What is the pricing model for this engagement?
Indicator C044 · By Phil Hatch · Akholi · October 9, 2026
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25 sectionsIndicator Specification
| Field | Value |
|---|---|
| Indicator code | C044 |
| Question as asked | What is the pricing model for this engagement? |
| Failure category | Not one of the 100 rated indicators |
| Place in the survey | Engagement Details > 2.4 Commercial Structure > Contract |
| Indicator class | Perceived fact |
| Indicator type | Categorical |
| Response scale | Levels: FTE-based, Fixed price, Transaction or outcome based, Hybrid, Consumption based |
| Answering base | 347 of 850 respondents gave one of the listed answers. 575 answered, counting I do not know and I prefer to not answer, across 150 of 150 engagements |
| Non-answers | I do not know 228, I prefer to not answer 0, blank 275 |
| Written responses coded to the indicator | 33 responses from 33 respondents on 31 engagements (0 primary, 33 secondary) |
Summary of Findings
| Measure | Effect size | n | Value | p |
|---|---|---|---|---|
| Cancellation rate | Omega squared, 0 or 1 flag | 71 engagements | −0.001 | 0.412 |
| Customer satisfaction | Not computable, fewer than two listed answers reach 10 engagements | |||
| Engagement indicator mean | Omega squared | 71 engagements | −0.007 | 0.290 |
| Intent to leave | Omega squared | 71 engagements | −0.015 | 0.511 |
FTE-based pricing was the most common answer (140 of 347 respondents, 40.35%), ahead of Fixed price (61 of 347 respondents, 17.58%) and Transaction or outcome based pricing (58 of 347 respondents, 16.71%). Cancellation was highest for Consumption based pricing (60.00% canceled, n = 10 engagements), with no difference across the tested answer levels (chi-square 2.97, p 0.412, Cramer’s V 0.20, n = 71 engagements). Customer satisfaction could not be compared across answer levels (fewer than two answer levels with at least 10 engagements). The engagement indicator mean was lowest for Consumption based pricing (mean 3.4, n = 10 engagements) and highest for Fixed price (mean 4.2, n = 13 engagements), with no difference under test (Welch F 1.31, p 0.290, omega squared −0.007, n = 71 engagements). Intent to leave was highest for Consumption based pricing (mean 7.7, n = 10 engagements), with no difference across the tested answer levels (Welch F 0.79, p 0.511, omega squared −0.015, n = 71 engagements). The answer mix did not differ after Holm control in any segment family (Holm p 0.161 or higher in every family).
The indicator had 33 written responses coded to it, from 33 of 850 respondents on 31 of 150 engagements. All 33 scored responses were negative. The strongest negative score, −10, was carried by 10 of the 33 scored responses (30.30%). Every response was a secondary response, written in answer to a question outside the indicator’s own survey section.
Distribution of Responses
| Answer | Respondents | Share of answered (base 347) | Cumulative share | Engagements with at least one | Share of 150 engagements | Distressed |
|---|---|---|---|---|---|---|
| FTE-based | 140 | 40.35% | 40.35% | 62 | 41.33% | Not applicable |
| Fixed price | 61 | 17.58% | 57.93% | 28 | 18.67% | Not applicable |
| Transaction or outcome based | 58 | 16.71% | 74.64% | 24 | 16.00% | Not applicable |
| Hybrid | 46 | 13.26% | 87.90% | 19 | 12.67% | Not applicable |
| Consumption based | 42 | 12.10% | 100.00% | 17 | 11.33% | Not applicable |
| I do not know | 228 | Not in base | Not in base | 129 | 86.00% | Not applicable |
| Answered, total | 347 | 100.00% | 150 | 100.00% |
A categorical answer has no engagement mean. Each engagement took its respondents’ plurality answer, and tied engagements were left out. An answer was assigned to 107 of 150 engagements.
Distressed is not applicable, because the answer has no good or bad end on a scale.
Coverage and Origin of Written Responses
| Origin | Responses | Respondents | Engagements | Negative | Strongest negative (−10) | Positive | Mean written score |
|---|---|---|---|---|---|---|---|
| Primary | 0 | 0 | 0 | a | |||
| Secondary | 33 | 33 | 31 | 33 of 33 (100.00%) | 10 of 33 (30.30%) | 0 of 33 (0.00%) | −6.5 |
| All responses | 33 | 33 | 31 | 33 of 33 (100.00%) | 10 of 33 (30.30%) | 0 of 33 (0.00%) | −6.5 |
All 33 responses were secondary responses. The secondary responses came from 33 respondents on 31 engagements, in answer to 3 questions outside the indicator’s own survey section (C135 with 16 responses, C029 with 14 responses and C055 with 3 responses). Among the Part 1 indicators with 30 or more scored responses, the secondary share of the indicator ranked 1 of 6 from the highest, tied with 4 other indicators. The median secondary share was 100.00% across the 6 indicators.
