Study Data · Part 1 · Indicator Deep-Dive Analysis

What is the contract term of this engagement, in months?

Indicator C045 · By Phil Hatch · Akholi · October 9, 2026

Indicator Specification

Table 1. Indicator specificationTable
FieldValue
Indicator codeC045
Question as askedWhat is the contract term of this engagement, in months?
Failure categoryNot one of the 100 rated indicators
Place in the surveyEngagement Details > 2.4 Commercial Structure > Contract
Indicator classPerceived fact
Indicator typeTyped number
Response scaleA number, as typed or recorded
Answering base339 of 850 respondents, across 150 of 150 engagements
Non-answersI do not know 258, I prefer to not answer 0, blank 253

Summary of Findings

Table 2. Key results: association of the indicator with the four study measuresTable
MeasureFormnr95% CIp
Cancellation rateDescriptive contrast150 engagements−0.10−0.26 to 0.060.223
Customer satisfactionClean estimate94 engagements0.03−0.17 to 0.240.744
Engagement indicator meanFull150 engagements0.08−0.08 to 0.240.302
Intent to leaveRespondent level, clustered327 respondents−0.02−0.19 to 0.140.781

Respondents reported multi-year contract terms at the median (mean 30.9, median 36.0, n = 339 respondents). The association with cancellation was equivalent to zero (TOST p 0.006). The association with customer satisfaction on active engagements was equivalent to zero (TOST p 0.004). The association with the engagement indicator mean was equivalent to zero (TOST p 0.003). The association with intent to leave was equivalent to zero (TOST p < 0.001). Contract term differed after Holm control by vendor type (Welch F 4.06, Holm p 0.029, omega squared 0.030).

Distribution of Responses

Table 3. Distribution of responses, respondent levelTable
AnswerRespondentsShare of answered (base 339)Cumulative shareEngagements with at least oneShare of 150 engagementsDistressed
12.0 to 16.86619.47%19.47%2919.33%Not applicable
16.8 to 21.600.00%19.47%00.00%Not applicable
21.6 to 26.410230.09%49.56%4832.00%Not applicable
26.4 to 31.200.00%49.56%00.00%Not applicable
31.2 to 36.000.00%49.56%00.00%Not applicable
36.0 to 40.810530.97%80.53%4832.00%Not applicable
40.8 to 45.600.00%80.53%00.00%Not applicable
45.6 to 50.44212.39%92.92%138.67%Not applicable
50.4 to 55.200.00%92.92%00.00%Not applicable
55.2 to 60.0247.08%100.00%128.00%Not applicable
I do not know258Not in baseNot in base12784.67%Not applicable
I prefer to not answer0Not in baseNot in base00.00%Not applicable
Answered, total339100.00%150100.00%
Table 4. Distribution of responses, engagement levelTable
Engagement level summaryEngagementsMean of engagement meansSDMinMedianMaxEngagements with a distressed meanShare of engagements distressed
Engagement means, as recorded15030.513.712.024.060.0Not applicableNot applicable

The study set mean was 30.9 on 339 answering respondents, with a median of 36.0.

