Global ACV down slightly for the year. 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 in the second quarter.

1. The Asia Pacific TPI Index
Full Year and Second Half 2012
Hosted by:
Nimish Joshi
CLSA
30 January 2013

2. 2
Welcome to the 13th Semi-Annual Asia Pacific TPI Index Call
Covering the state of the outsourcing industry for global, commercial contracts.*
Sid Pai Gerry Clark
Partner and President, Partner,
Asia Pacific Asia
Dinesh Goel Tom McCormack
Partner, Partner,
India Australia & New Zealand
© 2013
Information
Services Group, Inc.
All Rights Reserved
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*Contracts with ACV ≥ $5M

3. 3
Refocusing on ACV as the Primary Measure of the Market
An ACV-based analysis of the market will avoid masking the effects of declining
contract durations on TCV.
TCV Change Over Time ACV Change Over Time
2003 - 2012 2003 - 2012
Growth since 2003 = 10% Growth since 2003 = 39%
$99.1 $21.2
$89.8
$15.2
2003 04 05 06 07 08 09 10 11 2012 2003 04 05 06 07 08 09 10 11 2012
© 2013
Information
Services Group, Inc.
Typical Annual ACV* = $20 B
All Rights Reserved Contract duration has shifted from 6 years in 2003 to 4.9 years in 2012
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*Contracts with ACV ≥ $5M

4. 4
“
At A Glance
GLOBAL ACV DOWN SLIGHTLY FOR THE YEAR
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 IN THE SECOND
“
QUARTER
2012 2012 Y/Y 2012 2012 Y/Y 2H12
Scorecard ACV ($B)* Change Counts Change ACV ($B)*
Global Market $ 21.2 -3% 1,006 -13% $ 10.1
New Scope $ 14.0 -1% 748 -15% $ 6.7
Restructurings $ 7.2 -5% 258 -8% $ 3.4
Mega-relationships $ 5.7 7% 34 36% $ 2.7
ITO $ 13.3 -11% 652 -11% $ 6.5
BPO $ 7.9 14% 354 -18% $ 3.6
© 2013 Americas $ 7.9 -3% 429 -16% $ 3.4
Information
Services Group, Inc. EMEA $ 10.2 -12% 443 -16% $ 5.4
All Rights Reserved
Asia Pacific $ 3.1 55% 134 6% $ 1.3
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*Contracts with ACV ≥ $5M

5. 5
Global Market Contract Award Trends
For the full year, ACV of $21.2 was down 3% from 2011 but ahead of the five year
average.
Broader Market ACV ($B)*
1H ACV 2H ACV
_ Prior 55 Year Avg Avg
Prior Yr Annual
$20.9 $21.9 $21.8 $21.2
$16.9 $16.3 $18.0
$15.2 $15.7 $15.1 $19.8
$11.4 $10.1 $11.9 $10.1
$7.3 $8.7 $8.4
$8.5 $6.6 $8.8
$8.4 $8.4 $9.5 $9.6 $11.8 $9.9 $11.1
$6.7 $8.2 $7.5
2003 04 05 06 07 08 09 10 11 2012
Broader Market Counts
Counts Prior 5 Yr Avg
1,163
972 977 1,006
744
506 539 524 593 890
596
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*Contracts with ACV ≥ $5M

6. 6
Regional Comparison of Full Year Contract Trends
Asia Pacific was the only region to show market growth in 2012, while the Americas
market was flat and EMEA struggled.
Full Year ACV ($B)* Compare Full Year Contract Counts Compare
Americas EMEA Asia Pacific Americas EMEA Asia Pacific
$11.7 525
$10.2 512 429
443
$7.9
$7.4
$7.0 $8.1 246
$3.1 215
126 134
$2.0
$0.9 45
2003 04 05 06 07 08 09 10 11 2012 2003 04 05 06 07 08 09 10 11 2012
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*Contracts with ACV ≥ $5M

7. 7
Asia Pacific Contract Award Trends
With ACV of more than $3B awarded, Asia Pacific had its best year ever in 2012 -
55% ahead of 2011 totals and comfortably ahead of the five year average.
Full Year Asia Pacific ACV ($B)*
1H ACV 2H ACV Prior 5 5 Year Avg Avg
Prior Yr Annual
$3.13
$2.42 $2.53 $1.3
$2.12 $2.22 $2.02
$1.76 $2.3
$1.48 $1.49 $1.3 $1.2
$0.7 $1.4 $1.6 $1.0
$0.85 $0.5
$1.1 $1.83
$0.5 $1.08 $0.97 $1.16 $1.28 $1.04
$0.32 $0.43 $0.67 $0.67
2003 04 05 06 07 08 09 10 11 2012
Full Year Asia Pacific ACV ($B)* by Bands Full Year Asia Pacific Count
$5 - 99M $100M + $5 - 99M $100M +
2 5
2
3
$1.0
$0.3 4
$0.7 $0.3 5 3 7
$1.2 $0.6
$0.7 3 122 124 129
1 114
$0.5 $0.3 $2.2 88
$2.1
$0.1 $1.5 $1.6 $1.7 71 69 71
© 2013 $1.1 $1.0 $1.1 $1.3 44 50
Information $0.8
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
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*Contracts with ACV ≥ $5M

