 9.1

13

TPI 9.38 9.73 8.96 9.27 8.39 9.1

64

Booz & Company 9.74 9.15 9.39 9.34 7.87 9.1

75

Avasant 8.64 9.08 8.84 9.78 9.01 9.0

46

Everest Group 8.80 9.49 9.59 8.87 8.52 9.0

37

Hackett Group 8.37 9.34 8.90 7.62 9.74 8.7

89

PA Consulting 9.07 8.51 9.25 8.42 8.19 8.6

1010

AT Kearney 8.92 8.03 7.92 7.90 8.36 8.2

98

Equaterra 7.93 8.09 8.22 7.27 6.84 7.6

ITO HRO FAO BPO BENCHMARK

TOP VENDORTHIS KPI Booz &

CompanyTPI Pricewaterhouse

CoopersAvasant Gartner


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Advisor Domains of Expertise

FULLERVICEVISORY

FINALRANK

CRITERIARANK


ADVIME

1

1

TPI

9.58 9.79 9.40 9.12 9.00

9.3

72

Avasant

9.39 8.47 9.15 9.06 9.75

9.1

133

KPMG

9.08 9.54 9.21 9.18 8.44

9.0

24

Gartner

8.979.42

8.26 9.65 8.73

9.0

45

Everest Group

8.64 9.62 8.06 8.83 9.64

8.9

86

PA Consulting

8.91 8.29 9.48 8.11 8.47

8.6

3 7 Hackett Group 9.09 8.19 8.38 8.50 7.638.3

98

Equaterra

9.24 7.03 8.15 8.43 7.19

8.0

59

Pricewaterhouse Coopers

7.02 8.22 9.61 7.93 7.09

7.9

610

Booz & Company

7.24 7.93 8.17 8.89 6.99

7.8


TOP VENDORTHIS KPI

TPI TPIPricewaterhouse

Coopers Gartner Avasant


20/71


Advisor Industry-Specific Qualifications

FULLERVICEVISORY

FINALRANK

CRITERIARANK


ADVIME

41

Everest Group 9.11 9.48 9.14 9.88 8.29 9.1

12

TPI 9.83 9.11 9.55 8.79 8.47 9.1

23

Gartner 8.87 8.75 9.03 9.17 9.82 9.1

54


65

Booz & Company 9.48 9.35 9.07 8.29 8.32 8.9

76

Avasant 8.22 9.28 9.52 9.47 7.98 8.8

87

PA Consulting 8.10 9.27 8.66 9.30 7.57 8.5

118

Deloitte 9.31 9.18 7.39 8.05 8.59 8.5

139

KPMG 8.39 9.02 8.49 7.78 8.02 8.3

1210

McKinsey 9.15 7.46 7.18 8.52 9.18 8.3


TOP VENDORTHIS KPI

TPIPricewaterhouse

Coopers TPI Everest Group Gartner


21/71


Spectrum of Sourcing Business Support Functions (ITO, FAO, HRO, LPO, CCO, BPO, HRO,SCPO, FMO, and BUNDLED)

FULLERVICEVISORY

FINALRANK

CRITERIARANK


ADVIME

1 1 TPI 9.80 9.59 9.30 9.55 8.91 9.4

42

Everest Group 8.68 9.48 9.68 9.19 8.64 9.1

43

Hackett Group 8.01 9.35 9.21 8.29 9.73 8.9

94

Equaterra 7.69 9.14 9.40 9.08 8.88 8.8

85

PA Consulting 9.38 9.27 9.04 7.95 8.32 8.7

26

Gartner 9.04 8.17 8.55 8.30 9.60 8.7

13 7 KPMG 9.02 8.29 8.31 7.94 8.84 8.4

58

PWC 8.57 7.29 9.03 8.21 8.94 8.4

79

Avasant 8.35 7.60 8.09 9.51 7.91 8.2

1510

BearingPoint 8.94 7.39 7.10 7.18 8.23 7.7


TOP VENDORTHIS KPI

TPI TPI Everest Group TPI Hackett Group


22/71


Governance & Sourcing Service Management/Administration Solutions

FULLRVICE

VISORYINAL

RANK

CRITERIARANK


ADVISMEA

21

Gartner

9.68 9.18 8.73 9.29 9.85

9.3

12

TPI

9.54 9.52 9.21 9.48 8.80

9.3

33

Hackett Group

8.94 9.04 9.77 9.03 9.59

9.2

74

Avasant

8.78

8.99

9.34 9.82 9.28

9.2

65

Booz & Company

9.40 9.37 9.30 8.74 8.87

9.1

46

Everest Group

9.29 9.23 9.61 8.99 8.26

9.0

57

PWC

8.05 8.69 9.62 8.82 9.05

8.8

138

KPMG

9.13 8.45 8.84 8.72 8.92

8.8

119

Deloitte

9.07 8.03 9.01 9.09 8.38

8.7

910

Equaterra

7.18 9.60 8.29 7.98 7.90

8.1


TOP VENDORTHIS KPI

Gartner Equaterra Hackett Group Avasant Gartner


23/71


8. Strategic Options & Delivery Alternatives (Shared Services, Insourcing, Outsourcing,Offshoring, Nearshoring, Captives)