Descriptive Statistics by Segment

Table 5a. Descriptive statistics by segment, part 1 of 2Table
SegmentBaseAnsweredAnswer rateEngagementsMean95% CISD
Study set85033939.88% of 85015030.929.4 to 32.413.7
Outsourcing model
CXM2329038.79% of 2324233.230.2 to 36.214.3
ITO2449639.34% of 2444027.525.2 to 29.811.5
BPO2098842.11% of 2093733.730.7 to 36.714.2
KPO1656539.39% of 1653129.025.5 to 32.514.2
Institution type
Asset management1325037.88% of 1322429.325.9 to 32.711.9
Wealth management and private banking1405640.00% of 1402333.629.4 to 37.915.8
Investment banking (advisory and capital-markets origination)1053937.14% of 1051930.226.5 to 33.811.3
Insurance (life, property and casualty, health)782937.18% of 781434.3†14.2
Commercial and business banking823137.80% of 821337.232.0 to 42.314.0
Payments and merchant acquiring (networks, acquiring, processing)713346.48% of 711332.426.4 to 38.316.8
Credit card and payments issuing732736.99% of 731225.3†12.6
Retail and consumer banking733345.21% of 731230.525.9 to 35.213.1
Markets and trading (sales and trading, global markets)572238.60% of 571125.1†9.7
Private equity and private capital391948.72% of 39925.9†10.0
Process family
Corporate and back-office functions24810542.34% of 2484729.426.5 to 32.214.8
Technology engineering and operations2048240.20% of 2043528.826.0 to 31.612.8
Client servicing and communications943638.30% of 941636.031.4 to 40.613.5
Trade, settlement and reconciliation803037.50% of 801533.229.2 to 37.210.8
Payments, cards and disputes733243.84% of 731229.624.2 to 35.014.9
Credit, underwriting and suitability571729.82% of 57925.4†10.3
Regulatory, audit, tax and legal511937.25% of 51934.7†13.8
Financial crime and client onboarding431841.86% of 43738.7†12.0
Class of work
LOB Operational45117338.36% of 4517631.129.1 to 33.012.9
Corporate Functional39916641.60% of 3997430.728.5 to 33.014.6
Engagement status and lifecycle stage
Active, Build-Out1757341.71% of 1753132.529.1 to 36.014.9
Active, Transition/Cut-Over2509538.00% of 2504332.129.2 to 35.014.2
Active, Production1034341.75% of 1032029.324.4 to 34.216.0
Canceled32212839.75% of 3225629.627.6 to 31.711.8
Respondent role
Individual Contributor66715623.39% of 66711031.429.2 to 33.513.7
Engagement Manager150150100.00% of 15015030.528.3 to 32.713.7
Portfolio Director3131100.00% of 313130.625.3 to 35.914.5
Customer Management Executive222 of 22‡
Vendor type
IT services major31612940.82% of 3165929.226.7 to 31.714.2
BPO specialist1988844.44% of 1983732.329.3 to 35.314.1
Consulting firm1174841.03% of 1172328.324.3 to 32.213.7
Boutique or specialist provider873944.83% of 871737.533.6 to 41.412.1
Pure-play agentic AI firm752736.00% of 751429.8†10.7
Not reported, recovered by engagement57814.04% of 578‡
Note: † Base under 30. No interval is reported. ‡ Base under 10. No statistic is reported.
Table 5b. Descriptive statistics by segment, part 2 of 2Table
SegmentMinQ1MedianQ3MaxDistressed nDistressed %
Study set12.024.036.036.060.0Not applicableNot applicable
Outsourcing model
CXM12.024.036.036.060.0Not applicableNot applicable
ITO12.024.024.036.048.0Not applicableNot applicable
BPO12.024.036.048.060.0Not applicableNot applicable
KPO12.024.024.036.060.0Not applicableNot applicable
Institution type
Asset management12.024.024.036.060.0Not applicableNot applicable
Wealth management and private banking12.024.036.048.060.0Not applicableNot applicable
Investment banking (advisory and capital-markets origination)12.024.036.036.060.0Not applicableNot applicable
Insurance (life, property and casualty, health)12.024.024.048.060.0Not applicableNot applicable
Commercial and business banking12.024.036.048.060.0Not applicableNot applicable
Payments and merchant acquiring (networks, acquiring, processing)12.012.024.048.060.0Not applicableNot applicable
Credit card and payments issuing12.012.024.036.048.0Not applicableNot applicable
Retail and consumer banking12.024.036.036.060.0Not applicableNot applicable
Markets and trading (sales and trading, global markets)12.015.024.036.036.0Not applicableNot applicable
Private equity and private capital12.018.024.036.036.0Not applicableNot applicable
Process family
Corporate and back-office functions12.012.024.036.060.0Not applicableNot applicable
Technology engineering and operations12.024.024.036.060.0Not applicableNot applicable
Client servicing and communications12.024.036.039.060.0Not applicableNot applicable
Trade, settlement and reconciliation12.024.036.036.060.0Not applicableNot applicable
Payments, cards and disputes12.012.024.048.048.0Not applicableNot applicable
Credit, underwriting and suitability12.024.024.024.060.0Not applicableNot applicable
Regulatory, audit, tax and legal12.024.036.036.060.0Not applicableNot applicable
Financial crime and client onboarding24.027.036.048.060.0Not applicableNot applicable
Class of work
LOB Operational12.024.036.036.060.0Not applicableNot applicable
Corporate Functional12.024.036.036.060.0Not applicableNot applicable
Engagement status and lifecycle stage
Active, Build-Out12.024.036.048.060.0Not applicableNot applicable
Active, Transition/Cut-Over12.024.036.042.060.0Not applicableNot applicable
Active, Production12.012.036.036.060.0Not applicableNot applicable
Canceled12.024.024.036.060.0Not applicableNot applicable
Respondent role
Individual Contributor12.024.036.036.060.0Not applicableNot applicable
Engagement Manager12.024.024.036.060.0Not applicableNot applicable
Portfolio Director12.018.036.036.060.0Not applicableNot applicable
Customer Management Executive‡ n = 2
Vendor type
IT services major12.012.024.036.060.0Not applicableNot applicable
BPO specialist12.024.036.048.060.0Not applicableNot applicable
Consulting firm12.012.024.036.060.0Not applicableNot applicable
Boutique or specialist provider12.036.036.036.060.0Not applicableNot applicable
Pure-play agentic AI firm12.024.024.036.048.0Not applicableNot applicable
Not reported, recovered by engagement‡ n = 8
Note: ‡ Base under 10. No statistic is reported.

Figures are respondent level. Means are on the scale as recorded. A level under 30 prints no interval and a level under 10 prints counts only.

Tests of Difference Between Segments

Table 6a. Tests of difference between segments, part 1 of 2Table
Segment familyWelch FdfpHolm pOmega squared90% CI
Outsourcing model1.803, 77.30.1540.9250.0120.000 to 0.075
Institution type1.208, 49.40.3161.0000.0000.000 to 0.074
Process family0.734, 39.50.5781.000−0.0080.000 to 0.053
Class of work0.081, 145.10.7801.000−0.0060.000 to 0.020
Engagement status and lifecycle stage0.793, 57.90.5031.000−0.0040.000 to 0.047
Respondent role0.172, 83.60.8401.000−0.0050.000 to 0.008
Vendor type4.064, 107.80.0040.0290.0300.007 to 0.072
Table 6b. Tests of difference between segments, part 2 of 2Table
Segment familyKruskal-Wallis HpDistressed chi-squaredfpCramer’s VLevels left out
Outsourcing model4.630.201Not applicableNot applicableNone
Institution type7.350.499Not applicableNot applicablea
Process family3.500.477Not applicableNot applicableb
Class of work0.210.643Not applicableNot applicableNone
Engagement status and lifecycle stage1.980.576Not applicableNot applicableNone
Respondent role0.440.803Not applicableNot applicablec
Vendor type14.720.005Not applicableNot applicabled
Note: a Private equity and private capital, n = 9. b Credit, underwriting and suitability, n = 9, Regulatory, audit, tax and legal, n = 9, Financial crime and client onboarding, n = 7. c Customer Management Executive, n = 2. d Not reported, recovered by engagement, n = 8.

