KPMG Deal Tracker - 2Q15

KPMG Deal Tracker - 2Q15

Related content

April to June 2015

 

Key highlights:

  • 2Q15 shows a typical jump expected from a second quarter – the significance is that it has highest deal activity in the last 14 quarters. This could indicate that organisations especially in the Tier I markets continue to see the value in outsourcing
  • In 2Q15 (April to June), 254 ITO contracts worth USD66.6 billion and 72 BPO contracts worth USD7.5 billion were signed, worldwide
  • Globally eight IT-BPO bundled deals were signed in 2Q15 with contract value worth USD1.8 billion
  • In terms of value, approximately 80 per cent of deals originated from the United States, followed by the United Kingdom at 8.5 per cent. Switzerland and Mexico were two other key outsourcing markets
  • The average deal tenure increased to 4 years 9 months in 2Q15 from 3 years 2 months in 1Q15
  • Defence sector witnessed a multi-fold growth in terms of total contract value contributing to 74 per cent in terms of value of outsourcing deals signed in 2Q15. Government sector gained momentum in 2Q15 with a quadruple increase in total contract value after a weak market activity in 1Q15
  • IT Bundled Services and HRO Services contributed approximately USD41.6 billion and USD3.5 billion respectively and were the largest procured services globally within ITO and BPO outsourced services, respectively
  • Average annualised contract value in 2Q15 was USD49.3 million as compared to USD20.2 million in 2Q14 showing an increase of 145 per cent between the two quarters 

 

© 2016 KPMG, an Indian Registered Partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved.

Connect with us

 

Request for proposal

 

Submit

KPMG's new digital platform

KPMG's new digital platform