ACV down slightly for the year on weaker than typical 4Q results. Number of mega relationship contracts up for 2012, lifting ACV when overall contract numbers were down. BPO expanded on several large deals while ITO performance was off for 2012. Asia Pacific surged in 2012 while EMEA struggled on a weak first half. Guarded optimism for 2013 with a possible slowdown second quarter.

1. The TPI EMEA Index
EMEA Outsourcing Market Data and Insights
Fourth Quarter and Full Year 2012
Hosted by:
John King
Barclays Capital
17 January 2013

2. 2
Welcome to the 41st Quarterly Outsourcing Index Review
Covering the state of the outsourcing industry for EMEA and global, commercial
contracts.
John Keppel Dr. David Howie
President & Chief Partner
Marketing Officer
Bernd Schaefer
Partner
© 2013
Information
Services Group, Inc.
All Rights Reserved
isg-one.com
*Contracts with ACV > €4M

3. 3
“
At A Glance
ACV DOWN SLIGHTLY FOR THE YEAR ON WEAKER THAN TYPICAL 4Q RESULTS
NUMBER OF MEGA RELATIONSHIP CONTRACTS UP FOR 2012,
LIFTING ACV WHEN OVERALL CONTRACT NUMBERS WERE DOWN
BPO EXPANDED ON SEVERAL LARGE DEALS WHILE
ITO PERFORMANCE WAS OFF FOR 2012
EMEA STRUGGLED ON A WEAK FIRST HALF WHILE ASIA PACIFIC SURGED IN 2012
GUARDED OPTIMISM FOR 2013 WITH A POSSIBLE SLOWDOWN SECOND QUARTER
“
4Q12 4Q Y/Y 4Q Q/Q 2012 2012 Y/Y
Scorecard ACV (€B)* Change Change ACV (€B)* Change
Global Market € 3.8 -27% -11% € 16.9 -3%
New Scope € 2.5 -24% -12% € 11.2 -1%
Restructurings € 1.3 -31% -8% € 5.8 -5%
Mega-relationships € 0.9 -50% -24% € 4.6 7%
ITO € 2.3 -37% -18% € 10.6 -11%
BPO € 1.5 -1% 5% € 6.3 14%
Americas € 1.3 -28% -9% € 6.2 -3%
© 2013
Information EMEA € 2.1 -29% -6% € 8.2 -12%
Services Group, Inc.
All Rights Reserved Asia Pacific € 0.4 0% -34% € 2.5 55%
isg-one.com *See Appendix for TCV Scorecard
*Contracts with ACV > €4M

4. 4
Global Market Contract Award Trends
ACV was down 27% Y/Y and 11% Q/Q on a strong 3Q and as the industry paused
due to the US Election. For the full year, ACV of €16.9B was down 3% from 2011.
Global Market ACV (€B)*
1Q to 3Q 4Q Prior 5 Yr Annual Avg
€ 16.8 € 17.5 € 17.4 € 16.9
€ 12.2 € 12.6 € 13.6 € 12.1 € 13.0 € 14.4 € 5.8 € 4.5 € 3.8
€ 3.6 € 5.2
€ 3.6 € 3.0 € 4.2 € 3.2 € 4.7
€ 10.7 € 11.0 € 13.0 € 12.2 € 13.1
€ 8.6 € 9.5 € 9.3 € 8.8 € 8.4
2003 04 05 06 07 08 09 10 11 2012
Global Market Counts*
Counts Prior 5 Yr Avg
1,163
972 977 1,006
506 539 524 593
596 744
© 2013
Information
Services Group, Inc.
All Rights Reserved 2003 04 05 06 07 08 09 10 11 2012
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*Contracts with ACV > €4M

5. 5
Global Market Contract Trends for the Largest Deals
34 Mega-relationships were awarded in 2012, up 36%. Restructuring activity is
prevalent in large deals for the third straight year.
Mega-relationship Contracts - ACV > € 80M
1Q to 3Q 4Q Prior 5 Yr Annual Avg
€ 5.7 € 5.6
€ 5.2 € 5.1
€ 4.8 € 4.6 € 4.6 € 4.6
€ 4.1 € 4.2
€ 1.1 € 2.1
€ 1.4 € 1.2 € 1.0 € 1.8 € 0.9
€ 2.7
€ 2.0 € 1.9
€ 3.4 € 4.1 € 3.6 € 3.4 € 3.6 € 3.8 € 3.6
€ 2.4 € 2.1 € 2.4
2003 04 05 06 07 08 09 10 11 2012
Mega-relationship Counts Mega-relationship New/Restructured ACV
1Q to 3Q 4Q New Scope Restructuring
36 37 36
33 34
30 31 29 31
10 11 € 3.0 € 3.2
15 5 8
7 15 8 25
14 € 2.4 € 2.5
12
26 25 26 26 € 2.4
23 22 23 € 1.8 € 2.0
18 15 € 1.8
13
© 2013
Information
Services Group, Inc.
All Rights Reserved
2003 04 05 06 07 08 09 10 11 2012 2003 04 05 06 07 08 09 10 11 2012
isg-one.com
*Contracts with ACV > €4M