Distribution of Written Sentiment
| Statistic | Value | Basis |
|---|---|---|
| Mean written score | −6.5 | 95% CI −7.3 to −5.8, cluster bootstrap by engagement, 10,000 draws, n = 33 responses |
| Median written score | −5.0 | n = 33 responses |
| Negative responses | 33 of 33 (100.00%) | 95% CI 100.00% to 100.00% of 33 responses, cluster bootstrap by engagement |
| Strongest negative responses (−10) | 10 of 33 (30.30%) | Statements of totality, constancy or serious harm |
| Positive responses | 0 of 33 (0.00%) | +5 or +10 |
| Net balance | −100.00 percentage points | Share positive minus share negative, base 33 responses |
| Respondent-level mean | −6.5 | Mean of each respondent’s own mean written score, n = 33 respondents |
The indicator has no good or bad end. Under the coding rulebook’s rule for such indicators, the written score records the effect each response states on the engagement or on the respondent. The survey question is “What is the pricing model for this engagement?” The frequency, scope and consequence a response states set the strength of its score. A score of +10 marks a response that describes “this attribute of the engagement as helping the engagement at its best.” A score of −10 marks a response that describes “this attribute as harming the engagement at its worst . . . .”
Of the 33 scored responses, all were negative and 10 (30.30%) carried the strongest negative score. The responses had a mean written score of −6.5 (95% CI −7.3 to −5.8, n = 33 responses on 31 engagements).
Descriptive Statistics by Segment
| Segment | Base | Answered | Answer rate | Engagements | FTE-based, share | Fixed price, share | Transaction or outcome based, share | Hybrid, share | Consumption based, share |
|---|---|---|---|---|---|---|---|---|---|
| Study set | 850 | 347 | 40.82% of 850 | 150 | 40.35% | 17.58% | 16.71% | 13.26% | 12.10% |
| Outsourcing model | |||||||||
| CXM | 232 | 96 | 41.38% of 232 | 42 | 40.63% | 25.00% | 13.54% | 5.21% | 15.63% |
| ITO | 244 | 99 | 40.57% of 244 | 40 | 43.43% | 12.12% | 20.20% | 12.12% | 12.12% |
| BPO | 209 | 86 | 41.15% of 209 | 37 | 40.70% | 17.44% | 19.77% | 13.95% | 8.14% |
| KPO | 165 | 66 | 40.00% of 165 | 31 | 34.85% | 15.15% | 12.12% | 25.76% | 12.12% |
| Institution type | |||||||||
| Asset management | 132 | 55 | 41.67% of 132 | 24 | 32.73% | 27.27% | 14.55% | 3.64% | 21.82% |
| Wealth management and private banking | 140 | 53 | 37.86% of 140 | 23 | 41.51% | 11.32% | 9.43% | 18.87% | 18.87% |
| Investment banking (advisory and capital-markets origination) | 105 | 42 | 40.00% of 105 | 19 | 76.19% | 9.52% | 4.76% | 9.52% | 0.00% |
| Insurance (life, property and casualty, health) | 78 | 33 | 42.31% of 78 | 14 | 51.52% | 6.06% | 9.09% | 18.18% | 15.15% |
| Commercial and business banking | 82 | 35 | 42.68% of 82 | 13 | 20.00% | 0.00% | 40.00% | 25.71% | 14.29% |
| Payments and merchant acquiring (networks, acquiring, processing) | 71 | 31 | 43.66% of 71 | 13 | 41.94% | 16.13% | 6.45% | 25.81% | 9.68% |
| Credit card and payments issuing | 73 | 27 | 36.99% of 73 | 12 | 22.22% | 22.22% | 18.52% | 22.22% | 14.81% |
| Retail and consumer banking | 73 | 30 | 41.10% of 73 | 12 | 20.00% | 30.00% | 40.00% | 3.33% | 6.67% |
| Markets and trading (sales and trading, global markets) | 57 | 21 | 36.84% of 57 | 11 | 42.86% | 28.57% | 23.81% | 0.00% | 4.76% |
| Private equity and private capital | 39 | 20 | 51.28% of 39 | 9 | 50.00% | 40.00% | 10.00% | 0.00% | 0.00% |
| Process family | |||||||||
| Corporate and back-office functions | 248 | 100 | 40.32% of 248 | 47 | 44.00% | 18.00% | 20.00% | 7.00% | 11.00% |
| Technology engineering and operations | 204 | 86 | 42.16% of 204 | 35 | 47.67% | 12.79% | 18.60% | 11.63% | 9.30% |
| Client servicing and communications | 94 | 35 | 37.23% of 94 | 16 | 40.00% | 8.57% | 17.14% | 17.14% | 17.14% |
| Trade, settlement and reconciliation | 80 | 31 | 38.75% of 80 | 15 | 38.71% | 25.81% | 3.23% | 22.58% | 9.68% |
| Payments, cards and disputes | 73 | 31 | 42.47% of 73 | 12 | 22.58% | 45.16% | 9.68% | 9.68% | 12.90% |
| Credit, underwriting and suitability | 57 | 25 | 43.86% of 57 | 9 | 24.00% | 0.00% | 36.00% | 20.00% | 20.00% |
| Regulatory, audit, tax and legal | 51 | 19 | 37.25% of 51 | 9 | 42.11% | 26.32% | 0.00% | 21.05% | 10.53% |
| Financial crime and client onboarding | 43 | 20 | 46.51% of 43 | 7 | 40.00% | 10.00% | 15.00% | 20.00% | 15.00% |
| Class of work | |||||||||