Engagement families were tested on engagement means, and respondent role and vendor type were tested on respondents. A distressed p marked exact is a Fisher exact test for a two by two table, and one marked simulated is a Monte Carlo test run until its p is stable to the third decimal, both used where an expected count is under 5. Vendor type differed after Holm control (Welch F 4.06, Holm p 0.029, tested on respondents). In Descriptive Statistics by Segment, Boutique or specialist provider had the highest mean, 37.5 (n = 39 respondents), and Consulting firm the lowest, 28.3 (n = 48 respondents). No difference held after Holm control for outsourcing model, institution type, process family, class of work, engagement status and lifecycle stage and respondent role.

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.

Table 7a. Association with cancellation rate by segment, part 1 of 2Table
SegmentEngagementsCanceledCancellation ratePoint-biserial r95% CIpHolm p
Study set1505637.33% of 150−0.10−0.26 to 0.060.2231.000
Outsourcing model
CXM421535.71% of 42−0.09−0.38 to 0.220.5711.000
ITO401537.50% of 40−0.06−0.37 to 0.250.6991.000
BPO371437.84% of 37−0.29−0.56 to 0.040.0871.000
KPO311238.71% of 310.05−0.31 to 0.400.7911.000
Institution type
Asset management241354.17% of 24−0.29†0.1741.000
Wealth management and private banking23834.78% of 23−0.04†0.8491.000
Investment banking (advisory and capital-markets origination)19947.37% of 19−0.08†0.7501.000
Insurance (life, property and casualty, health)14535.71% of 14−0.42†0.1381.000
Commercial and business banking13430.77% of 130.00†1.0001.000
Payments and merchant acquiring (networks, acquiring, processing)13323.08% of 130.06†0.8461.000
Credit card and payments issuing12541.67% of 120.13†0.6981.000
Retail and consumer banking12433.33% of 12−0.21†0.5101.000
Markets and trading (sales and trading, global markets)11327.27% of 110.07†0.8371.000
Private equity and private capital922 of 9‡
Process family
Corporate and back-office functions471940.43% of 47−0.03−0.32 to 0.260.8321.000
Technology engineering and operations351028.57% of 35−0.14−0.45 to 0.200.4181.000
Client servicing and communications16956.25% of 16−0.34†0.1921.000
Trade, settlement and reconciliation15853.33% of 15−0.18†0.5301.000
Payments, cards and disputes12216.67% of 120.20†0.5331.000
Credit, underwriting and suitability911 of 9‡
Regulatory, audit, tax and legal944 of 9‡
Financial crime and client onboarding733 of 7‡
Class of work
LOB Operational763039.47% of 76−0.02−0.25 to 0.200.8331.000
Corporate Functional742635.14% of 74−0.17−0.39 to 0.060.1391.000
Engagement status and lifecycle stage
Active, Build-Out3100.00% of 31Not computable, no variation in cancellation
Active, Transition/Cut-Over4300.00% of 43Not computable, no variation in cancellation
Active, Production2000.00% of 20Not computable, no variation in cancellation
Canceled5656100.00% of 56Not computable, no variation in cancellation
Note: † Base under 30. No interval is reported. ‡ Base under 10. No statistic is reported.
Table 7b. Association with cancellation rate by segment, part 2 of 2Table
SegmentOdds ratio per point95% CIAUCRate, distressed engagementsRate, other engagementsFisher pTOST p
Study set0.980.96 to 1.010.55Not applicableNot applicableNot applicable0.006
Outsourcing model
CXM0.990.94 to 1.030.60Not applicableNot applicableNot applicable0.085
ITO0.990.93 to 1.050.53Not applicableNot applicableNot applicable0.067
BPO0.950.90 to 1.010.66Not applicableNot applicableNot applicable0.463
KPO1.010.96 to 1.050.60Not applicableNot applicableNot applicable0.085
Institution type
Asset management0.95† n = 240.63Not applicableNot applicableNot applicable0.473
Wealth management and private banking0.99† n = 230.53Not applicableNot applicableNot applicable0.116
Investment banking (advisory and capital-markets origination)0.99† n = 190.54Not applicableNot applicableNot applicable0.178
Insurance (life, property and casualty, health)0.93† n = 140.72Not applicableNot applicableNot applicable0.672
Commercial and business banking1.00† n = 130.51Not applicableNot applicableNot applicable0.164
Payments and merchant acquiring (networks, acquiring, processing)1.01† n = 130.55Not applicableNot applicableNot applicable0.215
Credit card and payments issuing1.02† n = 120.57Not applicableNot applicableNot applicable0.291
Retail and consumer banking0.96† n = 120.63Not applicableNot applicableNot applicable0.388
Markets and trading (sales and trading, global markets)1.02† n = 110.56Not applicableNot applicableNot applicable0.249
Private equity and private capital‡ n = 9
Process family
Corporate and back-office functions1.000.96 to 1.040.50Not applicableNot applicableNot applicable0.033
Technology engineering and operations0.970.91 to 1.040.59Not applicableNot applicableNot applicable0.172
Client servicing and communications0.94† n = 160.72Not applicableNot applicableNot applicable0.570
Trade, settlement and reconciliation0.97† n = 150.59Not applicableNot applicableNot applicable0.324
Payments, cards and disputes1.04† n = 120.65Not applicableNot applicableNot applicable0.374
Credit, underwriting and suitability‡ n = 9
Regulatory, audit, tax and legal‡ n = 9
Financial crime and client onboarding‡ n = 7
Class of work
LOB Operational1.000.96 to 1.030.51Not applicableNot applicableNot applicable0.007
Corporate Functional0.970.94 to 1.010.60Not applicableNot applicableNot applicable0.129
Engagement status and lifecycle stage
Active, Build-OutNot computable, no variation in cancellation
Active, Transition/Cut-OverNot computable, no variation in cancellation
Active, ProductionNot computable, no variation in cancellation
CanceledNot computable, no variation in cancellation
Note: † Base under 30. No interval is reported. ‡ Base under 10. No statistic is reported.