6. 6
EMEA Contract Award Trends
EMEA ACV was down 29% Y/Y and 6% Q/Q. For the full Year, ACV was down 12% on
lighter contracting activity.
EMEA ACV (€B)*
1Q to 3Q 4Q Prior 5 Yr Annual Avg
€ 9.3
€ 8.1 € 8.6 € 8.2
€ 7.8
€ 6.3 € 5.6 € 1.5 € 2.8 € 3.0 € 2.1
€ 5.6 € 5.5 € 3.6
€ 4.8
€ 2.0
€ 1.8 € 1.6 € 1.8
€ 1.5
€ 6.3 € 5.9 € 6.4 € 6.1
€ 3.8 € 3.9 € 4.3 € 3.9 € 4.5
€ 3.3
2003 04 05 06 07 08 09 10 11 2012
EMEA Counts EMEA New and Restructured ACV ($B)*
Counts Prior 5 Yr Avg New Scope Restructured
525 € 6.8
431 432 443 € 5.8 € 5.8 € 5.8 € 5.4
€ 4.6 € 4.7
231 226 256 337 € 3.6
215 247 € 2.9 € 2.8
€ 2.0
€ 1.0 € 0.9 € 1.3
© 2013
Information
Services Group, Inc. 2003 04 05 06 07 08 09 10 11 2012 2003 04 05 06 07 08 09 10 11 2012
All Rights Reserved
isg-one.com
*Contracts with ACV > €4M

7. 7
EMEA ITO Contract Award Trends
ITO ACV was down 48% Y/Y and 20% Q/Q. Full Year ITO ACV was at its lowest level
since 2007
EMEA ITO ACV (€B)*
1Q to 3Q 4Q Prior 5 Yr Annual Avg
€ 7.3 € 7.0
€ 6.5
€ 6.0
€ 5.0 € 2.5 € 5.1
€ 4.4 € 4.1 € 1.3 € 2.7 € 2.3
€ 4.0 € 1.2
€ 1.3 € 3.3
€ 1.5 € 1.2 € 0.9
€ 1.2 € 4.7 € 4.8 € 4.7
€ 3.0 € 3.7 € 3.1 € 3.8 € 3.9
€ 2.9 € 2.1
2003 04 05 06 07 08 09 10 11 2012
EMEA ITO Counts* Top 15 EMEA ITO Providers
by 2012 ACV Awarded*
Counts Prior 5 Yr Avg
Accenture HP
377 Atos IBM
328 314 302 BT Infosys
166 162 244 Capgemini Mahindra Satyam
154 155 169
CSC Tata
France Telecom T-Systems
© 2013
Information
Fujitsu Wipro
Services Group, Inc. 2003 04 05 06 07 08 09 10 11 2012 HCL
All Rights Reserved
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*Contracts with ACV > €4M

8. 8
EMEA BPO Contract Award Trends
BPO ACV was grew 28% Y/Y and Q/Q. For the full year, ACV was up 35% because of
several large contract awards
EMEA BPO ACV (€B)*
1Q to 3Q 4Q Prior 5 Yr Annual Avg
€ 3.1
€ 2.3 € 0.9
€ 1.7 € 1.8
€ 1.5 € 1.6 € 0.7
€ 1.2 € 1.3 € 1.3 € 0.2 € 1.3
€ 0.3 € 0.9 € 0.8 € 0.3
€ 0.3 € 0.4 € 0.7 € 2.2
€ 1.6 € 1.6
€ 0.9 € 0.9 € 1.2 € 1.0
€ 0.7 € 0.8 € 0.8
2003 04 05 06 07 08 09 10 11 2012
EMEA BPO Counts* Top 16 EMEA BPO Providers
by 2012 ACV Awarded*
Counts Prior 5 Yr Avg
148 Accenture Jones Lang LaSalle
141
118 Capgemini Mahindra Satyam
103 CGI MITIE
101 93 Genpact Mouchel Group
69 72 78 HP Serco
49 Interserve Sodexho Alliance
© 2013
Information
ISS Global Tata
Services Group, Inc. 2003 04 05 06 07 08 09 10 11 2012 Johnson Controls Xchanging
All Rights Reserved
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*Contracts with ACV > €4M