| LOB Operational | 451 | 183 | 40.58% of 451 | 76 | 31.69% | 21.86% | 18.03% | 12.57% | 15.85% |
| Corporate Functional | 399 | 164 | 41.10% of 399 | 74 | 50.00% | 12.80% | 15.24% | 14.02% | 7.93% |
| Engagement status and lifecycle stage | |||||||||
| Active, Build-Out | 175 | 69 | 39.43% of 175 | 31 | 56.52% | 14.49% | 13.04% | 11.59% | 4.35% |
| Active, Transition/Cut-Over | 250 | 105 | 42.00% of 250 | 43 | 40.00% | 19.05% | 13.33% | 19.05% | 8.57% |
| Active, Production | 103 | 40 | 38.83% of 103 | 20 | 25.00% | 25.00% | 12.50% | 17.50% | 20.00% |
| Canceled | 322 | 133 | 41.30% of 322 | 56 | 36.84% | 15.79% | 22.56% | 8.27% | 16.54% |
| Respondent role | |||||||||
| Individual Contributor | 667 | 166 | 24.89% of 667 | 147 | 38.55% | 16.27% | 19.28% | 13.86% | 12.05% |
| Engagement Manager | 150 | 150 | 100.00% of 150 | 150 | 41.33% | 18.67% | 16.00% | 12.67% | 11.33% |
| Portfolio Director | 31 | 29 | 93.55% of 31 | 29 | 44.83% | 20.69% | 3.45% | 13.79% | 17.24% |
| Customer Management Executive | 2 | 2 | 2 of 2 | 2 | 1 | 0 | 1 | 0 | 0 |
| Vendor type | |||||||||
| IT services major | 316 | 124 | 39.24% of 316 | 59 | 41.94% | 16.94% | 13.71% | 13.71% | 13.71% |
| BPO specialist | 198 | 83 | 41.92% of 198 | 37 | 36.14% | 26.51% | 12.05% | 10.84% | 14.46% |
| Consulting firm | 117 | 46 | 39.32% of 117 | 23 | 28.26% | 15.22% | 28.26% | 17.39% | 10.87% |
| Boutique or specialist provider | 87 | 39 | 44.83% of 87 | 17 | 53.85% | 20.51% | 23.08% | 2.56% | 0.00% |
| Pure-play agentic AI firm | 75 | 36 | 48.00% of 75 | 14 | 38.89% | 5.56% | 13.89% | 25.00% | 16.67% |
| Not reported, recovered by engagement | 57 | 19 | 33.33% of 57 | 34 | 52.63% | 5.26% | 21.05% | 10.53% | 10.53% |
Shares are of the answered respondents in each row, which is the base beside them. A row under 10 prints counts in place of shares.
Tests of Difference Between Segments
| Segment family | Unit | Chi-square | df | p | Holm p | Cramer’s V | Test for p | Levels left out |
|---|---|---|---|---|---|---|---|---|
| Outsourcing model | Engagement | 14.28 | 12 | 0.290 | 1.000 | 0.25 | Monte Carlo, simulated | None |
| Institution type | Engagement | 14.11 | 8 | 0.066 | 0.395 | 0.46 | Monte Carlo, simulated | a |
| Process family | Engagement | 1.85 | 4 | 0.846 | 1.000 | 0.22 | Monte Carlo, simulated | b |
| Class of work | Engagement | 2.82 | 4 | 0.597 | 1.000 | 0.19 | Monte Carlo, simulated | None |
| Engagement status and lifecycle stage | Engagement | 10.65 | 12 | 0.583 | 1.000 | 0.21 | Monte Carlo, simulated | None |
| Respondent role | Respondent | 5.31 | 8 | 0.730 | 1.000 | 0.09 | Monte Carlo, simulated | c |
| Vendor type | Respondent | 34.35 | 20 | 0.023 | 0.161 | 0.16 | Monte Carlo, simulated | None |
Engagement families were tested on engagement answers, and respondent role and vendor type were tested on respondents. No difference held after Holm control for outsourcing model, institution type, process family, class of work, engagement status and lifecycle stage, respondent role and vendor type.
Written Sentiment by Segment
| Segment | Responses | Respondents | Engagements | Mean written score | Negative | Strongest negative (−10) |
|---|---|---|---|---|---|---|
| Engagement status and lifecycle stage | ||||||
| Active, Build-Out | 12 | 12 | 10 | −6.7 | 12 of 12 (100.00%) | 4 of 12 (33.33%) |
| Active, Transition/Cut-Over | 9 | 9 | 9 | ‡ | 9 of 9 | 2 of 9 |
| Active, Production | 4 | 4 | 4 | ‡ | 4 of 4 | 1 of 4 |
| Canceled | 8 | 8 | 8 | ‡ | 8 of 8 | 3 of 8 |
| Respondent role | ||||||
| Individual Contributor | 13 | 13 | 12 | −6.2 | 13 of 13 (100.00%) | 3 of 13 (23.08%) |
| Engagement Manager | 15 | 15 | 15 | −7.0 | 15 of 15 (100.00%) | 6 of 15 (40.00%) |
| Portfolio Director | 5 | 5 | 5 | ‡ | 5 of 5 | 1 of 5 |
| Customer Management Executive | 0 | 0 | 0 | No responses |
Scored responses came from 10 engagements in the Active, Build-Out group, 9 engagements in the Active, Transition/Cut-Over group, 4 engagements in the Active, Production group and 8 engagements in the Canceled group. A test of mean written scores across the groups, with each engagement counted once, showed no difference that reached significance at 0.05 (Kruskal-Wallis H 0.61, df 3, p = 0.894, n = 31 engagements). Groups under 10 responses are reported as counts only. Negative responses numbered 9 of 9 in the Active, Transition/Cut-Over group, 4 of 4 in the Active, Production group and 8 of 8 in the Canceled group.
