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The 2023 version of the UK SITS Consulting Market: Suppliers, Trends & Forecasts report is now available to download. Containing our latest market size and forecast data, along with insight into market dynamics and the key trends shaping the market, plus analysis of the challenges facing suppliers and recommendations for how to move forward, it is vital reading for suppliers operating in the UK. The report also contains the Top 20 Supplier Ranking (by revenue) for the UK SITS Consulting market, together with commentary on the up-and-coming players making noteworthy progress in this most competitive of arenas.
The surge in UK demand for SITS Consulting services in the prior twelve months gathered even further momentum during 2022 to deliver a period of record growth. Sales of these offerings here were up by nearly 20% yoy last year. As the macro-situation both domestically and internationally continues to worsen, however, we expect buyers to trim back on their investment ambitions and with it their increased expenditure on advisory support.
Despite the onset of more difficult economic times, however, the needs are undiminished for SITS consultancies to guide their cIients through the profound and complex challenges they now face. Expectations are shifting, however and there is growing pressure on suppliers to deliver substantial and measurable value sooner rather than later.
If you are a subscriber to TechSectorViews click here to download the UK SITS Consulting Market: Suppliers, Trends and Forecast 2023 report. If you don’t have a subscription and would like to gain access the report and our other research and services please contact Deb Seth.
Posted by Duncan Aitchison at '08:24' - Tagged: consulting forecasts newresearch market+trends supplier+rankings
Of all the many types of research that I have been involved with over the years, I believe that the greatest direct business value of all of these is to be derived from an effective win/loss review process.
Some SITS vendors spend many (£) millions pursuing a single large bid and so the stakes are high, as is the value of any lessons learned. Thus insights that help a vendor to improve their win rate and/or client satisfaction can potentially deliver a significant RoI. Regardless of any direct monetary value associated with this type of analysis, anything learned can be extremely useful to the business from the perspective of process improvement, and that’s why I believe it is so important to routinely conduct win/loss reviews.
During my time with CSC (now DXC) I was responsible for managing the win/loss review process for the financial services business in EMEA, and then subsequently globally. As well as designing and managing the process, I also conducted many of the reviews myself. My experience of conducting win/loss review research demonstrated to me that, almost without exception, clients and prospects were very willing to participate in the process. Often they were impressed that the company was investing the time and effort to try to improve. In fact, so much so that, on occasions clients/prospects were demonstrably grateful for the opportunity to provide their feedback.
So, what did I learn and why do I believe win/loss reviews are so valuable?
TechMarketView clients, including HotViewsPremium subscribers can read my “Top 5 Tips” for effective Win/Loss reviews. This UKHotViewsExtra discusses how to design a successful win/loss review programme and provides insights into some of the key "do's" and "don'ts".
If you do not currently have access to this material but would like to learn more, please contact Deb Seth.
Posted by Jon C Davies at '07:00'
Having spent a large portion of my near 40-year career closely involved in various forms of research, analysis and business intelligence, I have over that period accumulated first-hand experience of many different methodologies. When I reflect back on the relative merit of these various approaches, I am struck that, of all of them, the one from which I believe I (and others) have derived the greatest business value is from conducting win/loss reviews. This observation is especially relevant in the current climate of lengthening deal cycles and increased scrutiny around IT investments.
Some SITS vendors may spend many (£) millions pursuing a single large bid and so the stakes are high, as is the value of any lessons learned. Thus insights that help a vendor to improve their win rate and/or client satisfaction can potentially deliver a significant RoI. Sometimes a vendor may win a bid but do certain things badly during the sales process that on another day might have been more costly. Similarly, there may be pursuits where a vendor does certain things really well that impress the client or prospect, despite ultimately missing out on the deal. The potential insights learned from both these scenarios can be extremely valuable and that’s why I believe it is so important to routinely conduct win/loss reviews.
During my time with CSC (now DXC) I was for a number of years responsible for managing the win/loss review process for the company's financial services business in EMEA, and then subsequently globally. As well as designing and managing the process, I also conducted many of the reviews myself. The research process typically involved a short qualitative email survey, followed up by a 45-minute discussion with the client conducted either face to face or over the phone.
Of course, perhaps the most important element of any research is not the fieldwork/data gathering but what is actually done with the information once it has been collated. This is especially true when carrying out win/loss research as the insights can potentially be worth millions if you improve your win rate as a result. For my part, I provided a monthly high-level management dashboard to the Exco and made available a longer form narrative summary of every qualitative review conducted. Lastly, for all bids over a defined (£) value, we convened a review involving all relevant in-house teams. (Typically, sales, legal, finance, and product/delivery).