FULLERVICEVISORY

FINALRANK

CRITERIARANK


ADVIME

1 1 TPI 9.63 9.87 9.13 9.28 8.59 9.3

22

Gartner 8.92 9.23 9.28 8.83 9.70 9.1

53


74

Avasant 8.75 9.00 9.29 9.59 8.43 9.0

65

Booz & Company 9.53 8.39 9.11 9.39 8.50 8.9

86

PA Consulting 9.72 8.20 9.43 9.18 8.17 8.9

4 7 Everest Group 8.83 8.44 9.03 9.15 9.07 8.9

38

Hackett Group 8.59 8.97 8.30 9.19 9.38 8.8

129

McKinsey 9.21 8.30 7.74 9.63 8.40 8.6

1010

AT Kearney 8.78 8.05 8.73 8.15 8.44 8.4


TOP VENDORTHIS KPI

PA Consulting TPIPricewaterhouse

Coopers McKinsey Gartner


24/71


Vendor Agnostic

FULLERVICEVISORY

FINALRANK

CRITERIARANK


ADVIME

31

Hackett Group 9.77 9.49 9.22 9.15 9.70 9.4

72

Avasant 9.18 9.03 9.24 9.80 9.35 9.3

13

TPI 9.39 9.59 9.18 9.24 8.95 9.2

44

Everest Group 9.38 9.64 9.60 9.29 8.41 9.2

25

Gartner 8.97 9.00 9.30 8.29 9.48 9.0

126

McKinsey 9.02 9.27 8.58 8.44 9.50 8.9

117

KPMG 9.40 7.80 9.61 7.53 8.59 8.5

108

AT Kearney 8.73 9.30 8.29 7.98 8.24 8.5

59

PWC 8.82 8.69 8.39 9.07 7.53 8.5

910

Equaterra 7.94 8.81 9.00 8.45 8.09 8.4


TOP VENDORTHIS KPI

Hackett Group Everest Group KPMG Avasant Hackett Group


25/71


. Innovations in Consultative Approaches and Client Industries

FULLERVICEVISORY

FINALRANK

CRITERIARANK


ADVIME

11

TPI 9.65 9.60 9.80 9.29 9.02 9.4

62

Booz & Company 9.79 9.49 9.76 9.49 8.66 9.4

23

Gartner 9.41 9.39 9.30 9.31 9.68 9.4

34

Hackett Group 8.82 9.38 9.01 8.72 9.42 9.0

45

Everest Group 7.88 9.40 9.66 9.26 8.94 9.0

76

Avasant 9.30 9.08 8.47 9.28 8.28 8.8

57

PWC 8.39 9.28 8.38 8.65 9.14 8.7

118

Deloitte 8.77 8.95 9.09 7.39 8.42 8.5

89

PA Consulting 8.90 8.04 8.28 7.93 8.76 8.3

1410

Ovum Orbys 9.28 7.48 8.00 7.74 9.21 8.3



Company TPI TPIBooz &

Company Gartner


26/71


. Scalability, Flexibility and Customization

FULLERVICEVISORY

FINALRANK

CRITERIARANK


ADVIME

21

Gartner 9.84 9.29 9.62 9.09 9.89 9.5

122

McKinsey 9.76 9.19 9.08 9.85 9.35 9.4

13

TPI 9.48 9.75 9.01 8.61 8.24 9.0

44

Everest Group 9.08 8.97 9.59 8.94 7.88 8.8

65

Booz & Company 9.15 9.02 8.47 8.70 8.91 8.8

56

PWC 8.65 8.95 8.91 8.48 9.06 8.8

37

Hackett Group 9.21 8.20 8.44 8.30 9.55 8.7

78

Avasant 8.82 8.66 8.39 9.65 8.08 8.7

89

PA Consulting 8.94 8.39 9.19 8.53 8.27 8.6

1110

Deloitte 7.41 9.09 9.33 7.22 7.09 8.0


TOP VENDORTHIS KPI

Gartner TPI Gartner McKinsey Gartner


27/71


2. Breadth of Experience through Entire Sourcing Lifecycle

FULLERVICEVISORY

FINALRANK

CRITERIARANK


ADVIME

31 Hackett 9.72 9.39 9.55 9.69 9.80

9.6

12 TPI 9.70 9.84 9.09 9.59 8.29

9.3

23 Gartner 9.18 9.09 9.30 8.93 9.62

9.2

54 PWC 9.19 9.21 9.86 8.48 8.92

9.1

45 Everest 9.03 9.63 9.00 8.82 9.07

9.1

66 Booz & Company 9.59 8.33 9.57 9.02 8.84

9.0

137

KPMG 9.31 7.93 9.52 9.00 9.14

8.9

88 PA Consulting 9.02 8.63 8.28 9.31 9.55

8.9

79 Avasant 8.64 9.00 8.39 9.34 9.13

8.9

1010 AT Kearney 8.89 8.11 8.43 8.72 7.59

8.3


TOP VENDORTHIS KPI

Hackett Group TPIPricewaterhouse

Coopers Hackett Group Hackett Group


28/71


. Marginal Value Adds

FULLERVICEVISORY

FINALRANK

CRITERIARANK

ADVISOR

ITO HRO FAO BPO BENCHMARKADV

ME

1

1

TPI 9.77 9.83 9.57 9.42 9.33

9.2

2Gartner 9.68 9.18 9.02 9.52 9.83

9.

43

Everest 9.04 9.55 9.28 9.72 9.43

9.

34

Hackett 9.23 9.00 9.41 8.52 9.75

9.

105

AT Kearney 9.02 9.02 9.20 8.88 9.40

9.

76

Avasant 9.04 8.76 8.31 9.80 9.18

9.