9. 9
EMEA Country Details in Contract Award Trends
Large deal awards in the UK fuelled growth in the UK while DACH failed to reach its
5-year average.
Sub-regions for EMEA - ACV (€B)*
Prior 5 Year Range Prior 5 Year Avg 2011 2012
€ 4.0
€ 3.66
€ 3.5
€ 3.0 € 3.08
€ 2.5
€ 2.09
€ 2.0
€ 1.61
€ 1.5
€ 1.02
€ 1.0 € 1.04 € 1.05
€ 0.86 € 0.78
€ 0.62 € 0.59
€ 0.5
€ 0.38
€ 0.26 € 0.27 € 0.14
€ 0.08
© 2013
€ 0.0
Information UK & Ireland DACH Scandinavia Benelux France Southern Africa & Middle E. Europe &
Services Group, Inc. Europe East Russia
All Rights Reserved
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*Contracts with ACV > €4M

10. 10
EMEA Industry Details in Contract Award Trends
The Financial Services Sector recovery continued in 2012, aided by some large BPO
contract awards
Industry Details for EMEA - ACV (€B)*
Prior 5 Year Range Prior 5 Year Avg 2011 2012
€ 3.5
€ 3.0 € 2.92 € 2.88
€ 2.68
€ 2.5
€ 2.0
€ 1.78
€ 1.5
€ 1.15
€ 1.0 € 0.99
€ 0.91
€ 0.80 € 0.67
€ 0.60
€ 0.5 € 0.51
€ 0.42
€ 0.34 € 0.34
€ 0.28 € 0.26
€-
© 2013 Financial Manufacturing Energy Telecom & Travel, Business Retail Healthcare &
Information Services Media Transport, Services Pharma
Services Group, Inc.
All Rights Reserved
Leisure
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*Contracts with ACV > €4M

11. 11
EMEA Public Sector Analysis
The UK Public Sector accounted for 85% of the EMEA Public Sector values and
remains the largest single outsourcing market outside of the U.S.A.
UK Public Sector Share of the UK Public Sector vs.
EMEA Public Sector Market Commercial Sector Market
Share
2012 ACV (€ B)* 2012 ACV (€ B)*
UK Public Sector UK Public Sector
Other EMEA Public Sector UK Commercial Sector
€ 0.9
16%
€ 3.7
€ 4.4
45%
55%
€ 4.4
84%
© 2013
Information
Services Group, Inc.
All Rights Reserved
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*Contracts with ACV > €4M

12. 12
Public Sector Top 10 Service Providers
The Top 10 Service Providers List, based on ACV awarded in 2012, for contracts over
€4 million in annual contract value, shown in alphabetical order.
Top 10 Top 10
UK Public Sector Other EMEA Public Sector
Atos Accenture
BT Asseco Poland
Capgemini Atkins (WS)
Capita BT
Carillion CGI
CGI Group Evry
CSC Getronics
HP IBM
Serco Sygnity
Virgin Media Business T-Systems
Note: Service providers in alphabetical order; no rankings implied
© 2013 Placements based on UK Public Sector contract awards sourced from ISG contracts database
Information
Services Group, Inc.
All Rights Reserved
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*Contracts with ACV > €4M

13. 13
Americas Contract Award Trends
Americas ACV was down 28% Y/Y and 9% Q/Q. Full year ACV was down 3%.
Americas ACV (€B)*
1Q to 3Q 4Q Prior 5 Yr Annual Avg
€ 7.1
€ 6.6 € 6.5 € 6.3
€ 5.9 € 5.7 € 6.0 € 6.0 € 0.9
€ 5.4
€ 4.9 € 1.7 € 1.8 € 1.4
€ 1.4 € 1.2 € 1.6 € 1.5
€ 2.2 € 1.4
€ 6.2
€ 4.5 € 4.5 € 4.4 € 4.6 € 4.9 € 4.7 € 4.9
€ 3.2 € 3.4
2003 04 05 06 07 08 09 10 11 2012
Americas Counts* Americas New/Restructuring ACV (€B)*
Counts Prior 5 Yr Avg New Scope Restructured
512
€ 4.7 € 4.9 € 4.5
417 428 429 € 4.1 € 4.3 € 4.0 € 3.9 € 4.3
€ 3.4 € 3.5
265 271 315
246 245 € 2.8
232 € 1.8 € 2.0 € 2.1 € 1.9 € 2.2 € 2.0
€ 1.4 € 1.5
€ 1.1
© 2013
Information
Services Group, Inc. 2003 04 05 06 07 08 09 10 11 2012 2003 04 05 06 07 08 09 10 11 2012
All Rights Reserved
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*Contracts with ACV > €4M