My own experience of conducting win/loss research was that, almost without exception, clients and prospects were very willing to participate in the process. Often they were impressed that the company was investing the time and effort to try to improve. In fact, so much so that, on occasions clients or prospects were demonstrably grateful for the opportunity to provide their candid feedback.
Here are my “Top 5 Tips” for an effective Win/Loss review programme:
1. Ensure that process is not owned or run by the sales team.
Apart from ensuring that you have a win/loss programme in place, this is perhaps the most important and for many the most sensitive and controversial. The sales team will almost certainly rail against other folks having insight into their performance in this way. However, the value of the insights gleaned from the research will inevitably be greatly diminished if they do not come via an independent source. In part this is simply down to human nature. Even senior executives within client/prospects may deliver the message with less candour when they are talking to those directly involved than if they had been talking to an “independent” review team not directly involved in the sale.
2. Establish the “facts” first-hand.
To emphasise what I have said in point one, it is important to always speak to the client or prospect wherever possible and not to rely on what you might be told internally. I can recall several occasions where I reviewed lost deals for which the sales team had already conducted their own internal review and submitted the finding to the sales director. In each of these I found that the reasons the client provided to me for the decision were very different to those offered by the sales team.
3. Try to promote a “blame-free” culture.
My third suggestion follows naturally from my first two. Whatever the reasons for a lost bid, it is important to see the win/loss review process as an opportunity for shared learning and process improvement. It should almost never be about holding individuals to account and even less so a “witch-hunt”! If you work with the sales team and reassure them of the spirit in which the reviews are being conducted, you will probably find that they will come to value the process. Afterall, it should help them to successfully close more deals and earn more commission.
4. Never preach, when delivering your analysis.
When it comes to the internal debrief, it is vitally important to offer your findings up for debate. Provide your analysis as suggestions and ask the individual teams to validate your thinking and to contribute to the discussion on how to improve the process going forward. Remember, you were not directly involved in the pursuit and the interpretation of those that were is vital in fully understanding the client feedback.
5. You rarely lose on price alone.
I have one final observation that has stayed with me from conducting win/loss reviews worth in total many (£) hundreds of millions. Despite what more simplistic review processes may often indicate, my many discussions with clients demonstrated to me that typically, whilst you may lose on value, it is actually extremely rare to lose on price alone. In my own personal experience, this was almost certainly always true in respect of non-commodity type products and services. Don’t fall into the trap of thinking otherwise!
If you do not currently have a structured win/loss review programme in place, I strongly urge you to consider implementing one. If done properly this process will potentially pay for itself many times over!
If you would like to discuss any of the points made in this HotViewsExtra or offer your own perspective on win/loss reviews, do please feel free to get in touch with me directly.
Posted by Jon C Davies at '15:45'
TechMarketView’s new UK Cybersecurity: Suppliers, Trends, and Forecasts report is now available for download by subscribers.
The report provides an overview of the UK Cybersecurity market size in 2022, an analysis of the market shaping trends, our forecast for how the market will perform over the 2023-26 period, and who the key suppliers are in the market.
In 2022/23 the market has been driven by the after effects of the pandemic that saw rapid investment in security tools, along with organisations looking to respond to an evolving threat landscape, especially data exfiltration and threats to critical national infrastructure. Looking ahead we forecast that UK spending on cybersecurity will continue to grow throughout the 2023-26 period, but growth will be more subdued than we saw in the past few years. A number of factors will influence growth including the investment in proactive security measures and Artificial intelligence, as well as the growth in the number of Internet of Things assets and an increasing focus on Quantum security.
The report also contains an update to our UK Cybersecurity Top 20 supplier rankings, which also includes a separate breakout of the Top 15 UK Cybersecurity services providers. This year we have also spotlight several suppliers, where we take a deeper dive into performance and strategic developments.
Subscribers to TechMarketView's TechSectorViews research stream can download the research - UK Cybersecurity: Suppliers, Trends, and Forecasts – now. If you are not yet a subscriber and would like to find out how to gain access to this research and much more besides, please contact Deb Seth.
Posted by Simon Baxter at '09:34' - Tagged: cybersecurity
TechMarketView’s reviews of spending via G-Cloud, Digital Outcomes & Specialists (DOS), Digital Outcomes 6 (DO6) and Digital Programmes & Specialists (DPS) in 2022-23 are now available. The two reports cover spending trends through these Crown Commercial Service (CCS) frameworks over the 12-months ended 31 March 2023, including analysis of lots, supplier size, leading suppliers and buyers, and subsector (central government, defence, health etc.) variability.