Across respondent roles, no test was run, because fewer than two roles reached 30 scored responses. Roles under 10 responses are reported as counts only. Among portfolio directors, negative responses numbered 5 of 5.
Association with Cancellation Rate
The share of engagements canceled on the study date, measured at engagement level (base 150 engagements, 56 canceled). The association is a descriptive contrast, inflated because canceled engagements were rated after cancellation, and is not predictive.
The measure by the engagement’s assigned answer.
| Answer level | Engagements | Canceled | Cancellation rate |
|---|---|---|---|
| FTE-based | 35 | 11 | 31.43% |
| Fixed price | 13 | 5 | 38.46% |
| Transaction or outcome based | 8 | 6 | ‡ |
| Hybrid | 13 | 4 | 30.77% |
| Consumption based | 10 | 6 | 60.00% |
| I do not know | 28 | 12 | 42.86% |
The test across answer levels, in the study set and inside each segment. Levels under 10 engagements were left out of each test.
| Segment | Engagements | Chi-square | df | p | Holm p | Cramer’s V | Test for p |
|---|---|---|---|---|---|---|---|
| Study set | 71 | 2.97 | 3 | 0.413 | 0.413 | 0.20 | Monte Carlo, simulated |
| Outsourcing model | |||||||
| CXM | Fewer than two answer levels with at least 10 engagements | ||||||
| ITO | Fewer than two answer levels with at least 10 engagements | ||||||
| BPO | Fewer than two answer levels with at least 10 engagements | ||||||
| KPO | Fewer than two answer levels with at least 10 engagements | ||||||
| Institution type | |||||||
| Asset management | Fewer than two answer levels with at least 10 engagements | ||||||
| Wealth management and private banking | Fewer than two answer levels with at least 10 engagements | ||||||
| Investment banking (advisory and capital-markets origination) | Fewer than two answer levels with at least 10 engagements | ||||||
| Insurance (life, property and casualty, health) | Fewer than two answer levels with at least 10 engagements | ||||||
| Commercial and business banking | Fewer than two answer levels with at least 10 engagements | ||||||
| Payments and merchant acquiring (networks, acquiring, processing) | 8 | ‡ | |||||
| Credit card and payments issuing | 8 | ‡ | |||||
| Retail and consumer banking | 9 | ‡ | |||||
| Markets and trading (sales and trading, global markets) | 7 | ‡ | |||||
| Private equity and private capital | 7 | ‡ | |||||
| Process family | |||||||
| Corporate and back-office functions | Fewer than two answer levels with at least 10 engagements | ||||||
| Technology engineering and operations | Fewer than two answer levels with at least 10 engagements | ||||||
| Client servicing and communications | Fewer than two answer levels with at least 10 engagements | ||||||
| Trade, settlement and reconciliation | Fewer than two answer levels with at least 10 engagements | ||||||
| Payments, cards and disputes | Fewer than two answer levels with at least 10 engagements | ||||||
| Credit, underwriting and suitability | 6 | ‡ | |||||
| Regulatory, audit, tax and legal | 7 | ‡ | |||||
| Financial crime and client onboarding | 7 | ‡ | |||||
| Class of work | |||||||
| LOB Operational | Fewer than two answer levels with at least 10 engagements | ||||||
| Corporate Functional | Fewer than two answer levels with at least 10 engagements | ||||||
| Engagement status and lifecycle stage | |||||||
| Active, Build-Out | Not computable, no variation in cancellation | ||||||
| Active, Transition/Cut-Over | Not computable, no variation in cancellation | ||||||
| Active, Production | Not computable, no variation in cancellation | ||||||
| Canceled | Not computable, no variation in cancellation |
Cancellation in the study set did not differ across answer levels (Monte Carlo, simulated, chi-square 2.97, p 0.412, n = 71 engagements).
Association with Customer Satisfaction
The satisfaction score recorded against each engagement on a 100-point scale. The primary estimate uses the 94 active engagements. A descriptive contrast uses all 150 engagements.