5

7

PWC 8.91 9.32 9.67 8.44 8.39

8.6

8Booz & Company 9.70 8.48 8.92 8.76 8.81

8.

139

KPMG 8.93 8.11 8.39 9.03 9.51

8.

1110

Deloitte 8.62 8.79 8.15 8.22 8.57

8.


TOP VENDORTHIS KPI


Coopers Avasant Gartner


29/71


. Relationship Support and Client Care

FULLERVICEVISORY

FINALRANK

CRITERIARANK


ADVME

21

Gartner

9.77 9.12 9.40 9.37 9.83 9.

12

TPI

9.82 9.88 9.15 9.38 9.03 9.

33

Hackett

9.03 9.29 9.44 9.36 9.79 9.

84

PA Consulting

9.31 9.03 9.10 9.33 8.93 9.

95

Equaterra

8.63 9.45 8.79 9.43 8.70 9.

46

Everest

8.62 9.00 8.95 8.98 8.48 8.

67

Booz & Company

8.59 8.71 8.82 9.11 7.30 8.7

8Avasant

8.25 8.02 7.66 9.68 8.89 8.

129

McKinsey

8.14 8.99 7.28 9.22 8.78 8.

1010

AT Kearney

8.87 8.31 9.11 7.07 8.91 8.


TOP VENDORTHIS KPI

TPI TPI Hackett Group Avasant Gartner


30/71


. Trust, Reliability, Confidentiality

FULLERVICEVISORY

FINALRANK

CRITERIARANK


ADVME

2

1

Gartner 9.62 9.34 9.49 9.60 9.84

9.1

2TPI 9.79 9.80 9.32 9.52 9.22

9.

33

Hackett 9.40 9.21 9.23 9.55 9.70

9.

44

Everest 8.82 9.44 9.70 9.68 9.25

9.

65

Booz & Company 9.85 9.00 8.57 9.18 9.20

9.

56

PWC 8.87 9.26 9.29 8.95 8.83

9.

7

7

Avasant 8.55 9.15 8.38 9.71 8.87

8.

88

PA 9.03 9.39 8.66 8.52 8.13

8.

119

KPMG 8.99 9.00 8.95 8.77 7.988.

910

Equaterra 7.21 9.07 8.42 9.39 8.42 8.



Company TPI Everest Group Avasant Gartner


31/71


. Globalization Skills and Initiatives, Global Service Transformations for Client

FULLERVICEVISORY

FINALRANK

CRITERIARANK


ADVME

21

Gartner

9.81 9.54 9.73 9.23 9.86 9.

32

Hackett

9.23 9.02 9.40 9.61 9.80 9.

53

PWC

8.27 9.55 9.85 9.03 9.19 9.

74

Avasant

8.59 9.16 9.37 9.73 8.98 9.

15

TPI

9.59 9.40 8.55 9.02 8.93 9.

46

Everest

9.01 9.32 9.40 9.27 7.99 9.

97

Equaterra

7.88 9.37 8.81 9.57 8.99 8.6

8Booz & Company

9.55 8.60 8.08 8.54 8.48 8.

89

PA

8.12 8.56 8.25 8.73 8.00 8.

1010

AT Kearney

7.97 8.44 9.29 7.70 8.12 8.


TOP VENDORTHIS KPI

GartnerPricewaterhouse

CoopersPricewaterhouse

Coopers Avasant Gartner


32/71


. Return-On-Investment, Engagement Deliverables & Quality

FULLERVICEVISORY

FINALRANK

CRITERIARANK


ADVME

1

1

TPI 9.83 9.87 9.65 9.40 9.43

9.5

2PWC 9.34 9.28 9.82 9.30 9.28

9.

23

Gartner 9.67 8.19 9.50 8.73 9.79

9.

34

Hackett 9.12 8.84 9.20 9.03 9.70

9.

45

Everest 8.79 9.15 9.36 8.91 9.29

8.

66

Booz & Company 9.55 9.30 9.18 8.28 8.68

8.

9

7

Equaterra 7.76 9.11 9.23 9.36 9.14

8.

128

McKinsey 9.13 8.55 8.72 8.52 8.338.

139

KPMG 9.06 7.08 9.22 9.01 7.26 8.

1110

Deloitte 7.84 8.97 9.47 8.08 7.18 8.


TOP VENDORTHIS KPI


Coopers TPI Gartner


33/71


. Speed and Efficiency of Initiative Deployment

FULLERVICEVISORY

FINALRANK

CRITERIARANK


ADVME

8

1

PA Consulting

9.70 9.85 9.57 9.33 9.24 9.14

2Ovum Orbys

9.84 9.49 9.04 9.54 9.73 9.

123

McKinsey

9.61 9.63 9.52 9.16 9.76 9.

34

Hackett

9.66 9.51 9.75 9.14 9.45 9.

15

TPI

9.55 9.35 9.49 9.73 9.23 9.

46

Everest

9.37 9.40 9.20 9.34 9.27 9.

5

7

PWC

8.78 8.84 9.85 9.13 8.99 9.

98

Equaterra

7.72 9.32 9.48 9.68 9.02 9.

69

Booz & Company

9.38 9.03 8.22 9.19 9.25 9.

210

Gartner

9.03 8.96 8.65 8.62 9.68 8.


TOP VENDORTHIS KPI

Ovum Orbys PA ConsultingPricewaterhouse

Coopers TPI McKinsey


34/71


. Best of Breed Technology, Process Improvement, Governance Tools, Research

FULLERVICE

DVISORYFINALRANK

CRITERIARANK


ADVME

11

TPI

9.80 9.85 9.77 9.84 9.40 9.

