Study Data · Part 2 · Indicator Deep-Dive Analysis

Rate how completely the engagement has mapped every third and fourth party its agents depend on, down the full chain

Indicator C196 · By Phil Hatch · Akholi · October 9, 2026

Indicator Specification

Table 1. Indicator specificationTable
FieldValue
Indicator codeC196
Question as askedRate how completely the engagement has mapped every third and fourth party its agents depend on, down the full chain.
Failure categoryThird-party ecosystem
Place in the surveyChallenge Deep Dive > 5.5 3rd Party Ecosystem > Concentration and Dependency
Indicator classRespondent level
Indicator typeRated, POS
Response scale1 to 10, higher is the better outcome
Answering base791 of 850 respondents, across 150 of 150 engagements
Non-answersI do not know 0, I prefer to not answer 0, blank 59
Written responses addressing the indicator44 responses from 44 respondents on 37 engagements (44 primary, 0 secondary)

Summary of Findings

Table 2. Key results: association of the indicator with the four study measuresTable
MeasureFormnr95% CIp
Cancellation rateDescriptive contrast150 engagements−0.64−0.72 to −0.53< 0.001
Customer satisfactionClean estimate94 engagements0.710.59 to 0.80< 0.001
Engagement indicator meanLeave-one-out150 engagements0.870.83 to 0.91< 0.001
Intent to leaveRespondent level, clustered741 respondents−0.68−0.73 to −0.62< 0.001

The mean rating was 4.6 and the median 5.0 (n = 791 respondents). Ratings of 3 or below, the distressed range, made up 31.86% of the answers. The rating was associated with all four study measures. Higher ratings came with less cancellation (r = −0.64, 95% CI −0.72 to −0.53, p < 0.001, n = 150 engagements), higher customer satisfaction among active engagements (r = 0.71, 95% CI 0.59 to 0.80, p < 0.001, n = 94 engagements), a higher engagement indicator mean computed without the indicator (r = 0.87, 95% CI 0.83 to 0.91, p < 0.001, n = 150 engagements) and lower intent to leave (r = −0.68, cluster bootstrap 95% CI −0.73 to −0.62, p < 0.001 with standard errors clustered by engagement, n = 741 respondents). After Holm correction, ratings differed by engagement status and lifecycle stage (Welch F 38.40, Holm p < 0.001, omega squared 0.394), respondent role (Welch F 7.25, Holm p = 0.008, omega squared 0.018) and vendor type (Welch F 3.37, Holm p = 0.030, omega squared 0.015).

All 44 written responses came from C198, the comment field on the third-party ecosystem. Thirty-five were negative and eight positive, and twenty-six carried the strongest negative score of −10. Most respondents said there was no list of what the agents depended on, or that the list stopped at the direct providers, and several had asked for one without an answer. Engagements with a negative written response were canceled more often, a more negative engagement mean written score came with cancellation, and respondents whose written responses were more negative reported higher intent to leave.

Distribution of Ratings

Table 3. Distribution of ratings, respondent levelTable
AnswerRespondentsShare of answered (base 791)Cumulative shareEngagements with at least oneShare of 150 engagementsDistressed
1799.99%9.99%4026.67%Yes
2698.72%18.71%4731.33%Yes
310413.15%31.86%6644.00%Yes
412115.30%47.16%7952.67%No
513917.57%64.73%8154.00%No
611714.79%79.52%6845.33%No
78711.00%90.52%5033.33%No
8394.93%95.45%2617.33%No
9273.41%98.86%2214.67%No
1091.14%100.00%74.67%No
I do not know0Not in baseNot in base00.00%Not applicable
I prefer to not answer0Not in baseNot in base00.00%Not applicable
Answered, total791100.00%150100.00%
Table 4. Distribution of ratings, engagement levelTable
Engagement level summaryEngagementsMean of engagement meansSDMinMedianMaxEngagements with a distressed meanShare of engagements distressed
Engagement means, goodness view1504.71.91.04.79.73624.00%

Ratings of 3 or below, the distressed range, accounted for 252 of the 791 answers (31.86%). The engagement mean fell in the distressed range in 36 of 150 engagements.