The measure by the engagement’s assigned answer.
| Answer level | Engagements | Mean of the measure | SD |
|---|---|---|---|
| FTE-based | 24 | 65.2 | 11.5 |
| Fixed price | 8 | ‡ | |
| Transaction or outcome based | 2 | ‡ | |
| Hybrid | 9 | ‡ | |
| Consumption based | 4 | ‡ | |
| I do not know | 16 | 64.4 | 11.7 |
The test across answer levels, in the study set and inside each segment. Levels under 10 engagements were left out of each test.
| Segment | Engagements | Welch F | df | p | Holm p | Omega squared | 90% CI |
|---|---|---|---|---|---|---|---|
| Study set | Fewer than two answer levels with at least 10 engagements | ||||||
| Outsourcing model | |||||||
| CXM | Fewer than two answer levels with at least 10 engagements | ||||||
| ITO | Fewer than two answer levels with at least 10 engagements | ||||||
| BPO | Fewer than two answer levels with at least 10 engagements | ||||||
| KPO | Fewer than two answer levels with at least 10 engagements | ||||||
| Institution type | |||||||
| Asset management | 9 | ‡ | |||||
| Wealth management and private banking | 9 | ‡ | |||||
| Investment banking (advisory and capital-markets origination) | 6 | ‡ | |||||
| Insurance (life, property and casualty, health) | 7 | ‡ | |||||
| Commercial and business banking | 7 | ‡ | |||||
| Payments and merchant acquiring (networks, acquiring, processing) | 7 | ‡ | |||||
| Credit card and payments issuing | 4 | ‡ | |||||
| Retail and consumer banking | 5 | ‡ | |||||
| Markets and trading (sales and trading, global markets) | 4 | ‡ | |||||
| Private equity and private capital | 5 | ‡ | |||||
| Process family | |||||||
| Corporate and back-office functions | Fewer than two answer levels with at least 10 engagements | ||||||
| Technology engineering and operations | Fewer than two answer levels with at least 10 engagements | ||||||
| Client servicing and communications | 5 | ‡ | |||||
| Trade, settlement and reconciliation | 5 | ‡ | |||||
| Payments, cards and disputes | Fewer than two answer levels with at least 10 engagements | ||||||
| Credit, underwriting and suitability | 5 | ‡ | |||||
| Regulatory, audit, tax and legal | 3 | ‡ | |||||
| Financial crime and client onboarding | 4 | ‡ | |||||
| Class of work | |||||||
| LOB Operational | Fewer than two answer levels with at least 10 engagements | ||||||
| Corporate Functional | Fewer than two answer levels with at least 10 engagements | ||||||
| Engagement status and lifecycle stage | |||||||
| Active, Build-Out | Fewer than two answer levels with at least 10 engagements | ||||||
| Active, Transition/Cut-Over | Fewer than two answer levels with at least 10 engagements | ||||||
| Active, Production | Fewer than two answer levels with at least 10 engagements | ||||||
| Canceled | no clean estimate, canceled engagements fall outside the active population |
The study set test could not be computed: fewer than two answer levels with at least 10 engagements.
Association with the Engagement Indicator Mean
The mean of an engagement’s 100 indicator ratings, measured at engagement level (base 150 engagements). Where this indicator is one of the 100, the mean is recomputed without it.
The measure by the engagement’s assigned answer.
| Answer level | Engagements | Mean of the measure | SD |
|---|---|---|---|
| FTE-based | 35 | 4.1 | 1.6 |
| Fixed price | 13 | 4.2 | 1.6 |
| Transaction or outcome based | 8 | ‡ | |
| Hybrid | 13 | 3.8 | 1.1 |
| Consumption based | 10 | 3.4 | 0.9 |
| I do not know | 28 | 3.8 | 1.7 |
The test across answer levels, in the study set and inside each segment. Levels under 10 engagements were left out of each test.
| Segment | Engagements | Welch F | df | p | Holm p | Omega squared | 90% CI |
|---|---|---|---|---|---|---|---|
| Study set | 71 | 1.31 | 3, 27.8 | 0.290 | 0.290 | −0.007 | 0.000 to 0.096 |
| Outsourcing model | |||||||
| CXM | Fewer than two answer levels with at least 10 engagements | ||||||
| ITO | Fewer than two answer levels with at least 10 engagements | ||||||
| BPO | Fewer than two answer levels with at least 10 engagements | ||||||
| KPO | Fewer than two answer levels with at least 10 engagements | ||||||
| Institution type | |||||||
| Asset management | Fewer than two answer levels with at least 10 engagements | ||||||
| Wealth management and private banking | Fewer than two answer levels with at least 10 engagements | ||||||
| Investment banking (advisory and capital-markets origination) | Fewer than two answer levels with at least 10 engagements | ||||||
| Insurance (life, property and casualty, health) | Fewer than two answer levels with at least 10 engagements | ||||||
| Commercial and business banking | Fewer than two answer levels with at least 10 engagements | ||||||
| Payments and merchant acquiring (networks, acquiring, processing) | 8 | ‡ | |||||
| Credit card and payments issuing | 8 | ‡ | |||||
| Retail and consumer banking | 9 | ‡ | |||||
| Markets and trading (sales and trading, global markets) | 7 | ‡ | |||||
| Private equity and private capital | 7 | ‡ | |||||
| Process family | |||||||
| Corporate and back-office functions | Fewer than two answer levels with at least 10 engagements | ||||||
| Technology engineering and operations | Fewer than two answer levels with at least 10 engagements | ||||||
| Client servicing and communications | Fewer than two answer levels with at least 10 engagements | ||||||
| Trade, settlement and reconciliation | Fewer than two answer levels with at least 10 engagements | ||||||
| Payments, cards and disputes | Fewer than two answer levels with at least 10 engagements | ||||||
| Credit, underwriting and suitability | 6 | ‡ | |||||
| Regulatory, audit, tax and legal | 7 | ‡ | |||||
| Financial crime and client onboarding | 7 | ‡ | |||||
| Class of work | |||||||
| LOB Operational | Fewer than two answer levels with at least 10 engagements | ||||||
| Corporate Functional | Fewer than two answer levels with at least 10 engagements | ||||||
| Engagement status and lifecycle stage | |||||||
| Active, Build-Out | Fewer than two answer levels with at least 10 engagements | ||||||
| Active, Transition/Cut-Over | Fewer than two answer levels with at least 10 engagements | ||||||
| Active, Production | Fewer than two answer levels with at least 10 engagements | ||||||
| Canceled | Fewer than two answer levels with at least 10 engagements |
The measure in the study set did not differ across answer levels (Welch F 1.31, p 0.290, n = 71 engagements).