Analysis reveals spend through G-Cloud was up 5.7% year-on-year to £3.0bn, the slowest annual growth since the framework was launched in 2012. This was largely the result of COVID-19 pandemic related spending, which boosted the market in 2021-22, coming to an end. Four departments spent in excess of £100m through G-Cloud during the year, with the Home Office being the highest spender. There were six suppliers with G-Cloud income of over £50m, but AWS continues to be a long way ahead of the rest.
Across the three Digital Specialists frameworks (DOS, DO6 and DPS) spending increased by 18.5% to £1.3bn (almost identical to growth in 2021-22). The Central Government subsector accounted for nearly three-quarters of spend during the year. Two departments, Home Office and HMRC, spent more than £100m through these frameworks during the year. There were six suppliers with income in excess of £50m, with Capgemini now the leading supplier.
If you are an existing PublicSectorViews subscriber, you can access further analysis and charts here:
G-Cloud Review 2022-23
Digital Specialists Review 2022-23
If you’d like to discuss an extension to your existing subscription or would like details of how to subscribe to TechMarketView, please email Deb Seth.
Posted by Dale Peters at '07:00' - Tagged: framework data digital+marketplace digital+future ccs data+insights
Posted by TMV Team at '12:10'
TechMarketView’s latest analysis of supplier performance in the UK Software and IT Services market has revealed a brand-new player in the number one spot.
UK SITS Supplier Rankings 2023 shows that Amazon Web Services (AWS) now holds the top spot as the largest provider in the market (according to TechMarketView revenue estimates).
Last year, the hyperscaler held the number two spot behind TCS, which continued to perform very well over the period analysed. However, high double-digit performances from AWS and Accenture alike, means the Top 3 has been ‘shuffled’.
While we have seen UK revenue growth slow at AWS, at just over 30% the firm is still growing at an impressive clip given its size – which we estimate to have been close to £3.8bn in 2022.
Outside of the Top 3, there were strong, double-digit UK performances (based on TechMarketView estimates) by Microsoft, Capgemini, IBM, and HCLTech. Microsoft remains the largest provider in Enterprise Software in the UK, with the rest of the Top 4 positions all held by the ‘usual suspects’. Business management specialist, The Access Group, put in a particularly outstanding performance, with estimated growth of over 40% – moving it into the Top 5.
Of course, it goes without saying that many of the players in the market – large and small – have supported the growth of AWS as members of its extensive ecosystem. Between them, the hyperscalers and their partners have built the invaluable services enabling organisations to accelerate towards cloud, but also adopt the game-changing digital technologies that feed from those platforms.
UK SITS Supplier Rankings 2023 – and its sister report – Market Trends and Forecasts 2023, are ONLY available to members of TechMarketView’s Foundation Service Programme.
To check whether your organisation has access, please contact Belinda Tewson. To become a member of the Foundation Service, please contact Deb Seth.
Posted by Kate Hanaghan at '09:30' - Tagged: cloud growth AI platforms
Posted by TMV Team at '09:08'
Merger and acquisition (M&A) activity in the UK software and IT services (SITS) sector declined for the fourth successive quarter in Q2 2023. This is according to data from Silverpeak, the mid-market technology specialists that represent European growth businesses in M&A and financing transactions.
There were 68 acquisitions by and 90 sales of UK SITS companies in Q2 2023, compared to 83 and 107 respectively in Q1. This data includes deals announced, as well as those closed.
The continuing decline in deal activity comes amid higher interest rates and ongoing economic uncertainty, which have hit market confidence. However, it is worth noting that Q2 2023 deal volumes are still in line with those seen in the pre-Covid period and could simply represent a normalisation of activity levels as economies continue to settle post-pandemic.
Subscribers to the TechMarketView Foundation Service and UKHotViews Premium can read more by downloading the Q2 2023 edition of IndustryViews Corporate Activity.
Posted by Tania Wilson at '15:42' - Tagged: acquisition M&A
UK startup OneID is looking to fill what it sees as a key gap in the UK’s digital infrastructure and make the world a safer place through its Digital identity service. According to OneID, we should be using banks as a means to verify our digital identity, sparing consumers (and businesses) from the laborious task of submitting and reviewing passports and other identity documents. TechMarketView recently caught up with the team at OneID to understand more about how the business is looking to change identity verification, and how its plans for growth are progressing.