Coverage and Origin of Written Responses

Figure 1. Written responses addressing the indicator, by question answered and written score (n = 44 responses)Exhibit
012.3224.6436.9649.28C198 (primary)2697−10 Strongly negative−5 Negative0 Neutral+5 Positive+10 Strongly positive
Note: Each bar is one survey question. C198 is the written-answer question of the indicator's survey section, so its responses are primary. The responses to every other question are secondary. Segments wide enough to hold a label carry their count. C198 asked: “Add any comments on the third-party ecosystem that the ratings in this section do not capture.”
Table 5. Written responses by originTable
OriginResponsesRespondentsEngagementsNegativeStrongest negative (−10)PositiveMean written score
Primary44443735 of 44 (79.55%)26 of 44 (59.09%)8 of 44 (18.18%)−5.9
Secondary000000None
All responses44443735 of 44 (79.55%)26 of 44 (59.09%)8 of 44 (18.18%)−5.9

The primary responses numbered 44, all written in answer to C198, “Add any comments on the third-party ecosystem that the ratings in this section do not capture.” No response from any other question addressed the indicator, so every response was primary.

Eighteen responses said no list existed of what the agents depended on, or that no one could say what sat behind a feed or service. Several respondents said they could not rate the section because they had never been shown who the providers were. Four said they had asked for the list, in one case in the first month and twice in another, and received no answer. Nine responses said the direct providers were known but the chain beneath them was not, so that a security review or a contract stopped at the first layer. The gap surfaced through failure: a license expired on an unlisted plug-in and the whole nightly run failed unnoticed until morning, a throttling vendor turned out not to be on any list, and a screening feed changed format without ever having been mapped as a dependency. Three respondents contrasted the engagement with an earlier one that kept a list of every feed and whom to call.

Seven responses described a completed map. One respondent said the mapping took two weekends of analysts' time, went unthanked, and let them sleep properly. Another engagement had mapped its chain to the fourth party, and another had a list of sub-processors down to those its own vendor used.

Distribution of Written Sentiment

Figure 2. Distribution of written sentiment (n = 44 responses)Exhibit
0%25%50%75%100%−10 Strongly negative26 (59.09%)−5 Negative9 (20.45%)0 Neutral1 (2.27%)+5 Positive7 (15.91%)+10 Strongly positive1 (2.27%)Share of responses
Note: Column height is the share of the 44 responses. Labels give the count and the share.
Table 6. Summary statistics of written sentimentTable
StatisticValueBasis
Mean written score−5.995% CI −7.8 to −3.9, cluster bootstrap by engagement, 10,000 draws, n = 44 responses
Median written score−10.0n = 44 responses
Negative responses35 of 44 (79.55%)95% CI 65.91% to 91.30% of 44 responses, cluster bootstrap by engagement
Strongest negative responses (−10)26 of 44 (59.09%)Statements of totality, constancy or serious harm
Positive responses8 of 44 (18.18%)+5 or +10
Net balance−61.36 percentage pointsShare positive minus share negative, base 44 responses
Respondent-level mean−5.9Mean of each respondent's own mean written score, n = 44 respondents

Of the 44 responses, 35 (79.55%, 95% CI 65.91% to 91.30%) were negative and 26 (59.09%) carried the strongest negative score of −10. Positive responses numbered 8 (18.18%), and 1 was neutral. The mean written score was −5.9 (95% CI −7.8 to −3.9, n = 44 responses), and the median was −10.0.

Correspondence Between Ratings and Written Sentiment

Figure 3. Written score against the respondent's rating of the indicator (n = 43 responses with a rating)Exhibit
012345678910-10-50510Written sentiment scoreRating112131155221121311
Note: Each marker is one combination of written score and rating, and its area is proportional to the number of responses at that combination. The written score runs from −10 at the left to +10 at the right. The rating rises from the worst outcome at the bottom to the best at the top, and ratings of 3 or below are the distressed range. Of the 44 responses, 1 had no rating and are not shown.

Of the 44 responses, 43 came from respondents who also rated the indicator. Among them, the written score rose with the rating (Spearman rho 0.79, 95% CI 0.64 to 0.90, p < 0.001, n = 43 responses). The written responses corroborated the rating. Of the 34 negative responses with a rating, 22 (64.71%) came from respondents whose rating was in the distressed range.

