Whitelane Research published last week the findings of a survey of 350 organisations in Denmark, Finland, Iceland, Norway, and Sweden. They signed over 1,000 IT outsourcing deals last year, with a total combined value of 4.5 billion euros.
Over 100 of the top IT spending Nordic organisations intend to outsource more of their technology operations in the future.
Increased outsourcing was on the cards for 40 percent of respondents, who said it was the best way to cut costs. Any outsourced IT jobs would most likely move offshore.
"Some providers (in particular, local Scandinavian vendors) will have to work on further developing their global service delivery capabilities in order to remain competitive with these cost reduction requirements," Whitelane said in the report.
Tata Consultancy Services (TCS) and HCL shared the number one ranking for service provider satisfaction. The top five was rounded out by Indian companies Cognizant, Infosys, and Mahindra Satyam. There were almost 30 percentage points difference between the first and last ranked providers.
"The results reveal that service providers can increase satisfaction levels while focusing on being more proactive and creative in order to meet the request for further cost savings," the report said.
About 280 companies renewed their existing contracts last year, and of these about 40 percent renegotiated the value of their contracts. In 93 percent of these cases, they successfully negotiated for cheaper services.