We first covered OneID in detail back in 2021, when the company was known as Digital Identity Net (See Digital Identity Moves Up the Agenda). The business has a lot of experience behind it including CEO Paula Sussex, who many of our readers will be familiar with as the previous CEO of the Student Loans Company. Paula became CEO in April 2023 (See Paula Sussex emerges as CEO of OneID). Paula and the team were keen to stress that a driving force behind the business is its social purpose, with a goal to make the world a safer place for everyone. OneID wants to enable people to prove who they are online easily and securely, and give people control over their data and privacy. If successful, this could significantly change how we verify our digital identity and the customer onboarding and purchasing process of many organisations.
In this UKHotViews extra article, we dive deeper into the potential for using banks as online identity verification, as well as exploring the OneID platform in more detail and potential competitors.
If you are a TechMarketView or UKHotViews Premium subscriber, you can access the full UKHotViewsExtra article here: OneID looks to fill gap in UK digital infrastructure.
Posted by Simon Baxter at '12:40' - Tagged: banking identity
TechMarketView’s mission is to help its clients grow – not just in terms of revenue, but more broadly in terms of thriving as an organisation.
Central to this is the provision of a unique data sets and analysis that explain how the UK market will unfold and how to flourish against that backdrop.
Recently published, and only available for members of our Foundation Service research programme, is TechMarketView’s much-anticipated Market Trends and Forecasts 2023 report.
Several months in the making, the report draws on TechMarketView’s unique combination of data and analysis, but also its relationships within the UK market. We would therefore like to extend a special thanks to the CIOs, CTOs, CEOs, CFOs and their respective teams for their time and invaluable inputs during the research process.
This year’s analysis is FASCINATING. It shows that in 2022 (the last full year of analysis), growth hit its highest level for more than a decade - up 12.2% to £67.7bn. Furthermore, over the course of the next three years, spend on digital products and services will increase from c.56% of the market today to c.72% of the total UK SITS market in 2026.
Over this period, organisations will seek to drive greater value from their recent hikes in digital expenditure and will take a more exacting approach to technology investment decisions. Market growth is therefore set to dip from 12.2% in 2022 to 6.9% in 2023. Nevertheless, TechMarketView is forecasting a solid Compound Annual Growth Rate (CAGR) of 5.8% through to 2026.
TechMarketView's proprietary Digital Evolution Model (DEM) provides breadth and depth of understanding across the many aspects of the Software and IT Services market and can be downloaded separately by clients as an Excel file. For added depth of insight, we also provide data across all the major industry sectors, including Public Sector where TechMarketView is a key advisor.
TechMarketView’s team of UK analysts uses a unique and carefully developed research methodology; the firm prides itself on its rigour and market knowledge, along with its ability to decipher complex trends and provide clear advice to our clients. Read the report or take one of our engagements to find out what the current market trends mean for your organisation and how you can ensure you thrive: Market Trends and Forecasts 2023.
Contact Deb Seth for more information.
Posted by HotViews Editor at '09:30' - Tagged: research data analysis
Pulsant’s FY22 results for the 12 months to the end of December 2022 show revenue was roughly static at £74.8m (versus a 6.4% decline in FY21). EBITDA before exceptional items was up c.15%.
The top line was boosted predominantly by acquisitive growth; however, there has since been a marked underlying improvement in the business, with an acceleration in organic growth kicking in from Q4. That growth trajectory was sustained into the current year, marking a critical milestone given organic growth has eluded the company for almost five years.
The real story, however, is what has been going on behind the scenes to drive those numbers. To understand the business – which is now more than half-way through FY23 – in its current form, it is essential to look back almost exactly two years ago to when Antin Infrastructure Partners acquired Pulsant. At the time, we underlined Pulsant’s position and intent not to move up the stack but instead stay focused on the provision of infrastructure – i.e., colocation, networking, and cloud. That focus has since played a key role in the improving underlying health of the business.
If you are a TechMarketView or UKHotViews Premium subscriber, you can access the full UKHotViewsExtra article here: Breakthrough year driving growth at bolder Pulsant.
Posted by Kate Hanaghan at '09:45' - Tagged: results colocation hosting privatecloud data
The latest results from Swiss-based Temenos reflect an improved performance by the global banking technology vendor, despite the challenging macro-economic environment. For the six months ended 30 June 2023 revenue was $465.5m, up 1.5% on the same period last year, as total software licensing grew by 5.7% to $195.1m. Temenos also delivered an increased profit of $68.9m (up 7.2%).
Temenos suffered something of a dip in its performance during FY22, which contributed to the departure of former CEO, Max Chuard. However, the latest numbers paint a more encouraging picture, and as a result, the vendor has enhanced its outlook for the rest of the year ahead. Meanwhile, behind the scenes, discussions around Temenos' ownership are ongoing with a number of parties having expressed interest in a deal potentially worth up to $7bn.