Association with Intent to Leave
The respondent’s stated likelihood of leaving the current job within 12 months, rated 1 to 10 (C019). Measured at respondent level on up to 798 respondents, with the engagement-level form reported alongside.
The measure by the engagement’s assigned answer.
| Answer level | Engagements | Mean of the measure | SD |
|---|---|---|---|
| FTE-based | 35 | 6.5 | 2.5 |
| Fixed price | 13 | 6.6 | 2.6 |
| Transaction or outcome based | 8 | ‡ | |
| Hybrid | 13 | 6.6 | 2.4 |
| Consumption based | 10 | 7.7 | 2.1 |
| I do not know | 28 | 6.8 | 2.7 |
The test across answer levels, in the study set and inside each segment. Levels under 10 engagements were left out of each test.
| Segment | Engagements | Welch F | df | p | Holm p | Omega squared | 90% CI |
|---|---|---|---|---|---|---|---|
| Study set | 71 | 0.79 | 3, 25.7 | 0.511 | 0.511 | −0.015 | 0.000 to 0.080 |
| Outsourcing model | |||||||
| CXM | Fewer than two answer levels with at least 10 engagements | ||||||
| ITO | Fewer than two answer levels with at least 10 engagements | ||||||
| BPO | Fewer than two answer levels with at least 10 engagements | ||||||
| KPO | Fewer than two answer levels with at least 10 engagements | ||||||
| Institution type | |||||||
| Asset management | Fewer than two answer levels with at least 10 engagements | ||||||
| Wealth management and private banking | Fewer than two answer levels with at least 10 engagements | ||||||
| Investment banking (advisory and capital-markets origination) | Fewer than two answer levels with at least 10 engagements | ||||||
| Insurance (life, property and casualty, health) | Fewer than two answer levels with at least 10 engagements | ||||||
| Commercial and business banking | Fewer than two answer levels with at least 10 engagements | ||||||
| Payments and merchant acquiring (networks, acquiring, processing) | 8 | ‡ | |||||
| Credit card and payments issuing | 8 | ‡ | |||||
| Retail and consumer banking | 9 | ‡ | |||||
| Markets and trading (sales and trading, global markets) | 7 | ‡ | |||||
| Private equity and private capital | 7 | ‡ | |||||
| Process family | |||||||
| Corporate and back-office functions | Fewer than two answer levels with at least 10 engagements | ||||||
| Technology engineering and operations | Fewer than two answer levels with at least 10 engagements | ||||||
| Client servicing and communications | Fewer than two answer levels with at least 10 engagements | ||||||
| Trade, settlement and reconciliation | Fewer than two answer levels with at least 10 engagements | ||||||
| Payments, cards and disputes | Fewer than two answer levels with at least 10 engagements | ||||||
| Credit, underwriting and suitability | 6 | ‡ | |||||
| Regulatory, audit, tax and legal | 7 | ‡ | |||||
| Financial crime and client onboarding | 7 | ‡ | |||||
| Class of work | |||||||
| LOB Operational | Fewer than two answer levels with at least 10 engagements | ||||||
| Corporate Functional | Fewer than two answer levels with at least 10 engagements | ||||||
| Engagement status and lifecycle stage | |||||||
| Active, Build-Out | Fewer than two answer levels with at least 10 engagements | ||||||
| Active, Transition/Cut-Over | Fewer than two answer levels with at least 10 engagements | ||||||
| Active, Production | Fewer than two answer levels with at least 10 engagements | ||||||
| Canceled | Fewer than two answer levels with at least 10 engagements |
The measure in the study set did not differ across answer levels (Welch F 0.79, p 0.511, n = 71 engagements).