The study set r was −0.10 (95% CI −0.26 to 0.06, Holm p 1.000, n = 150 engagements). The association did not hold after Holm control. Equivalence Tests of Null Results found it equivalent to zero inside the bound. Of the 20 tested segment levels, 0 held after Holm control.

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.

Table 8a. Association with customer satisfaction by segment, part 1 of 2Table
SegmentActive engagementsClean r95% CIpHolm pSpearman rhop
Study set940.03−0.17 to 0.240.7441.0000.020.836
Outsourcing model
CXM27−0.23†0.2551.000−0.310.120
ITO250.28†0.1741.0000.310.129
BPO23−0.08†0.7241.000−0.080.732
KPO190.14†0.5771.0000.090.711
Institution type
Asset management110.54†0.0841.0000.690.019
Wealth management and private banking15−0.27†0.3321.000−0.320.247
Investment banking (advisory and capital-markets origination)100.25†0.4801.0000.260.466
Insurance (life, property and casualty, health)9‡
Commercial and business banking9‡
Payments and merchant acquiring (networks, acquiring, processing)10−0.08†0.8281.000−0.200.582
Credit card and payments issuing7‡
Retail and consumer banking8‡
Markets and trading (sales and trading, global markets)8‡
Private equity and private capital7‡
Process family
Corporate and back-office functions280.07†0.7081.0000.040.822
Technology engineering and operations250.24†0.2501.0000.240.250
Client servicing and communications7‡
Trade, settlement and reconciliation7‡
Payments, cards and disputes10−0.08†0.8271.000−0.040.917
Credit, underwriting and suitability8‡
Regulatory, audit, tax and legal5‡
Financial crime and client onboarding4‡
Class of work
LOB Operational460.13−0.17 to 0.410.3891.0000.120.409
Corporate Functional48−0.07−0.35 to 0.220.6211.000−0.090.565
Engagement status and lifecycle stage
Active, Build-Out310.00−0.35 to 0.360.9851.0000.040.842
Active, Transition/Cut-Over430.11−0.20 to 0.400.4801.0000.100.509
Active, Production20−0.08†0.7351.000−0.110.633
Canceled0a
Note: † Base under 30. No interval is reported. ‡ Base under 10. No statistic is reported. a No clean estimate, canceled engagements fall outside the active population.
Table 8b. Association with customer satisfaction by segment, part 2 of 2Table
SegmentSlope, points per rating point95% CIR squaredTOST pAll engagementsDescriptive rp
Study set0.03−0.13 to 0.190.000.0041500.100.219
Outsourcing model
CXM−0.22† n = 270.050.350420.040.825
ITO0.24† n = 250.080.461400.110.496
BPO−0.05† n = 230.010.150370.250.143
KPO0.09† n = 190.020.246310.000.994
Institution type
Asset management0.33† n = 110.300.802240.390.060
Wealth management and private banking−0.18† n = 150.070.45423−0.020.922
Investment banking (advisory and capital-markets origination)0.21† n = 100.060.447190.140.570
Insurance (life, property and casualty, health)‡ n = 9
Commercial and business banking‡ n = 9
Payments and merchant acquiring (networks, acquiring, processing)−0.06† n = 100.010.27113−0.100.751
Credit card and payments issuing‡ n = 7
Retail and consumer banking‡ n = 8
Markets and trading (sales and trading, global markets)‡ n = 8
Private equity and private capital‡ n = 7
Process family
Corporate and back-office functions0.06† n = 280.010.120470.060.669
Technology engineering and operations0.20† n = 250.060.379350.200.261
Client servicing and communications‡ n = 7
Trade, settlement and reconciliation‡ n = 7
Payments, cards and disputes−0.06† n = 100.010.27212−0.210.504
Credit, underwriting and suitability‡ n = 8
Regulatory, audit, tax and legal‡ n = 5
Financial crime and client onboarding‡ n = 4
Class of work
LOB Operational0.12−0.15 to 0.390.020.121760.060.637
Corporate Functional−0.05−0.24 to 0.150.010.057740.150.210
Engagement status and lifecycle stage
Active, Build-Out0.00−0.24 to 0.240.000.053310.000.985
Active, Transition/Cut-Over0.10−0.18 to 0.380.010.105430.110.480
Active, Production−0.06†0.010.17320−0.080.735
Canceledno clean estimate, canceled engagements fall outside the active population
Note: † Base under 30. No interval is reported. ‡ Base under 10. No statistic is reported.