8. 8
Asia Pacific New Scope & Restructuring Trends
New Scope awards made up 88% of the market in 2012 as the region saw the end
of a three year cycle of restructurings.
Full Year Asia Pacific New Scope ACV ($B)*
1H ACV 2H ACV Prior 5 5 Year Avg Avg
Prior Yr Annual $2.75
$1.95
$1.90 $1.88 $1.61 $1.7 $1.73
$1.36 $1.33
$1.14 $1.0 $1.1
$0.5 $0.85 $1.3 $0.5
$0.70 $1.1
$0.8 $0.4
$0.4 $0.9 $0.9 $0.8 $0.8 $1.0
$0.3 $0.3 $0.4 $0.6 $0.6
2003 04 05 06 07 08 09 10 11 2012
Full Year Asia Pacific Restructuring ACV ($B)*
1H ACV 2H ACV Prior 5 Yr Annual Avg
$0.65 $0.70
$0.64 $0.61
$0.5
$0.11 $0.48 $0.19
$0.40 $0.38
$0.34 $0.50
$0.24 $0.23 $0.49 $0.09
$0.15 $0.20 $0.52
$0.26 $0.46
© 2013 $0.24 $0.12 $0.30
Information $0.14 $0.20 $0.10 $0.12 $0.20
$0.02 $0.08
Services Group, Inc.
All Rights Reserved 2003 04 05 06 07 08 09 10 11 2012
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*Contracts with ACV ≥ $5M

9. 9
Asia Pacific Market Details in Contract Award Trends
On the back of very large deals’ACV in India increased substantially making this the
largest market in the region overtaking ANZ, the traditional market leader
Full Year Asia Pacific ACV ($B)* by Market
Prior 5 Period Range Prior 5 Year Avg 2011 2012
$1.6
$1.46
$1.4
$1.2
$1.13
$1.0
$1.06
$0.8
$0.69 $0.71
$0.6
$0.53
$0.4 $0.40
$0.21 $0.32
$0.2 $0.21 $0.16
$0.12 $0.10 $0.13 $0.04
$0.10 $0.05
$0.0 $0.01
© 2013
ANZ India and South Asia Japan ASEAN Greater China South Korea
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*Contracts with ACV ≥ $5M

10. 10
Asia Pacific Industry Segment Contract Trends – ACV ($B)
Though traditionally the market leader, the Financial Services sector now ranked 3rd
behind Telecom & Media and Manufacturing.
Full Year Asia Pacific ACV ($B)* by Industry
Prior 5 Year Range Prior 5 Year Avg 2011 2012
$1.2
$1.0 $0.99
$0.79
$0.8 $0.80
$0.67 $0.72
$0.6 $0.67 $0.69
$0.4 $0.35
$0.27 $0.25
$0.2 $0.22
$0.17 $0.15 $0.08
$0.17 $0.11 $0.03 $0.02 $0.04 $0.03
$0.12 $0.07
$- $0.01 $0.01
© 2013
Information
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All Rights Reserved
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*Contracts with ACV ≥ $5M

11. 11
Asia Pacific Industry Segment Contract Trends - Counts
While the number of contract awards in Financial Services and Telecom & Media fell
in 2012, all other sectors either increased or equalled 2011 levels.
Full Year Asia Pacific Contract Counts by Industry
Prior 5 Year Range Prior 5 Year Avg 2011 2012
50
47
45
40
35 37
30 33 24 28
25 25
23
20 19 20
15 14 15
13 14
10
11 8 7
5 9 3 5
6 2 2
0 2 1
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*Contracts with ACV ≥ $5M

