TPI, the largest sourcing data and advisory firm in the world and a unit of Information Services Group, Inc. (ISG) (Nasdaq: III), an industry-leading information-based services company, today announced new research showing it has helped clients save an estimated $50 billion through the use of sourcing strategies.

In a random sample of 120 transactions it advised on in the last five years, TPI found that its clients saved on average more than 33 percent by sourcing. After one-time and ongoing management expenses, the savings averaged more than 17 percent. Over the life of the agreements, the clients saved an average of $70 for every $1 they spent with TPI on advisory fees.

TPI has advised on more than 800 sourcing transactions since founding the sourcing advisory industry in 1989.

Said Michael P. Connors, Chairman & CEO, ISG and TPI: “Sixty percent of our clients told us that reducing costs was their number one reason for implementing sourcing strategies last year. This research shows that the savings they are looking for are real and achievable, and we look forward to helping our clients find even more in the future.”

Mr. Connors discussed the research today in his closing remarks at the 2010 TPI Americas Sourcing Leadership Exchange (SLE) in Boston. The conference, now in its 10th year, brought together nearly 150 executives from 70 major corporations for two days to discuss “The Current Face of Sourcing: Capitalizing on Economic, Technological and Political Change.”

According to a major new IBM (NYSE: IBM) survey of more than 1,500 Chief Executive Officers from 60 countries and 33 industries worldwide, chief executives believe that — more than rigor, management discipline, integrity or even vision — successfully navigating an increasing complex world will require creativity.

Conducted through in-person interviews with consultants from IBM’s Institute for Business Value, less than half of global CEOs believe their enterprises are adequately prepared to handle a highly volatile, increasingly complex business environment. CEOs are confronted with massive shifts – new government regulations, changes in global economic power centers, accelerated industry transformation, growing volumes of data, rapidly evolving customer preferences – that, according to the study, can be overcome by instilling “creativity” throughout an organization.

More than 60 percent of CEOs believe industry transformation is the top factor contributing to uncertainty, and the finding indicates a need to discover innovative ways of managing an organization’s structure, finances, people and strategy.

The study also uncovers starkly divergent strategic concerns and priorities among CEOs in Asia, Japan, Europe or North America – the first time such clear regional variations have appeared in this biennial survey of private and public sector leaders.

“Coming out of the worst economic downturn in our professional lifetimes — and facing a new normal that is distinctly different — it is remarkable that CEOs identify creativity as the number one leadership competency of the successful enterprise of the future,” said Frank Kern, senior vice president, IBM Global Business Services. “But step back and think about it, and this is entirely consistent with the other top finding in our Study — that the biggest challenge facing enterprises from here on will be the accelerating complexity and the velocity of a world that is operating as a massively interconnected system.”

Managing complexity

The CEOs interviewed told IBM that today’s business environment is volatile, uncertain and increasingly complex. Eight in ten CEOs expect their environment to grow significantly more complex but only 49 percent believe their organizations are equipped to deal with it successfully – the largest leadership challenge identified in eight years of research.

The CEOs said that the complexity of an interconnected world is aggravated by a number of factors. For example, CEOs expect revenue from new sources to double over the next five years and 76 percent of CEOs foresee the shift of economic power to rapidly developing markets.

Over the last four studies, the expected impact of technology on organizations has risen from 6th to 2nd place in importance, revealing that CEOs understand that technology and the interconnection of the world’s infrastructures is contributing to the complexity they face, and also reveals that they need more technology-based answers to succeed in a world that is massively interconnected.

The study highlights the attributes of top-performing organizations based on revenue and profit performance during the past five years, including the economic downturn.

* Top performing organizations are 54 percent more likely than others to make rapid decisions. CEOs indicated they are learning to respond swiftly with new ideas to address the deep changes affecting their organizations.
* 95 percent of top performing organizations identified getting closer to customers as their most important strategic initiative over the next five years – using Web, interactive, and social media channels to rethink how they engage with customers and citizens. They view the historic explosion of information and global information flows as opportunities, rather than threats.
* Organizations that have built superior operating dexterity expect to capture 20 percent more of their future revenue from new sources than their more traditional peers.

One World, Diverging Views

Vast complexity is further intensified by regional differences.  The study noted that perspectives varied with geography – differences of opinion about what changes to make, what new skills will be needed and how to succeed in the new economic environment. These regional variations also compound the complexities with which CEOs must contend.