Association of Written Sentiment with the Study Measures
| Comparison | With a negative response | Without a negative response | Test | Statistic | p |
|---|---|---|---|---|---|
| Cancellation rate | 8 of 31 engagements (25.81%) | 48 of 119 engagements (40.34%) | Fisher exact | 0.151 | |
| Customer satisfaction, active engagements | Mean 65.83%, n = 23 engagements | Mean 63.54%, n = 71 engagements | Welch t | 0.78 | 0.440 |
| Engagement mean written score and cancellation | Point-biserial r | r = −0.11, n = 31 engagements | 0.539 | ||
| Respondent mean written score and intent to leave | Spearman rho | rho = −0.14, n = 33 respondents | 0.448 |
The cancellation and customer satisfaction contrasts compared engagements with a negative written response against the 119 other engagements, none of which had a scored written response coded to the indicator. The two contrasts therefore did not test written sentiment by themselves. Cancellation was recorded for 8 of the 31 engagements with a negative response (25.81%), against 48 of the 119 other engagements (40.34%). The difference did not reach significance at 0.05 (Fisher exact p = 0.151). Mean customer satisfaction was 65.83% on the 23 active engagements with a negative response, against 63.54% on the 71 other active engagements. The difference did not reach significance at 0.05 (Welch t 0.78, p = 0.440). The association of written sentiment itself with the study measures was tested by two correlations. The association of the engagement mean written score with cancellation did not reach significance at 0.05 (r = −0.11, p = 0.539, n = 31 engagements). The association of the respondent mean written score with intent to leave did not reach significance at 0.05 (rho = −0.14, p = 0.448, n = 33 respondents). None of the four outcome comparisons reached significance at 0.05. Both comparisons with cancellation were descriptive, because responses on canceled engagements were written after cancellation.
Comparison of Associations Across the Four Measures
| Measure | Effect size | n | Value | p | Equivalent to zero | Rank among the four |
|---|---|---|---|---|---|---|
| Cancellation rate | Omega squared, 0 or 1 flag | 71 | −0.001 | 0.412 | No | 1 |
| Customer satisfaction | Not computable, fewer than two listed answers reach 10 engagements | |||||
| Engagement indicator mean | Omega squared | 71 | −0.007 | 0.290 | No | 2 |
| Intent to leave | Omega squared | 71 | −0.015 | 0.511 | Yes | 3 |
Steiger’s z compares two correlations, and a categorical answer yields an effect size across levels rather than a correlation, so the pairs are not tested.
Clustering and Effective Sample Size
| Statistic | Value | Reading |
|---|---|---|
| Clusters (engagements) | 150 | Engagements with at least one answer. |
| Mean respondents per engagement | 3.8 | Answers per engagement with at least one answer. |
| ICC(1) | 0.22 | Share of variance between engagements. |
| Design effect | 1.63 | 1 plus (mean cluster size minus 1) times ICC. |
| Nominal respondent n | 575 | Every answer, with I do not know and I prefer to not answer counted as levels, as the plurality rule counts them. |
| Effective n | 352 | Nominal n divided by the design effect. |
| Cluster bootstrap applied | Yes | Applied to every respondent level CI where the ICC is 0.05 or above. |
Clustering reduced the 575 respondent answers to about 352 independent answers. Respondent level intervals therefore used the cluster bootstrap, and respondent level tests on intent to leave used cluster-robust errors.
Equivalence Tests of Null Results
| Measure | n | Omega squared | Equivalence bound | Equivalence p | Equivalent to zero | Achieved power | MDE at power 0.80 |
|---|---|---|---|---|---|---|---|
| Cancellation rate | 71 | −0.001 | Omega squared < 0.090 | 0.079 | No | 0.56 | 0.140 |
| Customer satisfaction | Not computable, fewer than two listed answers reach 10 engagements | ||||||
| Engagement indicator mean | 71 | −0.007 | Omega squared < 0.090 | 0.060 | No | 0.56 | 0.140 |
| Intent to leave | 71 | −0.015 | Omega squared < 0.090 | 0.037 | Yes | 0.56 | 0.140 |
The bound is the ruled |r| < 0.30 expressed as variance explained (V15-R22). Equivalent to zero: intent to leave.
Robustness Checks
| Check | Measure | Primary p | Check p | Check statistic | Conclusion holds |
|---|---|---|---|---|---|
| Kruskal-Wallis in place of Welch F | Customer satisfaction | a | a | a | Not computable |
| Kruskal-Wallis in place of Welch F | Engagement indicator mean | 0.290 | 0.514 | 2.29 | Yes |
| Kruskal-Wallis in place of Welch F | Intent to leave | 0.511 | 0.672 | 1.55 | Yes |
| Active engagements only | Engagement indicator mean | 0.290 | a | a | Not computable |
| Active engagements only | Intent to leave | 0.511 | a | a | Not computable |
| Respondent level, cluster-robust Wald F by engagement | Cancellation rate | 0.412 | 0.306 | 1.22 | Yes |
| Respondent level, cluster-robust Wald F by engagement | Customer satisfaction | a | 0.550 | 0.76 | Not computable |
| Respondent level, cluster-robust Wald F by engagement | Engagement indicator mean | 0.290 | 0.412 | 0.99 | Yes |
| Respondent level, cluster-robust Wald F by engagement | Intent to leave | 0.511 | 0.571 | 0.73 | Yes |
Every computable check held. 4 checks could not be computed, as the table shows. A check holds when its test lands on the same side of 0.05 as the primary test.
Measure Independence and Part-Whole Correction
Each of the four measures was computed from data this indicator does not contain, so each result is a finding rather than an arithmetic consequence.
Comparison with the Study Norm
Not applicable. A categorical item has no signed correlation, so it has no profile. Its per-level means carry the comparison.
Comparison of Written Sentiment with Indicators of the Four Parts
The peer set comprised 101 indicators of the four Parts with 30 or more scored responses. The indicator was within the peer set. Its share of negative responses ranked 1 of 101 from the highest. Its mean written score (−6.5, n = 33 responses) ranked 15 of 101 from the most negative. The peer median of the mean written score was −4.6 across the 101 indicators.