The study set r was 0.03 (95% CI −0.17 to 0.24, Holm p 1.000, n = 94 engagements). The association did not hold after Holm control. Equivalence Tests of Null Results found it equivalent to zero inside the bound. Of the 16 tested segment levels, 0 held after Holm control.

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.

Table 9a. Association with the engagement indicator mean by segment, part 1 of 2Table
SegmentEngagementsLeave-one-out r95% CIpHolm pSpearman rhop
Study set1500.08−0.08 to 0.240.3021.0000.070.376
Outsourcing model
CXM420.05−0.26 to 0.350.7671.0000.070.652
ITO400.17−0.15 to 0.460.2991.0000.160.316
BPO370.14−0.19 to 0.450.4011.0000.140.401
KPO310.06−0.30 to 0.410.7481.000−0.030.872
Institution type
Asset management240.32†0.1301.0000.260.226
Wealth management and private banking23−0.09†0.6921.000−0.130.541
Investment banking (advisory and capital-markets origination)190.18†0.4641.0000.140.559
Insurance (life, property and casualty, health)140.18†0.5431.0000.130.661
Commercial and business banking130.25†0.4051.0000.260.393
Payments and merchant acquiring (networks, acquiring, processing)13−0.06†0.8551.000−0.200.521
Credit card and payments issuing12−0.07†0.8241.000−0.040.900
Retail and consumer banking120.00†0.9961.000−0.040.911
Markets and trading (sales and trading, global markets)110.02†0.9591.000−0.140.682
Private equity and private capital9‡
Process family
Corporate and back-office functions47−0.02−0.30 to 0.270.8981.000−0.020.901
Technology engineering and operations350.31−0.03 to 0.580.0741.0000.310.075
Client servicing and communications160.14†0.6081.0000.100.726
Trade, settlement and reconciliation15−0.11†0.6931.000−0.060.840
Payments, cards and disputes12−0.06†0.8511.0000.150.639
Credit, underwriting and suitability9‡
Regulatory, audit, tax and legal9‡
Financial crime and client onboarding7‡
Class of work
LOB Operational760.05−0.17 to 0.280.6461.0000.040.719
Corporate Functional740.12−0.12 to 0.340.3261.0000.100.402
Engagement status and lifecycle stage
Active, Build-Out310.01−0.35 to 0.360.9661.0000.060.750
Active, Transition/Cut-Over430.07−0.24 to 0.360.6641.0000.020.885
Active, Production200.03†0.9021.0000.030.884
Canceled56−0.06−0.32 to 0.200.6351.000−0.170.210
Note: † Base under 30. No interval is reported. ‡ Base under 10. No statistic is reported.
Table 9b. Association with the engagement indicator mean by segment, part 2 of 2Table
Segmentr with indicator includedChange in rSlope95% CIR squaredTOST pEquivalent
Study setNot a component0.01−0.01 to 0.030.010.003Yes
Outsourcing model
CXMNot a component0.01−0.03 to 0.040.000.051No
ITONot a component0.02−0.02 to 0.060.030.198No
BPONot a component0.01−0.02 to 0.050.020.166No
KPONot a component0.01−0.03 to 0.050.000.093No
Institution type
Asset managementNot a component0.04† n = 240.100.536No
Wealth management and private bankingNot a component−0.01† n = 230.010.160No
Investment banking (advisory and capital-markets origination)Not a component0.02† n = 190.030.303No
Insurance (life, property and casualty, health)Not a component0.02† n = 140.030.333No
Commercial and business bankingNot a component0.03† n = 130.060.436No
Payments and merchant acquiring (networks, acquiring, processing)Not a component−0.01† n = 130.000.212No
Credit card and payments issuingNot a component−0.01† n = 120.010.238No
Retail and consumer bankingNot a component0.00† n = 120.000.178No
Markets and trading (sales and trading, global markets)Not a component0.00† n = 110.000.204No
Private equity and private capital‡ n = 9
Process family
Corporate and back-office functionsNot a component0.00−0.04 to 0.030.000.027Yes
Technology engineering and operationsNot a component0.030.00 to 0.070.090.515No
Client servicing and communicationsNot a component0.02† n = 160.020.270No
Trade, settlement and reconciliationNot a component−0.01† n = 150.010.247No
Payments, cards and disputesNot a component−0.01† n = 120.000.228No
Credit, underwriting and suitability‡ n = 9
Regulatory, audit, tax and legal‡ n = 9
Financial crime and client onboarding‡ n = 7
Class of work
LOB OperationalNot a component0.01−0.02 to 0.030.000.014Yes
Corporate FunctionalNot a component0.01−0.01 to 0.040.010.052No
Engagement status and lifecycle stage
Active, Build-OutNot a component0.00−0.03 to 0.030.000.055No
Active, Transition/Cut-OverNot a component0.01−0.02 to 0.030.000.064No
Active, ProductionNot a component0.00† n = 200.000.124No
CanceledNot a component0.00−0.02 to 0.010.000.037Yes
Note: † Base under 30. No interval is reported. ‡ Base under 10. No statistic is reported.

The study set r was 0.08 (95% CI −0.08 to 0.24, Holm p 1.000, n = 150 engagements). The association did not hold after Holm control. Equivalence Tests of Null Results found it equivalent to zero inside the bound. Of the 24 tested segment levels, 0 held after Holm control.

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.