22

Gartner

9.74 9.03 9.86 9.70 9.90 9.

53

PWC

8.90 9.16 9.88 9.30 9.43 9.

34

Hackett

9.29 8.59 8.65 8.38 9.74 8.

65

Booz & Company

9.53 8.38 9.06 8.42 9.20 8.

46

Everest

9.29 9.30 8.40 8.33 9.28 8.

117

Deloitte

9.11 9.72 8.54 8.47 9.76 8.11

8KPMG

8.94 8.24 7.09 8.52 8.75 8.

129

McKinsey

9.08 7.88 8.14 8.02 8.39 8.

710

Avasant

7.98 7.03 8.30 9.40 7.44 8.


TOP VENDORTHIS KPI


Coopers TPI Gartner


35/71


. Long Term Viability of Practice Advice/Consultation impacting Client

FULLERVICEVISORY

FINALRANK

CRITERIARANK

ADVISOR

ITO HRO FAO BPO BENCHMARKADV

ME

11

TPI

9.85 9.89 9.54 9.76 9.58 9.

52

PWC

9.49 9.59 9.86 9.58 9.69 9.

23

Gartner

9.58 9.11 9.32 8.93 9.71 9.

34

Hackett

8.72 8.79 8.67 8.94 9.53 9.

45

Everest

8.79 9.04 8.99 8.80 9.02 8.

10

6

AT Kearney

8.54 8.67 8.23 8.00 9.07 8.

77

Avasant

8.03 8.13 8.25 9.63 8.09 8.

68

Booz & Company

9.03 7.71 8.90 7.75 8.18 8.

89

PA

8.44 8.25 8.78 8.08 7.92 7.

910

Equaterra

6.89 9.12 7.95 9.09 7.11 7.


TOP VENDOR

THIS KPI TPI TPI PricewaterhouseCoopers TPI Gartner


36/71


Page 34 www.TheBlackBookOfOutsourcing.com

Appendix 2

Boutique Advisor Ranking

BOUTIQUE OUTSOURCINGADVISORS

1 Pace HarmonITO, BPO 9.47

2 The W GroupITO 9.45

3 Nelson HallBPO 9.40

4 Hitachi Consulting ITO 9.21

5 Vantage PartnersSourcing Relations 9.15

6 AlsbridgeITO, BPO, HRO 9.04

7 Global EquationsBPO 9.02

8 Ineum/Management Consulting GroupITO, FAO 9.01

9 Archstone ConsultingFAO, ITO, Sourcing 8.89

10 ScottMadden Supply Chain 8.53

TOPRANKED

ADVISORSBY

REGIONALCLIENTELE

BOUTIQUEADVISORS

UK

USA

&

AMERICAS

EUROPE

ASIA,

MIDDLEEAST&

AFRICA

1 ITO Alsbridge W Group Ineum Hitachi

1 BPO Nelson Hall Pace Harmon Ineum TPM Global


37/71



(Q)# Key Performance Indicator FIRM

TOP RANKEDSPECIALTY

OverallRank

1Level of Advisor Outsourcing Experience

Pace Harmon ITO 1

2Client Outcomes and Improvements

Pace Harmon ITO 1

3Capability Enhancements for Client

Hitachi Consulting ITO 4

4Advisor Domains of Outsourcing Expertise

Pace Harmon BPO 1

5 Advisor Industry-Specific Outsourcing Qualifications NelsonHall BPO 3

6Spectrum of Outsourcing Category-Specific Functions

The W Group ITO 2

7Outsourcing Governance & Service Management Solutions

Alsbridge ITO/BPO 6

8 Strategic Outsourcing Options & Delivery Alternatives Vantage Partners Sourcing 5

9Vendor Agnostic, Integrity, Objectivity

NelsonHall BPO 3

10Innovations in Consultative Approaches

Archstone Consulting ITO 9

11 Scalability, Flexibility and Customization Archstone Consulting ITO 9

12Breadth of Experience through Sourcing Lifecycle

Pace Harmon ITO 1

13Marginal Value Adds

Pace Harmon ITO/BPO 1

14Relationship Support and Client Care

Global Equations BPO 7

15Trust, Reliability, Confidentiality


16Global Sourcing Applications, Globalization Understanding

Ineum/Management Consultants BPO 1

17Return-On-Investment, Engagement Deliverables & Quality


18Speed and Efficiency of IT Engagement Deployment

Hitachi Consulting ITO 4

19Best-of-Breed Technology, IT Process Improvement

The W Group ITO 2

20Engagement Viability

Fujitsu Consulting ITO 11


38/71



Appendix 3

Globalization Advisor Ranking

RANK

CORPORATEGLOBALIZATION

ADVISORS

UK

USA

EUROPE(NO

N-UK)

