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Impact of the Service-Oriented Architecture on IT Outsourcing

August 2007
Soumit Banerjee, Shiraz Ritwik, Ross Tisnovsky
ID: ERI-2007-4-R-0139
42 pages

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Introduction

Service-Oriented Architecture (SOA) is a rapidly emerging solution for linking business processes to underlying IT systems. Depending on the speed of adoption, SOA can present fundamental challenges and opportunities to buyers and suppliers of IT outsourcing.

Most outsourcing suppliers are taking notice, but their approaches to SOA inclusion in their offerings vary significantly. This report seeks to explain SOA implementation approaches in the context of their role in IT outsourcing and explores the challenges and opportunities for the industry.

Scope

  • Overview of the SOA concept and analysis of the SOA technologies and implementation approaches
  • Analysis of SOA’s role in ITO today and its likely effect on the outsourcing industry of the future

Contents

This report seeks to explain SOA implementation approaches in the context of their role in IT outsourcing and explores the challenges and opportunities for the industry. Key Insights are divided into four categories: SOA basics, SOA implementation approaches, SOA role in IT outsourcing and SOA challenges and opportunities. Each category contains 4-6 key trends, which are discussed in detail (and illustrated with supporting data and analysis) to provide the reader information in easy-to-apply, bite-size pieces.

For example, SOA role in IT outsourcing is sub-divided into the following:

  • Suppliers approach SOA from variety of viewpoints with a varying degree of adherence to SOA concepts, including: Buyer lock-in, Client-specific SOA, Defend the franchise, Enable scale, Application integration
  • In spite of suppliers viewing SOA in a variety of ways, one common aspect of SOA is evident – suppliers are taking notice. Many outsourcing suppliers invested significantly in developing SOA capabilities and signing up large SOA deals

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