New IDC MarketScape Provides a Vendor Assessment of the Comprehensive Human Resource BPO Outsourcing Market

FRAMINGHAM, Mass. – January 5, 2010 – IDC has released a new MarketScape report profiling and ranking the leading providers in the worldwide HR business process outsourcing (BPO) market. IDC MarketScape vendor analysis reports utilize a rigorous scoring methodology that produces a definitive assessment of each vendor’s current market capabilities and strategies for competing in the future.

IDC MarketScape: Worldwide HR BPO 2009 Vendor Analysis (IDC #221082), evaluates the offerings and prospects of 10 vendors' relative capabilities across 26 dimensions. These providers were evaluated using specific criteria that IDC identified as key factors contributing to vendor success in the worldwide HR BPO market. The results were used to create a graphical representation of the market based on each service provider's current capabilities and future strategies. The vendors included in the analysis are Accenture, Affiliated Computer Services, Automatic Data Processing, Ceridian, Convergys, Hewitt, IBM, Infosys, NorthgateArinso, and Tata Consultancy Services.

This analysis revealed that opportunities for vendor improvement include advancing the scalability of services to increase financial viability and bringing more innovation to the marketplace. Additionally, some service providers are exploring hybrid services, where the buyer and provider can decide what is on premise, what is hosted or SaaS, what services are retained, and what is fully outsourced.

The IDC MarketScape methodology placed IBM in the "Leaders" category with a number of vendors in hot pursuit as “Major Players”, including Accenture, ADP, and NorthgateArinso. IBM’s strengths include the completeness of its HR services portfolio, reputation, strength in consulting, and continuity of management leadership. Key strengths of the overall field of providers include the depth and breadth of their offerings, using what they sell to get a sense of the client perspective, and good cost saving track records.

"Several factors are emerging as being most influential in predicting success among HR BPO vendors,” says Lisa Rowan, program director, HR, Talent, and Learning Strategies for IDC. "Having a robust catalogue of services offerings, platform sustainability underlying the services, proven success at cost savings, and consulting and subject-matter expertise are all key deciding factors for buyers."

About IDC MarketScape

IDC MarketScape vendor analysis model is designed to provide an overview of the competitive fitness of ICT (information and communications technology) suppliers in a given market. The research methodology utilizes a rigorous scoring methodology based on both qualitative and quantitative criteria that results in a single graphical illustration of each vendor’s position within a given market. IDC MarketScape provides a clear framework in which the product and service offerings, capabilities and strategies, and current and future market success factors of IT and telecommunications vendors can be meaningfully compared. The framework also provides technology buyers with a 360-degree assessment of the strengths and weaknesses of current and prospective vendors.

About IDC

IDC is the premier global provider of market intelligence, advisory services, and events for the information technology, telecommunications, and consumer technology markets. IDC helps IT professionals, business executives, and the investment community make fact-based decisions on technology purchases and business strategy. More than 1,000 IDC analysts provide global, regional, and local expertise on technology and industry opportunities and trends in over 100 countries. For more than 45 years, IDC has provided strategic insights to help our clients achieve their key business objectives. IDC is a subsidiary of IDG, the world's leading technology media, research, and events company. You can learn more about IDC by visiting www.idc.com.

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