According to a report (in Swedish) published today by Arbetsförmedlingen – the Swedish Public Employment Service, the official government office for employment – jobs in the IT sector is expected to rise by 1,2 percent in 2009, the only sector to show positive numbers (manufacturing being the big loser, backing an estimated 3,8 percent).
So what does this tell us about IT service spend.
Bloggers and analysts alike are busy debating; and the general consensus is that it is indeed a buyers market, but many raise a finger of warning as companies are balancing the need for external consultants against the need for cutting costs.
In a recent interview with Dagens Nyheter; Cybercom CEO Patrik Boman is quoted:
- We will see a continued price fall reaching nearly 10 percent. And I believe many IT consultancies will have to adapt to a new level of revenues in the near future.
Straight shooting from one of the suppliers; purchasers take note.
Yet demand for specialists will always play a big part in the success or failure of any business; and the size of the talent pool will in the end determine the cost of specialist services. So purchasing (and the buyers) needs to be able to differentiate bad spend from good spend; and then use the overall market trends as leverage to ensure potential savings. And don’t forget that even IT consultancy services can be sourced globally.
