The outsourcing of finance and accounting processes picked up in 2010 and is expected to grow even more rapidly this year, according to a survey by Everest Group, a Dallas-based company that provides outsourcing research and consulting.
Everest says the annualized value of the new contracts signed last year rose almost 15%, to $3.5 billion. That compares with the 10% increase seen in 2009. Everest predicts annual contract value will jump 15% to 20% this year to break above $4 billion.
More than half (55%) of the 2010 contracts were entered into by large companies. Accounts payable, accounts receivable and general ledger were the processes that companies outsourced most frequently, Everest says, but notes that deals involving financial planning and analysis are starting to pick up.
Everest also cites an increasing interest in handing off end-to-end processes, such as procure-to-pay or order-to-cash, which were included in more than half of last year's new contracts.