Basefarm top ranked by Nordic customers yet again
Yet again, Basefarm achieves a top placement in Whitelane and PA Consulting's IT Outsourcing survey 2018. The study, which looks at IT outsourcing trends and measures customer satisfaction among customers, is a significant independent measure for the industry.
When it comes to service quality delivery, the cloud providers are clear winners and Basefarm claims a 5th place in the index, after global players like Amazon, Salesforce, TCS and Microsoft. Customers in Norway are most happy with Basefarm, where they are ranked as number three overall, with an average satisfaction score of 78%.
The research is based on 330 participants from top IT spending organizations in Denmark, Finland Norway, and Sweden who have evaluated over 1,000 unique IT outsourcing contracts. In total 32 IT service providers were evaluated and ranked based on the opinion of their customers.
Outsourcing strong in financial and manufacturing
The report shows that outsourcing is still a strong trend across Europe, especially in The Netherlands where 53% of customers say they are planning to increase outsourcing over the next two years, followed by Belgium/Luxemburg with 50%. In the Nordic region, 36% of customers say they will outsource more, primarily in the financial (42%,) and manufacturing (38%) sectors. The strongest growth areas for outsourcing are predicted in applications development, maintenance and testing (78%) followed by data centre and application hosting (65%). The biggest drivers to outsource are not surprisingly cost reduction, wanting to focus on core business and lack of internal resources.
Nordic customers are generally happy
Nordic customers tend to generally be happy with their service providers, 56% saying they’re ranking satisfied or very satisfied. Basefarm is placed in 8th position on the overall satisfaction index across the region with a score of 73%, well ahead of the Nordic competition. The index is topped by TCS followed by Salesforce.com, and Accenture; a partner to Basefarm, as are some of the Big5 Indian providers on the list.
“It’s really rewarding to see that our customers value their relationships with us. The trends are clear. Organizations are continuing to increase their use of data, they are recognizing that all data shouldn’t necessarily be treated the same way and that data can be used to not only cut cost, but to drive innovation. As a result, our clients leverage our vast knowledge in big data on top of our hybrid cloud capabilities” said Fredrik Ohlsén, CEO at Basefarm. “To manage and develop complex systems requires expertise and innovative thinking. Basefarm’s experience in areas like hybrid cloud strategy and security, not to mention big data analytics, machine learning and AI makes us perfectly placed for what’s to come.”
Cloud operation 24/7
The study also points out a mismatch between customers’ and service providers’ view on who should be managing the cloud. Customers believe this should be handled by the internal IT department while service providers think this is best done by one of their outsourcing partner. Currently, only 20% of customers are using their outsourcing provider in this way. With more complex data and a rapidly evolving cloud service scene, this is an area where internal IT often lack experience and resources and have difficulty keeping a 24/7 operation going.
Looking towards the future – Agile and AI
The study points at big differences across the Nordic region when it comes to adopting Agile as a delivery model, with Finland leading the way with 62% saying they already use Agile, compared to only 35% in Denmark.
When it comes to who is leading the digital transformation in organizations, this is being led by multifunctional teams in 39% of organizations, followed by IT in 27%, showing the importance of matching this multifunctional approach with cross-functional teams also on the service provider side. 60% of organizations have already adopted new technology such as AI and robotics, and three out of four organizations regard benefits that may be gained by robotics and AI as significant.
Please contact Whitelane for an executive summary of the report.