Table 10a. Association with intent to leave by segment, part 1 of 2Table
SegmentRespondentsr95% CICluster bootstrap 95% CIpHolm p
Study set327−0.02−0.13 to 0.09−0.19 to 0.140.6771.000
Outsourcing model
CXM860.19−0.02 to 0.39−0.17 to 0.470.0721.000
ITO94−0.12−0.32 to 0.08−0.41 to 0.230.2471.000
BPO86−0.07−0.27 to 0.15−0.36 to 0.240.5491.000
KPO61−0.09−0.34 to 0.16−0.44 to 0.330.4841.000
Institution type
Asset management49−0.34−0.57 to −0.06−0.64 to 0.150.0180.639
Wealth management and private banking550.01−0.26 to 0.27−0.41 to 0.410.9421.000
Investment banking (advisory and capital-markets origination)370.08−0.25 to 0.39−0.43 to 0.450.6331.000
Insurance (life, property and casualty, health)29−0.20††0.2991.000
Commercial and business banking290.07††0.7091.000
Payments and merchant acquiring (networks, acquiring, processing)320.23−0.13 to 0.54−0.54 to 0.700.2051.000
Credit card and payments issuing260.18††0.3691.000
Retail and consumer banking300.02−0.35 to 0.37−0.42 to 0.400.9351.000
Markets and trading (sales and trading, global markets)22−0.07††0.7581.000
Private equity and private capital18−0.14††0.5891.000
Process family
Corporate and back-office functions98−0.01−0.20 to 0.19−0.27 to 0.260.9481.000
Technology engineering and operations81−0.25−0.44 to −0.03−0.52 to 0.090.0260.923
Client servicing and communications36−0.15−0.46 to 0.18−0.66 to 0.260.3681.000
Trade, settlement and reconciliation290.09††0.6301.000
Payments, cards and disputes310.23−0.14 to 0.54−0.24 to 0.600.2181.000
Credit, underwriting and suitability17−0.11††0.6851.000
Regulatory, audit, tax and legal17−0.35††0.1671.000
Financial crime and client onboarding18−0.09††0.7311.000
Class of work
LOB Operational1670.08−0.07 to 0.23−0.17 to 0.300.3001.000
Corporate Functional160−0.13−0.28 to 0.03−0.33 to 0.090.1051.000
Engagement status and lifecycle stage
Active, Build-Out720.06−0.17 to 0.29−0.24 to 0.340.6071.000
Active, Transition/Cut-Over92−0.06−0.26 to 0.15−0.33 to 0.240.5981.000
Active, Production410.14−0.18 to 0.43−0.25 to 0.510.3841.000
Canceled1220.07−0.11 to 0.24−0.08 to 0.200.4691.000
Respondent role
Individual Contributor1450.03−0.13 to 0.19−0.17 to 0.220.7251.000
Engagement Manager150−0.05−0.21 to 0.11−0.22 to 0.110.5231.000
Portfolio Director31−0.09−0.43 to 0.27−0.36 to 0.230.6301.000
Customer Management Executive1‡
Vendor type
IT services major1270.10−0.08 to 0.27−0.16 to 0.330.2721.000
BPO specialist850.03−0.19 to 0.24−0.34 to 0.330.8111.000
Consulting firm460.05−0.24 to 0.33−0.36 to 0.470.7451.000
Boutique or specialist provider36−0.35−0.61 to −0.02−0.74 to 0.190.0381.000
Pure-play agentic AI firm26−0.67††< 0.0010.007
Not reported, recovered by engagement7‡
Note: † Base under 30. No interval is reported. ‡ Base under 10. No statistic is reported.
Table 10b. Association with intent to leave by segment, part 2 of 2Table
SegmentSpearman rhopShare at 7 or above, distressedShare at 7 or above, otherEngagementsEngagement level r95% CITOST p
Study set−0.030.640Not applicableNot applicable150−0.05−0.21 to 0.11< 0.001
Outsourcing model
CXM0.140.194Not applicableNot applicable420.09−0.22 to 0.390.089
ITO−0.090.406Not applicableNot applicable40−0.09−0.39 to 0.230.090
BPO−0.070.516Not applicableNot applicable37−0.06−0.38 to 0.270.073
KPO0.050.698Not applicableNot applicable31−0.16−0.48 to 0.210.209
Institution type
Asset management−0.260.074Not applicableNot applicable24−0.27†0.447
Wealth management and private banking−0.020.911Not applicableNot applicable23−0.02†0.100
Investment banking (advisory and capital-markets origination)0.050.778Not applicableNot applicable19−0.08†0.175
Insurance (life, property and casualty, health)−0.270.155Not applicableNot applicable14−0.06†0.206
Commercial and business banking0.050.800Not applicableNot applicable130.02†0.183
Payments and merchant acquiring (networks, acquiring, processing)0.270.133Not applicableNot applicable130.04†0.198
Credit card and payments issuing0.220.291Not applicableNot applicable120.23†0.410
Retail and consumer banking−0.020.926Not applicableNot applicable12−0.05†0.215
Markets and trading (sales and trading, global markets)−0.050.834Not applicableNot applicable110.08†0.256
Private equity and private capital−0.150.563Not applicableNot applicable9‡‡
Process family
Corporate and back-office functions0.010.933Not applicableNot applicable470.04−0.25 to 0.320.035
Technology engineering and operations−0.250.026Not applicableNot applicable35−0.24−0.53 to 0.100.350
Client servicing and communications−0.250.134Not applicableNot applicable16−0.20†0.350
Trade, settlement and reconciliation0.060.751Not applicableNot applicable150.05†0.186
Payments, cards and disputes0.330.069Not applicableNot applicable120.24†0.428
Credit, underwriting and suitability−0.060.831Not applicableNot applicable9‡‡
Regulatory, audit, tax and legal−0.280.269Not applicableNot applicable9‡‡
Financial crime and client onboarding−0.090.735Not applicableNot applicable7‡‡
Class of work
LOB Operational0.070.353Not applicableNot applicable76−0.01−0.24 to 0.210.005
Corporate Functional−0.140.083Not applicableNot applicable74−0.09−0.31 to 0.140.032
Engagement status and lifecycle stage
Active, Build-Out0.030.813Not applicableNot applicable310.11−0.26 to 0.440.142
Active, Transition/Cut-Over−0.040.708Not applicableNot applicable43−0.07−0.36 to 0.240.062
Active, Production0.140.386Not applicableNot applicable200.17†0.285
Canceled0.060.527Not applicableNot applicable560.10−0.17 to 0.350.062
Respondent role
Individual Contributor0.010.947Not applicableNot applicable1030.02−0.18 to 0.210.002
Engagement Manager−0.050.550Not applicableNot applicable150−0.05−0.21 to 0.11< 0.001
Portfolio Director−0.090.613Not applicableNot applicable31−0.09−0.43 to 0.270.123
Customer Management Executive‡ n = 1
Vendor type
IT services major0.130.136Not applicableNot applicable590.03−0.23 to 0.280.019
BPO specialist−0.020.872Not applicableNot applicable37−0.02−0.34 to 0.310.044
Consulting firm0.110.463Not applicableNot applicable23−0.02†0.095
Boutique or specialist provider−0.420.012Not applicableNot applicable17−0.29†0.487
Pure-play agentic AI firm−0.65< 0.001Not applicableNot applicable14−0.67†0.952
Not reported, recovered by engagement‡ n = 7
Note: † Base under 30. No interval is reported. ‡ Base under 10. No statistic is reported.