12. 12
Asia Pacific ITO Contract Award Trends
ITO ACV grew 21% in 2012 as the number of contract awards reached the highest
level in the last three years.
Full Year Asia Pacific ITO ACV ($B)*
1H ACV 2H ACV Priorof Prior Avg
Avg 5 Year 5 Yrs Top Asia Pacific ITO Providers
by 2012 Contract Awards
$1.9 $2.0 $1.8 $1.7
$1.4 $1.3 $1.4
$1.7 ACV Leaders Counts Leaders
$0.9 $1.3 $0.8
$1.0 $0.9 Accenture Accenture
$0.8 $0.5 $0.4 $1.3 $0.7
$0.8
$0.6 $1.2
Capgemini Alcatel-Lucent
$0.5 $0.9 $0.9 $1.0 $0.9
$0.3 $0.5 $0.4
$0.7 Chinasoft BT
$0.3
CSC Chinasoft
2003 04 05 06 07 08 09 10 11 2012 HP Fujitsu
IBM HCL
Full Year Asia Pacific ITO Counts Infosys HP
Counts Priorof Prior Avg
Avg 5 Year 5 Yrs iSoftStone IBM
95 Mahindra Satyam Infosys
85 87
74 TCS TCS
54 53 58 62 75 Wipro
39 35
Note: Service providers in alphabetical order; no
rankings implied. Placements sourced from ISG
© 2013
Information Contracts Knowledgebase®.
Services Group, Inc.
All Rights Reserved
2003 04 05 06 07 08 09 10 11 2012
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*Contracts with ACV ≥ $5M

13. 13
Asia Pacific BPO Contract Award Trends
2012 was a stand-out year for BPO awards as the region awarded its highest ever
number of contracts ever and ACV soared by 133%.
Full Year Asia Pacific BPO ACV ($B)*
1H ACV 2H ACV Avg of Prior Avg
Prior 5 Year 5 Yrs Top Asia Pacific BPO Providers
$1.4 by 2012 Contract Awards
$0.4
ACV Leaders Counts Leaders
$0.8
$0.6 $0.6 Gen-i Fidelity
$0.5 $0.5 $0.6
$0.4 $0.6
$0.4
$0.3 $1.0
Genpact Genpact
$0.2 $0.4 $0.5 $0.2 IBM IBM
$0.2 $0.5
$0.1 $0.1 $0.2 $0.3
$0.2 $0.1 $0.1 $0.2 $0.2 $0.1 iGATE Infosys
2003 04 05 06 07 08 09 10 11 2012 Infosys Korn/Ferry
Jones Lang LaSalle Mahindra Satyam
Full Year Asia Pacific BPO Counts Mahindra Satyam Transfield Services
Sykes Enterprises Wipro
Counts Priorof Prior Avg
Avg 5 Year 5 Yrs Transfield Services
47 WNS
43 41
29
22 33
18 19 20 30 Note: Service providers in alphabetical order; no
6 rankings implied. Placements sourced from ISG
© 2013
Contracts Knowledgebase®.
Information
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All Rights Reserved 2003 04 05 06 07 08 09 10 11 2012
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*Contracts with ACV ≥ $5M

14. 14
Asia Pacific BPO Contract Award Trends by Function
Contact Center and Industry-Specific BPO lifted BPO ACV in 2012.
Asia Pacific BPO ACV ($B)* by Function 2011 vs. 2012
Prior 5 Period Range
_Avg of5Prior 5Avg
Prior Year Yrs 2011 2012
$0.77
$0.35
$0.30 $0.30
$0.25
$0.20
$0.19 $0.16
$0.12
$0.15 $0.13
$0.09 $0.11 $0.08
$0.10 $0.10
$0.06 $0.09
$0.02 $0.02 $0.06
$0.04 $0.05 $0.01 $0.04
$0.05 $0.04 $0.02
$0.03 $0.03 $0.02 $0.00
$0.00 $0.01 $0.00 $0.01 $0.01 $0.00
© 2013
Information
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All Rights Reserved
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*Contracts with ACV ≥ $5M

15. 15
Asia Pacific Outsourcing Revenue Trends
With an active contracts CAGR of 12% and annualised revenue CAGR of 6%, Asia
Pacific market shows robust performance.
Annualized Revenue &
Active Contract Trends
Annualized Revenue ($B)*
Active Contracts
636
592
356
$10.8 $11.3
$8.4
2007 2008 2009 2010 2011 2012
© 2013
2007 to 2012 Active Contracts CAGR: ↑ 12%
Information 2007 to 2012 Annualized Revenue CAGR: ↑ 6%
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All Rights Reserved
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*Contracts with ACV ≥ $5M

16. 16
Asia Pacific Market Share Comparison by Provider Category
While all Provider categories took a similar share of ITO ACV, India-heritage
providers dominated BPO values – on the back of larger deal awards.
2012 Asia Pacific Market Share by Service Provider Category
Contract Numbers and ACV of Awards
India-heritage US-heritage Others
19%
36%
8% 43%
51%
32%
9% 27%
73%
40%
30% 32%
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Information
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All Rights Reserved
BPO Counts BPO ACV ITO Counts ITO ACV
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*Contracts with ACV ≥ $5M