TechMarketView clients, including subscribers to UKHotViews Premium can learn more by downloading Temenos on the up as takeover talks continue. This UKHotViewsExtra examines Temenos' latest results in more detail and discusses the company's longer term prospects. If you do not currently have access to this UKHotViewsExtra but would like learn more, please contact Deb Seth for more information.
Posted by Jon C Davies at '07:00' - Tagged: M&A banking acquisitions Temenos
The latest edition of OffshoreViews is now available for download by subscribers to the TechMarketView Foundation Service.
OffshoreViews includes our regular summary of the top-tier and mid-tier Indian SI reporting season, along with insightful charts showing multiyear trends for the Top Tier players and a clickable index to relevant UKHotViews posts.
Click here to download.
Posted by TMV Team at '06:00'
Commenting on the results, Temenos’ interim CEO, Andreas Andreades (who stepped in following the departure of Max Chuard in January), expressed his satisfaction with the ongoing improvement. Andreades highlighted the 14% growth in Annual Recurring Revenue (ARR) in Q2 as a particular highlight emphasising that Temenos’ transition to a recurring revenue model is progressing well. The vendor has also reported strong subscription license signings and its highest ever quarterly SaaS ACV.
Temenos has been making the transition to a SaaS model and moved to selling five-year subscription contracts as standard from 2022 (including renewals). The transition is expected to be substantially complete by the year-end. This is a major but essential step for any software company, in order to ensure long-term competitiveness in the face of changing buying patterns. Such a move requires something of a leap of faith, both from leadership and stakeholders.
Temenos’ US operations, which had contributed to the vendor’s FY22 dip in performance (see: Chuard steps down as Temenos looks to the future) are showing encouraging signs. A particular highlight being the recent contract win at B2B payments provider, Convera. Temenos has been selected to modernize Convera’s cloud-based payments software, a deal which the vendor secured whilst in direct competition against a number of the leading US core banking vendors. In H1 Temenos was also selected by a top 20 regional US bank to modernise the core of its UK commercial banking operations.
Temenos saw a sequential improvement in Europe during the first half of 2023, with the vendor reporting a strong pipeline. As a result, Temenos expects the recent recovery to be ongoing in H2. Meanwhile, APAC has continued to perform in line with expectations. As a result of the improving outlook, Temenos has raised its guidance for ARR, reflecting the strength of its performance in the first six months of the year.
Temenos continues to face pressure from a small number of activist investors, in part due to the company's recent share price volatility. In particular, Petrus Advisers (which now holds around 4% of Temenos stock) has been particularly vocal in its demand for change. Meanwhile, Temenos’ leadership is continuing look for a buyer for the company, having invited expressions of interest in 2022. The vendor is currently thought to be in detailed discussions with at least one interested party. According to reports, negotiations with Swedish-based, Nordic Capital are ongoing as the parties discuss a deal potentially worth up to $7bn. Thoma Bravo and Permira are understood to be two other potential bidders that have recently withdrawn from acquisition talks.
Whatever the future holds for Temenos in terms of its ownership, the Swiss vendor remains at the forefront of technology innovation in the banking space. Temenos has always invested heavily in research and development, and this has led to the company consistently being amongst the early adopters of the latest emerging trends. Having been one of the first major core vendors to embrace cloud native technology and collaborative innovation, Temenos has also demonstrated a similar stance on embedded finance and Banking as a Service (BaaS) via a series of recent acquisitions (see: BaaS and embedded finance drive banking evolution).
Posted by Jon C Davies at '11:22' - Tagged: acquisition M&A banking Temenos
The UK Financial Services SITS market grew strongly during 2022, driven by widespread transformation initiatives, and helped in part by the impact of high inflation. Headline growth was 12.1% as competitive pressures, the imperative for change, and the appeal of cost effective, cloud-based technologies all contributing to increased demand.
Despite the buoyancy of the market in 2022, UK Financial Services SITS spend has now entered a phase of more modest growth and the outlook for expenditure through to 2026 is significantly reduced on the rates seen recently. In addition to the significant cost pressures being experienced across the UK Financial Services sector, there is an increased focus on implementation and delivering project outcomes.
As financial services firms in the UK continue to transform their operations, this is fuelling increased adoption of New technologies (Digital, Platform and Cyber). The importance of this segment of the market is becoming ever more pronounced and over time will dominate technology investments.
FinancialServicesViews subscribers can learn more by downloading UK Financial Services SITS - Suppliers, Trends and Forecasts (2022-2026). If you do not currently have access to this report but would like to learn more, please contact Deb Seth.