The study set r was −0.02 (95% CI −0.13 to 0.09, Holm p 1.000, n = 327 respondents). The association did not hold after Holm control. Equivalence Tests of Null Results found it equivalent to zero inside the bound. Of the 36 tested segment levels, 1 held after Holm control.

Comparison of Associations Across the Four Measures

Table 11. Associations across the four measuresTable
MeasureFormUnitnr95% CIpEquivalent to zeroRank among the four
Cancellation rateDescriptive contrastEngagement150−0.10−0.26 to 0.060.223Yes1
Customer satisfactionClean estimateEngagement940.03−0.17 to 0.240.744Yes3
Engagement indicator meanFullEngagement1500.08−0.08 to 0.240.302Yes2
Intent to leaveRespondent level, clusteredRespondent327−0.02−0.19 to 0.140.781Yes4
Table 12. Pairwise comparison of associationsTable
Pair comparedDifference in rSteiger zpHolm pReading
Cancellation rate and customer satisfaction0.00−0.030.9761.000Do not differ
Cancellation rate and engagement indicator mean0.020.250.8041.000Do not differ
Cancellation rate and intent to leave0.030.630.5261.000Do not differ
Customer satisfaction and engagement indicator mean0.020.360.7171.000Do not differ
Customer satisfaction and intent to leave0.030.900.3681.000Do not differ
Engagement indicator mean and intent to leave0.020.370.7101.000Do not differ

Pairs were compared on the engagement level form of every measure, each turned so that a higher value was the better outcome, on the 150 engagements where the indicator and all four measures existed. Of the 6 pairs, 0 differed after Holm control.

Clustering and Effective Sample Size

Table 13. Clustering and effective sample sizeTable
StatisticValueReading
Clusters (engagements)150Engagements with at least one answer.
Mean respondents per engagement2.3Answers per engagement with at least one answer.
ICC(1)1.00Share of variance between engagements.
Design effect2.261 plus (mean cluster size minus 1) times ICC.
Nominal respondent n339Respondents who answered.
Effective n150Nominal n divided by the design effect.
Cluster bootstrap appliedYesApplied to every respondent level CI where the ICC is 0.05 or above.

Clustering reduced the 339 respondent answers to about 150 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

Table 14. Equivalence tests of null resultsTable
MeasurenrEquivalence boundTOST p, lowerTOST p, upperEquivalent to zeroAchieved powerMDE at power 0.80Detection floor for this n
Cancellation rate150−0.10|r| < 0.300.006< 0.001Yes0.960.230.23
Customer satisfaction940.03|r| < 0.30< 0.0010.004Yes0.840.290.23
Engagement indicator mean1500.08|r| < 0.30< 0.0010.003Yes0.960.230.23
Intent to leave327, effective 144−0.02|r| < 0.30< 0.001< 0.001Yes0.960.230.23

Tested null, equivalent to zero: cancellation rate, customer satisfaction, engagement indicator mean and intent to leave. No result was inconclusive. The detection floor column is the study floor at 150 engagements. Intent to leave was tested on its effective n.