17. 17
Public vs. Private Sector Analysis for the Asia Pacific
Public Sector ACV accounted for 30% of the regional market.
Comparing Public and Private Sector Trends in ACV($B)*
Private Sector ACV% Public Sector ACV%
$3.13
$2.12 $2.02
$1.86 $1.57
$1.03
2008 2009 2010 2011 2012
Public Sector Percentage of All Contracts Public Sector ACV by AP Market
India and South Asia ANZ Other AP
48% 51% 3%
47% 8% 5%
13% 15%
34% 33%
40%
70% 83% 78% 81%
46%
© 2013
Information 16% 10% 17% 16%
Services Group, Inc.
All Rights Reserved 2008 2009 2010 2011 2012 2008 2009 2010 2011 2012
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*Contracts with ACV ≥ $5M

18. 18
Public Sector Top 10 Service Providers
The Top 10 Service Providers List, based on ACV awarded in 2012, for contracts over
$5 million in annual contract value, shown in alphabetical order.
Top 10
Asia Pacific Public Sector
Accenture
Capgemini
China Unicom
CSC
Cubic Corp
Fujitsu
Gen-i
HCL Technologies
HP
IBM
Service providers in alphabetical order; no rankings implied.
© 2013
Placements sourced from ISG Contracts Knowledgebase®.
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*Contracts with ACV ≥ $5M

19. 19
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
Adoption ACV Change from 2007
$$ Rate $ $$$ +150%
$ $ +100%
2010 32% 2012
LatinAm China
and Mexico and India
BPO Expansion Continues
with Industry Specific Solutions
Leading the Way
BPO ACV Change from 2010
+60%
$
© 2013
Information
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*Contracts with ACV ≥ $5M

20. 20
Disruptive Technologies Shape Long-term Industry Trends
Four disruptive technology trends impact enterprises today and shape long-term
industry trends
Social Media
Collaboration
Mobility
Cloud
Computing & Storage
© 2013
Big Data/Analytics
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*Contracts with ACV ≥ $5M

21. 21
2H12 TPI Index Summary and Outlook
 A sluggish 2H Global ACV pulled down results, yet 2012
performance nearly met 2011 levels
 While fewer contracts were awarded globally for 2012,
Mega-relationships supported the market value
market  BPO ACV and Asia Pacific ACV helped lift the global market for
summary 2012
 Asia Pacific finished the year up 55% compared to 2011.
Increases of 21% for ITO and 133% for BPO made this the
region’s best ever year.
 Contract push-out and lingering fiscal uncertainties in both the
U.S. and Europe could make for a softer global first half in
2013
 Outlook for 2013 ACV awards is one of cautious optimism
market
 Market growth, in terms of Annualised Revenue, is projected
outlook to be 3 - 4% in 2013
© 2013
 Asia Pacific outlook is hard to call. Increase in demand could
Information
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be offset by the emergence of difficult economic factors in
All Rights Reserved India and Australia
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*Contracts with ACV ≥ $5M

22. 22
Learn More
Please contact us with your questions and comments.
► Sid Pai ► Tom McCormack
Partner & President, Asia Pacific Partner, Australia & New Zealand
+91 9880033779 +61 4 1378 6424
sid.pai@isg-one.com tom.mcCormack@isg-one.com
► Gerry Clark ► Dinesh Goel
Partner, Asia Partner, India
+65 9634 5927 +91 98458 93787
gerry.clark@isg-one.com dinesh.goel@isg-one.com
© 2013
Information
Services Group, Inc.
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*Contracts with ACV ≥ $5M

23. Full Year and Second Half 2012

24. 24
TCV At A Glance
The Asia Pacific 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.
2012 2012 Y/Y 2H12 2H12 Y/Y
Scorecard TCV ($B)* Change TCV ($B)* Change
Global Market $ 99.1 -9% $ 49.3 -22%
New Scope $ 66.2 -9% $ 32.6 -13%
Restructurings $ 32.9 -10% $ 16.7 -34%
Mega-deals $ 16.0 -34% $ 8.1 -55%
ITO $ 62.5 -15% $ 31.0 -29%
BPO $ 36.5 1% $ 18.3 -4%
Americas $ 37.5 0% $ 17.1 -15%
EMEA $ 48.6 -22% $ 26.1 -31%
Asia Pacific $ 13.0 31% $ 6.1 15%
© 2013
Information
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All Rights Reserved
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*Contracts with TCV >$25M
*Contracts with ACV ≥ $5M

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