Posted by Jon C Davies at '09:05' - Tagged: insurance banking financialmarkets wealthmanagement financial+services
Hitachi Vantara is a significant global player in the systems integration and digital services space, that nonetheless sometimes goes under the radar when we profile the marketplace. The firm also has a significant presence in UK digital services with some interesting clients and a differentiated service offer. To understand more, and to get a view on where the business is heading, I sat down recently with President and Board Member of Hitachi Vantara, Roger Lvin (pictured).
Lvin has been with the company just shy of 3 years and has a background covering a range of different roles within Cognizant over a 16-year period. Lvin spent a good deal of this time focused on running aspects of Cognizant’s Business Process Services operations, both in North America and Globally. Prior to that Lvin’s professional experience covers both engineering and architecture.
A business of three parts
Hitachi Vantara operates via three separate business units by which it goes to market. Firstly, it has a Digital Services and Solutions business that combines capabilities in systems integration and digital engineering – this is the business that Lvin has responsibility for, running its P&L globally. In addition to digital services, the firm also has a large infrastructure business (think large ‘bullet proof’ enterprise storage systems) and a data management software portfolio (grown after acquisitions including Pentaho and Waterline).
TechMarketView clients, including subscribers to UKHotViews Premium can read the extended article here Hitachi Vantara – digital services with engineering in its DNA If you do not currently have access to this UKHotViewsExtra but would like learn more, please contact Deb Seth for more information.
Posted by Marc Hardwick at '08:27' - Tagged: digital transformation data interview IT+services
The latest version of TechMarketView’s UK Public Sector Software and IT Services (SITS) Suppliers, Trends and Forecasts report is now available.
The report provides an overview of the Public Sector SITS market size in 2022, who the key suppliers are in the market, and how we believe the market will evolve over the 2023-26 period. It will be followed by a series of six reports that take a deeper dive into the public sector subsectors we track: central government, local & regional government, defence, health, education and police.
Growth over the previous two years (2020 and 2021) was driven by COVID-19 mitigation and pandemic recovery and preparedness efforts; however, the majority of these initiatives came to an end during 2022. Despite the changing market conditions, there was sufficient investment in digital transformation, modernisation and data programmes to ensure further strong growth, albeit inflation-assisted, during the year. We forecast the public sector SITS market will continue to grow throughout the 2023-26 period, but growth will be more subdued.
The report also contains an update to our UK public sector SITS Top 20 supplier rankings based on the latest available financial information (as at end of June 2023). Top 20 rankings for central government and Top 10 rankings for each of the remaining subsectors (local & regional government, health, education, police and defence) are also provided.
PublicSectorViews’ subscribers can find out the size of the public sector market, its growth forecast, and who the leading suppliers are for each subsector by downloading the research today. Keep an eye open for the six subsector reports, the first of which will be published shortly. If you are not yet a subscriber, or are unsure if your company has a subscription, please contact Deb Seth to find out how you can access the research.
Posted by Dale Peters at '09:26' - Tagged: market+trends public+sector supplier+rankings
FinancialServicesViews subscribers can learn more by downloading UK Financial Services SITS - Suppliers, Trends & Forecasts (2022-2026). If you do not currently have access to this report but would like to learn more, please contact Deb Seth.
Posted by Jon C Davies at '16:52' - Tagged: insurance banking financialmarkets wealthmanagement financial+services
We’re looking forward to so many of you joining us for our annual ‘Evening with TechMarketView’ event on Thursday 21 September. If you haven’t reserved your ticket yet, now is the time to do it – see here to book whilst there are still some spaces!
On the evening, CXOs from across the UK tech sector are set to join the TechMarketView team from 6.30pm at the Royal Institute of British Architects (RIBA) in London where we’ll have a raft of impressive speakers ready to help you navigate your way through an increasingly complex tech market.
After welcome drinks and plenty of time to mingle, you will join us in the auditorium for an hour-long pre-dinner session to hear from TechMarketView’s top analysts and our guest speakers. A combination of short presentations, a fireside chat, and a panel debate are set to bring TechMarketView’s 2023 research theme – Pursuing Productivity – to life. You can then look forward to a three-course dinner and plenty more time to network with your peers and debate the latest tech trends with the TMV team.
On the agenda
We’ll look closely at the UK’s record on Productivity, investigate how different industry sectors are faring, and reveal if technology investment is making a difference. We’ll ask whether next-generation technologies will significantly impact the ability of organisations to boost their Productivity. And, with Sustainability increasingly on the boardroom agenda, we’ll question - as we launch brand new TechMarketView analysis - whether the Pursuit of Productivity can be achieved while remaining committed to environmental care and social well-being.