Co-Occurring Indicators and Themes
The responses coded to the indicator were most often also coded to “Rate how well your employer is transforming its commercial model as agentic AI reduces the billable human effort it sells today” (C116, 18 responses). The second most frequent co-coded indicator was “Rate your employer’s ability to price agentic work profitably when billable hours no longer measure the value delivered” (C128, 17 responses). The most frequent theme of the coding rulebook in the same responses was “Raised it, nothing came back” (5 responses).
Interpretation of the Data
Consumption based pricing had the weakest figures on the three measures that could be compared, on the smallest tested group of engagements (60.00% canceled, n = 10 engagements). Every robustness check that could be computed on this item held (5 of 9 checks, 4 not computable). None of the three differences across pricing models held under test (chi-square 2.97, p 0.412, Cramer’s V 0.20, n = 71 engagements, Welch F 1.31, p 0.290, omega squared −0.007, n = 71 engagements, Welch F 0.79, p 0.511, omega squared −0.015, n = 71 engagements).
The indicator is a survey question that is not a rating, so the written responses were not set against a rating. Written responses were voluntary. They recorded what the respondents who wrote reported, and how common it was is measured by the answers.
Limitations
The evidence is reported experience: what the delivery team said about its own engagement, gathered in one cross-section. The figures showed associations, not causes. Indicators about the financial institution were reported at second hand by vendor staff. Cancellation is a descriptive contrast, because canceled engagements were rated after they ended.
Tests across respondent role and vendor type were run at respondent level and treated respondents as independent. The section Clustering and Effective Sample Size states whether, and by how much, clustering within engagements reduced the information in respondent level figures.
Each engagement took its plurality answer, with ties left out (107 of 150 engagements). The tests left out Transaction or outcome based pricing, which fell under the size floor, and the I do not know answers (n = 8, n = 28 engagements).
Shares of written sentiment were shares of responses, not of the study set of respondents. The written score took five fixed values, so its mean and median were coarse. Responses clustered within engagements. Intervals for written sentiment used a bootstrap by engagement. Coding was performed by AI coders under a fixed rulebook. Agreement on whether a response was coded to the indicator rested on 6 responses second-coded under rulebook 0.5, with the coders agreeing on 6 of 6. Agreement on the score rested on 3 responses second-scored under rulebook 0.6, with the scores agreeing in 2 of 3. These bases of second-coded responses are too small for an indicator-level alpha.
Definitions
| Term | Definition |
|---|---|
| Response scale | As recorded, shown in Table 1. The indicator is not a rating, so no distressed range is defined. |
| Answering base | Respondents who gave one of the listed answers. |
| Non-answers | “I do not know” and “I prefer to not answer” are counted separately and are excluded from the answering base and the shares. |
| Indicator class | Perceived fact: a state of the engagement as the respondent perceives it, so “I do not know” is counted and reported as an answer. |
| Failure category | One of the five failure categories of the Study Taxonomy, section 3. Only the 100 rated indicators carry one, and the indicator is not among them. |
| Engagement indicator mean | The mean of an engagement’s 100 indicator ratings. |
| Written response | A coded written answer about the respondent’s own engagement. Non-answers and answers about another engagement are excluded. |
| Primary and secondary | Primary responses were written in answer to a written-answer question in the indicator’s own survey section. Secondary responses were written in answer to a question outside that section and coded to the indicator because their content addressed it. |
| Written sentiment scale | Five fixed values of the coding rulebook: −10, −5, 0, +5, +10. The sign is the direction and the magnitude is the strength. |
| Coding | Responses were coded under rulebook 0.5. Scores were added under rulebook 0.6 to every mark and every quote, with the score rulings of rulebook section 21. AI coders worked under a fixed rulebook. A sample of records was second-coded. Score agreement across all indicators was Krippendorff’s alpha 0.969 on the 0.5 scores and 0.930 on the scores added in 0.6. |
Sources and Provenance
| Item | Value |
|---|---|
| Study data | Study Data.xlsx, Data sheet, column C044, sha256 219eba0457274d04 |
| Statistics engine | compute_statistics.py, sha256 738319eef764602b |
| Statistics record | Computed Statistics.json, record C044, sha256 e405f65a43e37a6e |
| Computed | October 8, 2026, 01:38 UTC |
| Template | Indicator Statistical Analysis Template, version 1.1 of 2026-10-06 |
| Figures placed by script | 704 of 704 |
| Study metadata | Study Meta.md, sections 10.4 and 10.4.1, coder agreement across all indicators |
| Coded written responses | Quotes Master.jsonl, sha256 27da38085e2b13fd. Quote Coding Rulebook, version 0.6 with section 21 |
| Written-response computation | qa_stats.py, sha256 74a61f3a96169da9. wfacts.py, sha256 b85fae20adf812a1. prose_gen.py, sha256 c277d2c752f8d88f. build_indicator.py, sha256 da3473bd56a4a7b9 |
| Written-response records | C044.qa.json, sha256 6740a4a2dab8ded4. C044.wfacts.json, sha256 4e95ac07eae5e593. Prose C044.json, sha256 04be8038b88e9c23 |