ASIA

MIDDLEEA

ST&

AFRICA

AMERICA

S

1 McKinsey 9.79 9.92 9.78 9.84 9.94 9.90

2 Alvarez & Marsal 9.14 9.66 9.43 9.39 8.67 9.59

3 Bain & Company 9.01 9.58 9.32 9.18 9.00 9.11

6 Management Consulting/Ineum 9.83

CORPORATE GLOBALIZATION

1 McKinsey 9.86

2 Alvarez & Marsal 9.31

3 Bain & Company 9.20

4 Boston Consulting Group 9.08

5 AT Kearney 9.00

6 Management Consulting/Ineum/Proudfoot 8.91

7 neoIT 8.65

8 Navigant 8.639 Focis 8.60

10 Huron Consulting 8.39


39/71



Appendix 4

Independent Research Advisor Ranking

RESEARCH FIRMRANK MEAN

1 Everest Research 9.76

2 Gartner 9.55

3 McKinsey 9.53

4 AMR Research 9.44

5 Forrester 9.12

6 Deloitte 9.08

7 ValueNotes 9.01

8 IDC 8.99

9 Frost & Sullivan 8.32

10 Yankee Group 8.18


40/71



Summary Ranking of Outsourcing Research byClient Projects and Initiatives

2008RANK

RESEARCH FIRMINFORM

ATION

TECHNO

LOGY

BUSINESS

PROCES

S

OUTSOU

RCING

OFFSHOR

ING

&

SPECIA

LTY

STUDIES

RESEARCH

MEAN

1 Everest Research 9.54 9.86 9.88 9.76

2 Gartner 9.91 9.22 9.51 9.55

3 McKinsey 9.50 9.33 9.75 9.53

4 AMR Research 9.41 9.72 9.18 9.44

5 Forrester 9.08 9.27 9.02 9.12

6 Deloitte 8.78 9.05 9.40 9.08

7 ValueNotes 8.80 9.45 8.77 9.01

8 IDC 8.91 8.64 9.42 8.99

9 Frost & Sullivan 8.71 8.91 8.23 8.62

10 Yankee Group 8.25 9.02 8.48 8.58

11 Springboard Research 8.58 8.36 8.77 8.5712

AT Kearney8.29 7.57 9.80 8.55

13TPI

8.85 8.03 8.56 8.48

14Aberdeen

8.09 8.18 9.13 8.46

15Plunkett Research

7.25 9.04 8.99 8.43

16FAO Research

8.00 8.25 9.00 8.42

17KPMG

7.62 8.47 8.66 8.25

18Equaterra

7.10 8.70 8.28 8.03

19Alsbridge

7.86 8.04 8.12 8.01

20ARC

6.98 7.28 8.93 7.73


41/71



Appendix 5

Legal Outsourcing Advisor Ranking2008

RANK LEGAL ADVISORS

1 HUNTON & WILLIAMS

2 MILBANK TWEED HADLEY & MCCLOY

3 MORGAN LEWIS & BOCKIUS

4 BAKER & MCKENZIE

5 MAYER BROWN

6 PILLSBURY WINTHROP SHAW PITTMAN

7 LATHAM & WATKINS

8 MORRISON & FOERSTER

9 KIRKLAND & ELLIS

10 DLA PIPER

11 BIERCE & KENERSON

12 HUGHES & LUCE

13 COOLEY GODWARD KRONISH

14 JONES DAY

15 FASKEN MARTINEAU

16 SIMMONS & SIMMONS

17 ALSTON & BYRD

18 HOGAN & HARTSON

19 THELEN REID BROWN RAYSMAN & STEINER

20 SHEARMAN & STERLING


42/71



Color-coded Stop Light Dashboard Scoring Key

Green (Top 10%) Scores Better than 90% of Qualified Legal Outsourcing AdvisorsGreen Coded Vendors have received constantly highest client satisfaction scores.

8.58+

Clear (Top 33%) Scores Better than 67% of Legal Outsourcing AdvisorsWell scored vendor which have middle of the pack results

7.31 to 8.57

Yellow Scores Better Than Half/ 50%of Legal Outsourcing AdvisorsCautionary performance scores, Areas of improvement required.

5.88 to 7.30

Red Scores Better Than Half/ 50%of Legal Outsourcing AdvisorsCautionary performance scores, Areas of improvement required.

Less than 5.87

1.00 5.87 5.88 7.30 5.89 8.57 8.58 10.00

GENERALLYDISSATISFIED

DOES NOT MEETEXPECTATIONS

CAN NOTRECOMMEND VENDOR

INCONSISTENTLYSATISFED

MEETS SOME/FEWEXPECTATIONS

RESERVESRECOMMENDATION

SATISFICATORYPERFORMANCE

MEETSEXPECTATIONS

RECOMMENDSVENDOR

OVERWHELMINGSATISFACTION

EXCEEDSEXPECTATIONS

HIGHLYRECOMMENDED

VENDOR

Law Firms & Legal Services for Outsourcing 1008

Outsourcing contractual law has been at the forefront of global sourcing since the 1980s with extensive trecord in IT outsourcing, business process outsourcing, business transformation outsourcing, technologyransformation, off shore services or strategic services.

Outsourcing lawyers negotiate the full range of strategic sourcing transactions, helping clients shorten the

ourcing cycle, speed the realization of benefits, and design lasting solutions that effectively support theirtrategic and operational objectives.

91 Law Firms with dedicated Outsourcing Advisory Practices qualified with a minimum of qualified andalidated client ballots. 161 Law Firms were included by client ballots in the 2008 survey process..