This year our guest speakers include Paula Sussex - CEO of UK identity service, OneID, and previously CEO of both the Student Loans Company and the Charity Commission – and Ann Walker, Delivery Director Product & Technology, Migration & Borders Technology Portfolio (MBTP), DDaT, within the Home Office.
In addition, you will hear from our Managing Director Tola Sargeant, Chief Analyst Georgina O’Toole, Chief Research Officer Kate Hanaghan, Senior Research Directors Marc Hardwick and Dale Peters, Research Director Tania Wilson and Principal Analysts Simon Baxter and Craig Wentworth.
We look forward to seeing you there!
With thanks to our sponsors:
Posted by TMV Team at '09:11'
It’s now approaching seven years since business process operations specialist Conduent officially spun out of former parent Xerox. Since then, TechMarketView has followed the business’s evolution closely as Conduent has worked to rationalise activity, ‘slim down’ its offer and focus on doing a smaller number of things well. The 2023 version of Conduent is now principally focused on three key lines of business – the Commercial sector, the Government sector and on Transportation.
Geographically, whilst the business remains globally headquartered out of New Jersey in the US, it has been making steady progress in Europe with propositions that are resonating with the market, resulting in several recent impressive contract wins. This has seen the UK become one the region’s most important and dynamic markets from both a delivery and a sales perspective, with recent deals signed including the likes of National Highways to manage the Dartford-Thurrock Crossing of the River Thames east of London (see here) and with the UK Health Security Agency (UKHSA) for a new Case and Incident Management System (see here).
Although Conduent has successfully raised its profile and is gaining traction in the UK market it can sometimes fly ‘below the radar’. This profile looks at how Conduent serves its European and UK markets, bringing this to life with some key UK-based case studies in the Transportation and Commercial, Customer Experience Management (CXM), space.
If you are a subscriber to TechSectorViews, download the Conduent in the UK – A Company snapshot report today. If you don’t have a subscription and would like to gain access the report and our other research and services, please contact Deb Seth.
Posted by Marc Hardwick at '10:29' - Tagged: transport bps report newresearch CX
If you are a TechMarketView or UKHotViews Premium subscriber, you can access the full UKHotViewsExtra article now: Breakthrough year driving growth at bolder Pulsant.
Posted by Kate Hanaghan at '09:30' - Tagged: results cloud networking
The telecoms industry’s Joint Alliance for CSR (Corporate Social Responsibility) has called on suppliers to work together to reduce greenhouse gas (GHG) emissions across the industry, highlighting in particular the contribution of Scope 3 emissions.
In UKHotNewsExtra - Cutting carbon across the telco supply chain (and beyond) subscribers to TechMarketView research services can learn about why the telecoms industry is focusing on its Scope 3 emissions, and how some suppliers are leveraging their position as the digital backbone in their customers’ businesses to build out services that help such customers measure their own carbon impact and make energy (and cost) savings to boot.
If you are a TechMarketView subscriber you can access the research now: UKHotViewsExtra - Cutting carbon across the telco supply chain (and beyond). If you are not yet a subscriber, or are unsure if your organisation has a corporate subscription, please contact Deb Seth to find out more.
Posted by Craig Wentworth at '10:24' - Tagged: telcoms Scope 3 telco JAC
Business process services (BPS) player Capita continues its return to growth with outgoing CEO Jon Lewis (Capita CEO to retire) pointing to an “acceleration in financial performance” in H1. Adjusted revenue for the group ticked up 5.8% YoY to £1,402.4m (H1 2022: £1,326m), underpinned by an improving picture at the firm’s Experience division.
Capita now operates through two main divisions. Capita Public Service grew revenue by 2.4% to £731m helped by growth in its Royal Navy training contract and additional volumes in its Personal Independence Payments contract with the DWP offset by attrition within Local Government and reductions in the Northern Ireland teachers’ tech contract. Capita Experience appears to have turned a corner, with revenue growing 9% to £617.6m, benefiting from its Virgin Media O2 renewal and a commercial settlement in its Life & Pensions business.
TechMarketView clients, including subscribers to UKHotViews Premium can read the extended article here Capita grows on improving Experience. If you do not currently have access to this UKHotViewsExtra but would like learn more, please contact Deb Seth for more information.
Posted by Marc Hardwick at '09:20' - Tagged: results
DXC Technology reported its Q1 earnings last night, revealing that it was revising its outlook downwards for the year ahead, having missed its targets by a significant margin. DXC’s global revenue for the three months ended 30 June 2023 was down 7% at $3.45bn. Meanwhile, on an organic basis (taking account of DXC’s divestments) revenue was down by 3.6% reflecting a deterioration on the same time last fiscal when the decline was 2.6%. Net income was just $42m compared to $103m in Q1 FY23.