China proved much more resilient than the developed nations during the economic downturn. So, CEOs in China are, understandably, less concerned about volatility than CEOs in other regions. In fact, they are becoming increasingly confident of their place on the world stage.

But if China is to fulfill its global aspirations, it will need a new generation of leaders with creativity, vision and international management experience. Many of the country’s CEOs recognize this; 61 percent believe “global thinking” is a top leadership quality. Most companies will also need new industry models and skills. They cannot simply replicate the models they have used in their domestic market, which has a completely different cost structure. CEOs in China are also devoting far more energy to building new skills and capabilities than their peers in the West.

In North America, which faced a financial crisis that led to governments becoming major stakeholders in private enterprise, CEOs are more wary of “big government” than CEOs elsewhere. A full 87 percent anticipate greater government intervention and regulation over the next five years, compounding their sense of uncertainty.

In Japan, 74 percent of CEOs expect the shift of economic power from mature to rapidly developing markets to have a major impact on their organizations. By contrast, the European Union is less concerned about this shift, with only 43 percent of CEOs expecting to be impacted.

Understanding these and other sharp differences emerging by region is increasingly important as economies and societies become more closely linked. Organizations confront these differences as they increasingly operate across boundaries and across different regions.

As law enforcement officials look for more ways to supplement budgets and maximize funding, grants are becoming the lifeblood of many public safety programs. For fiscal year 2010, federal grants for justice and public safety and homeland security total $5.7 billion. Attendees will learn about successful grant initiatives from INPUT Senior Analyst Jeff Webster during his presentation, State and Local Public Safety Grant Forecast, at the 34th Annual International Association of Chiefs of Police (IACP) Law Enforcement Information Management Training Conference and Exposition, on Wednesday, May 26, 2010, at the Hyatt Regency hotel in Atlanta, Ga.

law enforcement

Webster’s presentation comes at an opportune time: last month, application packets for both state and local Edward Byrne Memorial Justice Assistance Grant (JAG) Programs were released. The JAG program provides states, tribes, and local governments with critical funding necessary to support a range of program areas, including law enforcement, planning, evaluation, and technology improvement.

As chiefs of police gear up for submitting their grant applications in June, they’ll find plenty of actionable advice in Webster’s presentation. “Decreases in public safety budgets increase grant competition,” said Webster. “Crafting an innovative grant proposal is an effective way of getting funding. It also helps to determine whether you’re eligible for more than one grant. Applying for a number of grants raises the possibility of multiple awards, and ensures that you have enough funding for your project.” His presentation will highlight specific tips and advice on finding grants, crafting applications, and maximizing awards, as well as analyze grant opportunities for fiscal year 2011.

The clock is ticking for companies wishing to take advantage of the Pennsylvania Tax Amnesty Program (“Program”). Companies can file within the Program’s 54-day grace period, which begins on April 26, 2010. Organizations that comply with the Program’s requirements and pay their past amounts can avoid penalties and one-half of the interest owed on back taxes.

“This is a very complex program, and companies that wish to take advantage of the amnesty period should already be working with experts to evaluate the potential savings,” said Dennis J. Kolumber, Jr., Principal at Ryan. “Companies should also note that participating in the Program can limit their ability to obtain a refund for overpayment of taxes and abandons their opportunity for appeal.”

“The amnesty covers more than 30 different types of taxes covering dozens of industries. However, the Program includes new penalties for companies that have an outstanding tax liability and do not take advantage of the Program,” said Mr. Kolumber. “For all non-participants, at the conclusion of the tax amnesty period, a 5% non-participation penalty will be imposed on unpaid liabilities not paid in full during the tax amnesty period.”

According to the tax amnesty legislation, an eligible tax liability is any tax that is administered by the Department of Revenue and is delinquent as of June 30, 2009. Among the categories of taxes eligible for the Program include:

* Corporate net income tax
* Employer withholding tax
* Fuel use tax
* Gross receipts tax
* Hotel occupancy tax
* Sales and use tax

The Program also includes a provision to require repayment of the amount forgiven in the amnesty period if the taxpayer becomes delinquent again.

“Amnesty programs have been successful in other states,” said Mr. Kolumber. “An amnesty program in New Jersey reportedly generated more than $600 million in additional revenue for the state.”

With state taxes becoming more complex, and collection efforts more aggressive as the states struggle with declining tax revenues, it’s important for companies to avoid both interest and penalties by ensuring they are compliant with the myriad of state tax laws.