Robustness Checks

Table 15. Robustness checksTable
CheckMeasurePrimary rCheck r95% CIChangeConclusion holds
Rank correlation in place of PearsonCancellation rate−0.10−0.09a0.01Yes
Rank correlation in place of PearsonCustomer satisfaction0.030.02a−0.01Yes
Rank correlation in place of PearsonEngagement indicator mean0.080.07a−0.01Yes
Rank correlation in place of PearsonIntent to leave−0.02−0.03a0.00Yes
Non-answers excluded, then imputed at the engagement meanIntent to leave−0.02−0.05a−0.03Yes
Active engagements onlyEngagement indicator mean0.080.04−0.17 to 0.24−0.05Yes
Active engagements onlyIntent to leave−0.020.03−0.11 to 0.170.05Yes
Most influential engagement removed (largest Cook’s distance)Cancellation rate−0.10−0.12−0.28 to 0.04−0.02Yes
Most influential engagement removed (largest Cook’s distance)Customer satisfaction0.030.00−0.21 to 0.20−0.04Yes
Most influential engagement removed (largest Cook’s distance)Engagement indicator mean0.080.06−0.11 to 0.22−0.03Yes
Most influential engagement removed (largest Cook’s distance)Intent to leave−0.02−0.03−0.14 to 0.08−0.01Yes
Engagements weighted by respondent countCancellation rate−0.10−0.09a0.01Yes
Engagements weighted by respondent countCustomer satisfaction0.030.03a0.00Yes
Engagements weighted by respondent countEngagement indicator mean0.080.08a0.00Yes
Bootstrap of engagementsCancellation rate−0.10−0.10−0.24 to 0.050.00Yes
Bootstrap of engagementsCustomer satisfaction0.030.03−0.17 to 0.230.00Yes
Bootstrap of engagementsEngagement indicator mean0.080.09−0.07 to 0.240.00Yes
Bootstrap of engagementsIntent to leave−0.02−0.02−0.19 to 0.140.00Yes
Thin-base segments removedCancellation rate−0.10−0.08−0.29 to 0.140.02Yes
Thin-base segments removedCustomer satisfaction0.030.14−0.14 to 0.400.11Yes
Thin-base segments removedEngagement indicator mean0.080.10−0.12 to 0.310.01Yes
Thin-base segments removedIntent to leave−0.02−0.10−0.24 to 0.05−0.07Yes
Note: a No interval for this check.

Each change was computed before rounding, so it can differ by 0.01 from the difference of the two printed values.

Every check held. A check holds when its test lands on the same side of 0.05 as the primary test and, where the primary test is below 0.05, its r keeps the primary sign. Thin-base rule: engagements in any level under 30 engagements of outsourcing model or process family removed. Institution type is not used, because every one of its levels is under 30.

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

Table 16. Comparison with the study normTable
MeasureThis indicator, oriented rStudy median, oriented rDeviationFisher zpHolm p
Cancellation rate0.100.60−0.50−7.14< 0.001< 0.001
Customer satisfaction0.100.72−0.62−9.76< 0.001< 0.001
Engagement indicator mean0.080.84−0.75−13.63< 0.001< 0.001
Intent to leave0.070.71−0.64−9.97< 0.001< 0.001
Spread of deviations0.25
VerdictDIVERGENT

Each deviation was computed before rounding, so it can differ by 0.01 from the difference of the two printed values.

The comparison ran on 150 engagements. The indicator departed from the study’s typical pattern on cancellation rate, customer satisfaction, engagement indicator mean and intent to leave.

Interpretation of the Data

Boutique or specialist provider respondents reported the longest contract terms (mean 37.5, n = 39 respondents), and Consulting firm respondents reported the shortest (mean 28.3, n = 48 respondents). The results held under every robustness check run on this item (22 of 22 checks). Contract term varied by vendor type without any association with the four study measures.

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.

Customer Management Executive answers and answers marked Not reported, recovered by engagement were at anecdote strength (n = 2, n = 8).

Definitions

Table 17. DefinitionsTable
TermDefinition
Response scaleAs recorded, shown in Table 1. The indicator is not a rating, so no distressed range is defined.
Answering baseRespondents who entered a value.
Non-answers“I do not know” and “I prefer to not answer” are counted separately and are excluded from the mean.
Indicator classPerceived fact: a state of the engagement as the respondent perceives it, so “I do not know” is counted and reported as an answer.
Failure categoryOne 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 meanThe mean of an engagement’s 100 indicator ratings.

Sources and Provenance

Table 18. Sources and provenanceTable
ItemValue
Study dataStudy Data.xlsx, Data sheet, column C045, sha256 219eba0457274d04
Statistics enginecompute_statistics.py, sha256 738319eef764602b
Statistics recordComputed Statistics.json, record C045, sha256 e405f65a43e37a6e
ComputedOctober 8, 2026, 01:38 UTC
TemplateIndicator Statistical Analysis Template, version 1.1 of 2026-10-06
Figures placed by script1,987 of 1,987

Continue the report

Executive summary →
Overview

Executive Summary

Four findings from 150 engagements

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Introduction

Introduction

Scope, evidence, and how the report is organized

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Part 1

Engagement Outcomes

Poor results on every measure, and what separates them

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Part 2

The Five Failure Categories

Where failure concentrates, category by category

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Part 3

Governance, Oversight, and Control

Controls that existed in name only

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Part 4

The Delivery Workforce

Early in their careers, dissatisfied, and many intending to leave

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Part 5

Manual Alteration

How the delivery team altered the work to sustain it

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Part 6

Executive Action Plan

Seven immediate actions and a first-year plan

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Appendices

Appendices

Definitions, indicator inventory, method, and disclosures

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Data

Study Data

Deep-dive analyses of the study indicators, published in stages

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