14. 14
Asia Pacific Contract Award Trends
Although Asia Pacific ACV was flat Y/Y and down 34% Q/Q, 2012 ACV grew 55% to
signal the region’s best ever year
Asia Pacific ACV (€B)*
1Q to 3Q 4Q Prior 5 Yr Annual Avg
€ 2.5
€ 1.9 € 2.0 € 0.4
€ 1.4 € 1.7 € 1.8 € 1.6
€ 1.2 € 1.2 € 0.5
€ 0.7
€ 0.3 € 0.7 € 0.9 € 0.4
€ 0.7 € 0.6
€ 0.3 € 2.1
€ 0.3 € 1.3 € 1.5 € 1.2
€ 1.2 € 0.9 € 1.0 € 0.9
€ 0.4 € 0.6
2003 04 05 06 07 08 09 10 11 2012
Asia Pacific Counts* Asia Pacific New/Restructuring ACV (€B)*
Counts Prior 5 Yr Avg New Scope Restructured
€ 2.2
126 134
124 117
€ 1.6 € 1.5 € 1.5
€ 1.3
€ 1.1 € 1.1
92 € 0.9
78 € 0.7
76 72 € 0.6 € 0.5 € 0.5 € 0.6
45 53 € 0.3 € 0.3 € 0.5 € 0.4 € 0.3
€ 0.1 € 0.2
© 2013
Information
Services Group, Inc. 2003 04 05 06 07 08 09 10 11 2012 2003 04 05 06 07 08 09 10 11 2012
All Rights Reserved
isg-one.com
*Contracts with ACV > €4M

15. 15
Key Short-term Trends in Sourcing for 2013 and Beyond
U.S. G201-500 Companies Recent Emerging Markets to
Sourcing Adoption Rate Expands Continue their Increasing
Large Deal Potential for Providers Impact on Sourcing ACV
ACV Change from 2007
$ $$$
Adoption
$ $$ Rate
$ +150%
2010 32% 2012 +100%
LatinAm China
and Mexico and India
BPO Expansion Continues
with Industry Specific Solutions
Leading the Way
BPO ACV Change from 2010
+60%
$
© 2013
Information
Services Group, Inc.
All Rights Reserved
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*Contracts with ACV > €4M

16. 16
Disruptive Technologies Shape Long-term Industry Trends
Four disruptive technology trends impact enterprises today and shape long-term
industry trends: Mobility, Social Media, Cloud Computing, and Big Data.
Social Media
Collaboration
Mobility
Cloud
Computing & Storage
© 2013
Big Data/Analytics
Information
Services Group, Inc.
All Rights Reserved
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*Contracts with ACV > €4M

17. 17
4Q12 TPI Index Summary and Outlook
 4Q Global ACV underperformed that of 3Q, yet 2012
performance nearly met 2011 levels
 Fewer contracts were awarded globally for 2012, but
Mega-relationships supported the market value
market
summary  BPO ACV and Asia Pacific ACV helped lift the global market for
2012
 EMEA ACV fell Q/Q and finished the year down almost 30%
compared to 2011, pulled down by the lowest ITO annual
values in five years and an overall decline in contract numbers
 Contract push-out and lingering fiscal uncertainties in both the
U.S. and Europe could make for a softer first half in 2013
market  Outlook for 2013 ACV awards is one of cautious optimism
outlook  Market growth, in terms of Annualised Revenue, is projected
to be 3 - 4% in 2013
© 2013
Information
Services Group, Inc.
All Rights Reserved
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*Contracts with ACV > €4M

18. 18
Learn More
Please contact us with your questions and comments.
► John Keppel
President & Chief Marketing Officer
+44 7879 432 212
john.keppel@isg-one.com
--- Media Contacts ---
► Denise Colgan ► Louise Fernley
Marketing Director, EMEA, ISG Cohn & Wolfe for ISG
+44 1737 371523 +44 207 331 5365
denise.colgan@isg-one.com louise.fernley@cohnwolfe.com
© 2013
Information
Services Group, Inc.
All Rights Reserved
isg-one.com blog.isg-one.com
*Contracts with ACV > €4M

19. Fourth Quarter and Full Year 2012

20. 20
4Q12 TCV Scorecard
The TPI Index has moved to ACV as the primary measure of the Broader Market. In
transition, we will continue to provide a high-level TCV view of the market via a
Scorecard analysis.
4Q12 4Q Y/Y 4Q Q/Q 2012 2012 Y/Y
Scorecard TCV (€B)* Change Change TCV (€B)* Change
Global Market € 18.7 -33% -10% € 79.2 -9%
New Scope € 12.6 -31% -6% € 53.0 -9%
Restructurings € 6.1 -35% -16% € 26.3 -10%
Mega-deals € 2.4 -78% -59% € 16.0 -34%
ITO € 11.2 -40% -16% € 50.1 -15%
BPO € 7.4 -17% 3% € 29.2 1%
Americas € 6.2 -24% -16% € 30.0 0%
EMEA € 10.2 -40% -4% € 38.9 -22%
Asia Pacific € 2.3 -7% -13% € 10.4 31%
© 2013
Information
Services Group, Inc.
All Rights Reserved
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*Contracts with ACV > €4M

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