43/71



1 HUNTON & WILLIAMS 9.35

2 MILBANK TWEED HADLEY & MCCLOY 9.29

3 MORGAN LEWIS & BOCKIUS 9.28

4 BAKER & MCKENZIE 8.86

5 MAYER BROWN 8.71

6 PILLSBURY WINTHROP SHAW PITTMAN 8.64

7 LATHAM & WATKINS 8.44

8 MORRISON & FOERSTER 8.35

9 KIRKLAND & ELLIS 8.30

10 DLA PIPER 8.27

11 BIERCE & KENERSON8.15

12 HUGHES & LUCE8.10

13 COOLEY GODWARD KRONISH8.01

14 JONES DAY7.89

15 FASKEN MARTINEAU7.88

16 SIMMONS & SIMMONS7.66

17 ALSTON & BYRD 7.51

18 HOGAN & HARTSON7.27

19 THELEN REID BROWN RAYSMAN & STEINER7.15

20 SHEARMAN & STERLING7.12

TOP TIER

LEGAL

ADVISORS 1 - 6

UPPER

MIDDLETIERLEGALADVISORS 5 - 18

MIDDLE TIER

LEGAL ADVISORS 19 34

TOP 20LEGAL OUTSOURCING

ADVISORS


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ank Legal FirmQ1 Q2 Q3 Q4 Q5 Q6 Q7 Q8 Q9 Q10 Q11 Q12 Q13 Q14 Q15 Q16 Q17 Q18 Q19 Q20

M

1 HUNTON & WILLIAMS 9.62 9.47 9.74 9.31 9.57 9.43 9.27 9.54 9.10 9.55 8.90 9.67 8.78 9.30 9.48 9.32 9.31 9.53 9.24 8.90 9

2 MILBANK TWEEDHADLEY & MCCLOY

9.34 9.60 9.17 9.64 9.73 9.04 8.75 9.73 8.98 9.43 9.57 9.45 9.07 9.24 8.72 8.99 9.78 9.42 9.18 9.03 9

3 MORGAN LEWIS &BOCKIUS

9.46 9.16 9.35 9.66 9.14 9.19 9.60 8.92 9.49 9.24 8.88 9.05 9.31 9.42 9.46 9.74 9.08 9.23 9.19 9.11 9

4 BAKER & MCKENZIE 8.93 9.21 8.86 7.94 8.52 9.30 8.49 8.54 8.95 9.04 8.97 9.09 9.36 8.34 8.85 9.32 8.32 9.06 9.20 8.92 8

5 MAYER BROWN 9.19 8.57 9.32 8.82 9.01 8.87 9.35 8.59 9.32 8.10 9.07 9.37 8.15 8.08 9.18 7.50 8.33 7.98 9.15 8.29 8

6 PILLSBURY WINTHROPSHAW PITTMAN

8.90 8.92 9.10 9.06 9.17 8.88 8.20 9.18 9.52 8.44 9.07 7.47 9.38 7.14 7.89 8.93 8.29 8.54 8.54 8.10 8

7 LATHAM & WATKINS 7.11 8.82 8.88 9.54 9.25 9.36 9.27 9.27 9.23 8.17 8.04 7.28 8.32 8.96 7.03 8.47 6.65 8.54 7.91 8.68 8

8 MORRISON &FOERSTER

9.30 8.82 8.19 9.16 8.55 9.08 8.99 7.31 8.67 8.07 9.44 8.93 7.63 7.95 8.86 7.43 7.06 6.99 8.53 8.08 8

9 KIRKLAND & ELLIS 8.48 8.75 8.73 8.45 7.12 9.34 7.30 8.17 9.11 9.02 8.99 8.18 8.90 7.79 9.06 8.56 7.18 6.60 8.04 8.29 8

10 DLA PIPER 8.04 7.28 9.03 9.17 8.40 8.74 8.87 8.58 8.02 8.56 6.95 8.83 7.72 7.00 7.73 8.55 7.83 8.06 9.18 8.79 8

11 BIERCE & KENERSON8.45 8.40 9.04 8.77 6.58 8.30 8.76 7.54 8.46 7.35 8.63 8.00 8.90 9.11 7.39 7.25 8.19 7.30 8.61 8.00 8

12 HUGHES & LUCE7.45 8.01 8.30 7.91 8.72 5.79 7.80 8.15 8.55 6.89 8.28 9.02 7.40 8.59 8.72 7.47 8.84 8.16 8.87 9.05 8

13 COOLEY GODWARD

KRONISH

8.33 8.08 5.78 8.89 8.76 6.05 8.69 7.93 8.90 8.46 8.64 8.80 8.14 7.60 7.49 8.63 6.20 7.68 8.33 8.84 8

14 JONES DAY8.42 8.39 9.26 8.15 7.64 8.11 8.48 6.02 8.09 8.04 6.80 8.41 9.22 7.94 6.48 8.40 6.77 7.03 7.16 8.92 7

15 FASKEN MARTINEAU7.82 7.44 6.99 7.81 7.42 6.77 7.07 9.06 6.66 8.32 8.14 9.26 8.92 7.20 7.34 6.87 8.83 8.09 9.08 8.52 7

16 SIMMONS & SIMMONS8.97 7.46 7.31 8.41 8.61 6.90 5.45 8.32 9.16 7.53 6.62 7.17 6.87 6.48 7.81 7.53 8.12 6.79 8.97 8.74 7

17 ALSTON & BYRD9.03 8.83 7.24 8.19 8.96 6.29 6.78 6.53 6.07 7.49 6.55 7.34 6.44 8.76 6.96 5.69 7.88 7.17 8.93 9.08 7

18 HOGAN & HARTSON7.92 6.78 7.93 6.06 8.63 6.85 6.94 7.54 6.88 8.05 8.17 7.73 5.58 6.13 7.25 6.26 8.73 6.22 7.77 7.99 7

19 THELEN REID BROWNRAYSMAN & STEINER

7.01 8.56 7.95 8.64 7.77 5.42 7.20 7.91 5.53 8.03 6.64 7.60 6.90 5.63 6.44 5.29 6.43 7.53 8.18 8.42 7