Revenue from Global Business Services (GBS) fell by 3.1% to $1.7bn in Q1 but grew by 3.3% on an organic basis. Meanwhile, Global Infrastructure Services (GIS) revenue fell sharply and was down by 10.6% at $1.74bn. On an organic basis GIS was down by 9.9% with the decline accelerating in Q1 FY24 compared to the same period last year when revenue was down by 7.2%. These latest results emphasise what has been apparent for some time, that many of DXC’s major revenue challenges relate to its GIS business. Meanwhile, GBS is performing fairly well, despite the tough climate, and this segment continues to show encouraging signs.
After six years of declines, DXC’s leadership had been heralding FY24 as the point at which the company’s long-awaited “pivot” would start to become apparent. As recently as May this year, CEO Mike Salvino was predicting better times ahead whilst the outgoing CFO forecasted that organic revenue would fall by between 1% and 2% in Q1, with the company expected to move into organic revenue growth by the end of the fiscal. DXC’s revised guidance now indicates that declines are expected to continue throughout FY24 with revenue predicted to be down by up to 4% at the year-end.
Alongside new CFO, Rob Del Bene, Salvino endured some uncharacteristically probing questions during last night’s earnings call, with the investment community apparently surprised and disappointed by DXC’s start to its new fiscal. Amongst other things, the analysts in attendance sought answers to why DXC’s position had deteriorated so rapidly from the guidance issued just last quarter, and whether or not the departure of the company’s former CFO, Ken Sharp, had contributed in any way to the unexpected miss.
Salvino was, as ever, robust in defence of his strategy, and also dismissed any suggestion that the CFO handover had led to DXC taking its eyes off the fiscal road ahead. To be fair to Salvino and DXC, there are other leading technology vendors that have recently been forced to revise their future guidance down sharply. Both Accenture and Infosys have found themselves in a similar position to DXC, in the face of the wider economic malaise and challenging market conditions that have led to contract delays and a sharp downturn in demand.
Cloud and ITO, and Modern Workplace are the offering areas that present particular challenges for DXC. The first of these perhaps because DXC’s leadership has steadfastly pinned a great deal of (as yet unrealised) value on the potential in this legacy operation. The thinking being that physical IT estates still need maintaining and will eventually need transforming. Secondly, the Modern Workplace offering saw its revenue peak during the pandemic and lockdown(s) but has subsequently been in decline, in part because many employees have returned to the office (albeit on a reduced part-time basis).
Despite the longstanding drag on performance coming from GIS, Salvino also batted away suggestions from the floor last night that DXC might consider divesting its underperforming units. Publicly at least, DXC’s CEO does not appear to want to go down the path taken by vendors such as IBM (Kyndryl) and more recently Atos (Eviden/Tech Foundations) in order to free its balance sheet of its “problem children”. Salvino appears to firmly believe that the temporary headwinds in the macro economy, coupled with one or two internal issues still to be ironed out, mean that DXC can still turn the corner and prosper in its current form.
Whatever the future holds for DXC in structural terms, the success of GBS reflects the company’s likely path to sustainable growth. Within DXC’s overall business mix, the services that are most in demand in the market are predominantly provided by this segment. By way of an example, Salvino last night emphasised his belief that DXC has the potential to be a leader in automation and AI (currently two of the hottest tickets in enterprise IT). Meanwhile, on the evidence of last night, it looks like investors may have to maintain their faith in the programme and will need to wait a little longer before DXC pivots to profitable growth.
Posted by Jon C Davies at '12:21' - Tagged: DXC
DXC Technology has reported its latest Q1 earnings, revealing that it has revised its outlook downwards for the year ahead, having missed its targets by a significant margin. DXC’s global revenue for the three months ended 30 June 2023 was down 7% at $3.45bn. Meanwhile, on an organic basis (taking account of DXC’s divestments) revenue was down by 3.6%. This reflects a deterioration on the same time last fiscal when the decline was 2.6%. Net income was just $42m compared to $103m in Q1 FY23.
TechMarketView clients, including subscribers to UKHotViews Premium can learn more by downloading Has DXC Technology Reached a Fork in the Road? This UKHotViewsExtra examines DXC's latest results in more detail and discusses the company's performance in the context of the wider market, as well as its longer term prospects. If you do not currently have access to this UKHotViewsExtra but would like learn more, please contact Deb Seth for more information.
Posted by Jon C Davies at '10:38' - Tagged: DXC