20 SHEARMAN & STERLING6.55 7.90 8.50 7.64 7.29 6.88 8.19 5.72 5.95 6.83 8.00 8.46 7.02 7.21 5.73 6.00 5.60 8.03 7.42 7.53 7


45/71



RAW & MEAN SCORES BY LEGAL ADVISOR CRITERIA QUESTION

LEGAL OUTSOURCING ADVISORY FIRMSWITH MOST #1 INDIVIDUAL CRITERIA SCORES

Of 20 Total Criteria, the Number of CriteriaFirm Ranks #1 FIRM Overall Rank

8 HUNTON & WILLIAMS 1

5 MORGAN LEWIS & BOCKIUS 3

5 MILBANK TWEED HADLEY & MCCLOY 2

2 LATHAM & WATKINS 7


46/71



TOP SCORE PER INDIVIDUAL CRITERIA

(Q) # Criteria FIRMOverall

Rank

1 Level of Legal Advisor Outsourcing Experience HUNTON & WILLIAMS 1

2 Client Legal Outcomes and Improvements MILBANK TWEED HADLEY & MCCLOY 2

3 Capability Enhancements for Client HUNTON & WILLIAMS 1

4 Advisor Domains of Legal Expertise MORGAN LEWIS & BOCKIUS 3

5 Advisor Industry-Specific Outsourcing Qualifications MILBANK TWEED HADLEY & MCCLOY 26 Legal Spectrum of Category-Specific Functions HUNTON & WILLIAMS 1

7 Legal Governance & Service Management Solutions MORGAN LEWIS & BOCKIUS 3

8 Strategic Legal Options & Delivery Alternatives MILBANK TWEED HADLEY & MCCLOY 2

9 Vendor Agnostic LATHAM & WATKINS 7

10 Innovations in Legal Consultative Approaches HUNTON & WILLIAMS 1

11 Scalability, Flexibility and Customization MILBANK TWEED HADLEY & MCCLOY 2

12 Breadth of Experience through Sourcing Lifecycle HUNTON & WILLIAMS 1

13 Marginal Value Adds LATHAM & WATKINS 7

14 Relationship Support and Client Care MORGAN LEWIS & BOCKIUS 3

15 Trust, Reliability, Confidentiality HUNTON & WILLIAMS 1

16 Global Legal Applications, Globalization Understanding MORGAN LEWIS & BOCKIUS 3

17 Return-On-Investment, Engagement Deliverables & Quality MILBANK TWEED HADLEY & MCCLOY 2

18 Speed and Efficiency of Engagement Deployment HUNTON & WILLIAMS 1

19 Best-of-Breed Technology, Process Improvement HUNTON & WILLIAMS 1

20 Engagement Viability MORGAN LEWIS & BOCKIUS 3


47/71



1. Level of Legal Advisor Outsourcing Experience

Rank

Q1

OverallRank

FIRM

LEGALADVISORS

SCORE Q1

1 1HUNTON & WILLIAMS 9.62

2 3MORGAN LEWIS & BOCKIUS 9.46

3 2MILBANK TWEED HADLEY & MCCLOY 9.34

4 8

MORRISON & FOERSTER 9.30

5 5MAYER BROWN 9.19

6 17ALSTON & BYRD 9.03

7 16SIMMONS & SIMMONS 8.97

8 4BAKER & MCKENZIE 8.93

9 7LATHAM & WATKINS 8.90

10 9KIRKLAND & ELLIS 8.48

11 11BIERCE & KENERSON 8.45

12 14JONES DAY 8.42

13 13

COOLEY GODWARD KRONISH 8.33

14 10DLA PIPER 8.04

15 18HOGAN & HARTSON 7.92

16 15FASKEN MARTINEAU 7.82

17 12HUGHES & LUCE 7.45

18 6PILLSBURY WINTHROP SHAW PITTMAN 7.11

19 19THELEN REID BROWN RAYSMAN & STEINER 7.01

20 20SHEARMAN & STERLING 6.55


48/71



2. Client Legal Outcomes and Improvements (includes secondary Financial & Operationalaffects)

Rank

Q2Overall

RankFIRM

LEGALADVISORS

SCORE Q2




4 3 MORGAN LEWIS & BOCKIUS 9.16




8 8MORRISON & FOERSTER 8.82


10 5MAYER BROWN 8.57



13 14 JONES DAY 8.39

14 13COOLEY GODWARD KRONISH 8.08





19 10DLA PIPER 7.28



49/71



3. Capability Enhancements for Client

Rank

Q3Overall

RankFIRM

LEGALADVISORS

SCORE Q3



3 5MAYER BROWN 9.32

4 14 JONES DAY 9.26




8 10DLA PIPER 9.03





13 12 HUGHES & LUCE 8.30









50/71



4. Advisor Domains of Legal Expertise

RankQ4

OverallRank FIRM

LEGALADVISORS

SCORE Q4





5 10 DLA PIPER 9.17




9 5MAYER BROWN 8.82






15 14JONES DAY 8.15







51/71



5. Advisor Industry-Specific Outsourcing Qualifications

RankQ5

OverallRank FIRM

LEGALADVISORS

SCORE Q5





5 3 MORGAN LEWIS & BOCKIUS 9.14

6 5MAYER BROWN 9.01








14 10DLA PIPER 8.40


16 14JONES DAY 7.64






52/71



6. Legal Spectrum of Category-Specific Functions (includes ITO, FAO, CCO, BPO, HRO, SCPO, FMO, LPO, and DPO)

RankQ6

OverallRank

FIRM

LEGALADVISORS

SCORE Q6




4 4 BAKER & MCKENZIE 9.30





9 5MAYER BROWN 8.87

10 10DLA PIPER 8.74


12 14JONES DAY 8.11

13 16 SIMMONS & SIMMONS 6.90









53/71



7. Legal Governance & Service Management Solutions

RankQ7

OverallRank FIRM

LEGALADVISORS

SCORE Q7


2 5MAYER BROWN 9.35


4 6

PILLSBURY WINTHROP SHAW PITTMAN 9.27


6 10DLA PIPER 8.87





11 14JONES DAY 8.48


13 20

SHEARMAN & STERLING 8.19









54/71



8. Strategic Legal Options & Delivery Alternatives(Shared Services, Insourcing, Outsourcing, Offshoring, Nearshoring, Captives)

RankQ8

OverallRank

FIRM

LEGALADVISORS

SCORE Q8







7 5MAYER BROWN 8.59

8 10DLA PIPER 8.58











19 14JONES DAY 6.02



55/71



9. Vendor Agnostic

RankQ9

OverallRank FIRM

LEGALADVISORS

SCORE Q9



3 5MAYER BROWN 9.32

4 6

PILLSBURY WINTHROP SHAW PITTMAN 9.23









13 11

BIERCE & KENERSON 8.46

14 14JONES DAY 8.09

15 10DLA PIPER 8.02







56/71



10. Innovations in Legal Consultative Approaches

RankQ10

OverallRank FIRM

LEGALADVISORS

SCORE Q10




4 4

BAKER & MCKENZIE 9.04


6 10DLA PIPER 8.56







13 18

HOGAN & HARTSON 8.05

14 14JONES DAY 8.04








57/71



11. Scalability, Flexibility and Customization

RankQ11

OverallRank

FIRM

LEGALADVISORS

SCORE Q11




4 5 MAYER BROWN 9.07









13 15 FASKEN MARTINEAU 8.14



16 10DLA PIPER 6.95

17 14JONES DAY 6.80





58/71



12. Breadth of Experience through Sourcing Lifecycle

RankQ12

OverallRank

FIRM

LEGALADVISORS

SCORE Q12



3 5MAYER BROWN 9.37






9 10DLA PIPER 8.83



12 14JONES DAY 8.41

13 9 KIRKLAND & ELLIS 8.18









59/71



13. Marginal Value Adds

RankQ13

OverallRank

FIRM

LEGALADVISORS

SCORE Q13




4 14 JONES DAY 9.22









13 10 DLA PIPER 7.72









60/71



14. Relationship Support and Client Care

RankQ14

OverallRank

FIRM

LEGALADVISORS

SCORE Q14




4 11 BIERCE & KENERSON 9.11





9 5MAYER BROWN 8.08


11 14JONES DAY 7.94


13 13 COOLEY GODWARD KRONISH 7.60




17 10DLA PIPER 7.00





61/71



15. Trust, Reliability, Confidentiality

RankQ15

OverallRank

FIRM

LEGALADVISORS

SCORE Q15



3 5MAYER BROWN 9.18

4 9 KIRKLAND & ELLIS 9.06







11 10DLA PIPER 7.73


13 11 BIERCE & KENERSON 7.39





18 14JONES DAY 6.48




62/71



16. Global Legal Applications, Globalization Understanding, Global Service Transformations

RankQ16

OverallRank

FIRM

LEGALADVISORS

SCORE Q16




4 2 MILBANK TWEED HADLEY & MCCLOY 8.99




8 10DLA PIPER 8.55


10 14JONES DAY 8.40












63/71



17. Return-On-Investment, Engagement Deliverables & Quality

RankQ17

OverallRank

FIRM

LEGALADVISORS

SCORE Q17







7 5MAYER BROWN 8.33






13 10 DLA PIPER 7.83



16 14JONES DAY 6.77






64/71



18. Speed and Efficiency of Engagement Deployment

RankQ18

OverallRank

FIRM

LEGALADVISORS

SCORE Q18




4 4 BAKER & MCKENZIE 9.06





9 10DLA PIPER 8.06




13 19 THELEN REID BROWN RAYSMAN & STEINER 7.53



16 14JONES DAY 7.03






65/71



19. Best-of-Breed Technology, Process Improvement, Legal Tools & Research

RankQ19

OverallRank

FIRM

LEGALADVISORS

SCORE Q19




4 2 MILBANK TWEED HADLEY & MCCLOY 9.18

5 10DLA PIPER 9.18

6 5MAYER BROWN 9.15







13 8 MORRISON & FOERSTER 8.53







20 14JONES DAY 7.16


66/71



20. Engagement Viability

RankQ20

Overall

RankFIRM

LEGALADVISORS

SCORE Q20






6 14JONES DAY 8.92



9 10DLA PIPER 8.79





14 5 MAYER BROWN 8.29








67/71



Appendix 6

Survey Respondent

Respondents by titles:

Which of the following best describes your companys annual revenue ($US)?

$25 Billion + 2.10%

$ 10 Billion to $25 Billion 22.44%$ 2 Billion to $ 10 Billion 40.23%

$ 500 Milli

2008 Outsourcing Advisor Report[1]

Documents

Transcript of 2008 Outsourcing Advisor Report[1]