Rating Profile of Respondents Providing Written Responses

Figure 4. Distribution of ratings, respondents who wrote about the indicator and respondents who did notExhibit
0%25%50%75%100%12345678910Respondents who wrote and gave a rating (n = 43)Respondents who did not write and gave a rating (n = 748)
Note: The columns of each group sum to the whole of that group: 43 respondents who wrote about the indicator and gave a rating, and 748 who gave a rating without writing about it.

Respondents who wrote about the indicator and gave a rating numbered 43, with a mean rating of 3.9. The 748 respondents who rated the indicator without writing about it had a mean of 4.7. The difference, −0.8 (95% CI −1.7 to 0.0), included zero. Ratings in the distressed range made up 51.16% of the ratings from respondents who wrote (22 of 43) and 30.75% of the ratings from respondents who did not (230 of 748).

Descriptive Statistics by Segment

Table 7a. Descriptive statistics by segment, part 1 of 2Table
SegmentBaseAnsweredAnswer rateEngagementsMean95% CISD
Study set85079193.06% of 8501504.64.5 to 4.82.2
Outsourcing model
CXM23221492.24% of 232424.94.6 to 5.32.4
ITO24422592.21% of 244404.54.3 to 4.81.9
BPO20920296.65% of 209374.44.1 to 4.72.2
KPO16515090.91% of 165314.74.4 to 5.12.3
Institution type
Asset management13212493.94% of 132244.54.2 to 4.92.1
Wealth management and private banking14013193.57% of 140234.94.5 to 5.22.1
Investment banking (advisory and capital-markets origination)1059691.43% of 105193.53.1 to 3.92.0
Insurance (life, property and casualty, health)787292.31% of 78144.54.0 to 5.02.1
Commercial and business banking827591.46% of 82135.24.7 to 5.62.0
Payments and merchant acquiring (networks, acquiring, processing)716591.55% of 71134.84.2 to 5.42.5
Credit card and payments issuing737095.89% of 73124.13.6 to 4.62.1
Retail and consumer banking737095.89% of 73125.14.6 to 5.62.1
Markets and trading (sales and trading, global markets)575596.49% of 57115.54.8 to 6.12.3
Private equity and private capital393384.62% of 3994.94.1 to 5.82.3
Process family
Corporate and back-office functions24823293.55% of 248474.74.4 to 5.02.3
Technology engineering and operations20418892.16% of 204354.74.4 to 5.02.0
Client servicing and communications948893.62% of 94164.03.5 to 4.42.1
Trade, settlement and reconciliation807593.75% of 80154.13.6 to 4.72.5
Payments, cards and disputes736994.52% of 73125.34.8 to 5.82.0
Credit, underwriting and suitability575291.23% of 5795.44.9 to 5.91.9
Regulatory, audit, tax and legal514792.16% of 5194.74.0 to 5.42.3
Financial crime and client onboarding434093.02% of 4374.13.4 to 4.82.1
Class of work
LOB Operational45141992.90% of 451764.74.5 to 4.92.2
Corporate Functional39937293.23% of 399744.64.4 to 4.82.1
Engagement status and lifecycle stage
Active, Build-Out17516292.57% of 175315.55.2 to 5.81.9
Active, Transition/Cut-Over25023192.40% of 250435.65.4 to 5.92.0
Active, Production1039693.20% of 103205.55.1 to 5.91.9
Canceled32230293.79% of 322563.12.9 to 3.31.7
Respondent role
Individual Contributor66760891.15% of 6671504.54.3 to 4.72.2
Engagement Manager150150100.00% of 1501504.94.6 to 5.22.1
Portfolio Director3131100.00% of 31316.05.1 to 6.82.4
Customer Management Executive222 of 22‡
Vendor type
IT services major31629392.72% of 316594.74.5 to 4.92.0
BPO specialist19818693.94% of 198374.23.9 to 4.52.1
Consulting firm11710892.31% of 117234.94.4 to 5.32.4
Boutique or specialist provider878496.55% of 87175.24.7 to 5.72.2
Pure-play agentic AI firm757093.33% of 75144.84.2 to 5.42.5
Not reported, recovered by engagement575087.72% of 57404.23.7 to 4.82.1
Note: ‡ Base under 10. No statistic is reported.
Table 7b. Descriptive statistics by segment, part 2 of 2Table
SegmentMinQ1MedianQ3MaxDistressed nDistressed %
Study set1.03.05.06.010.025231.86%
Outsourcing model
CXM1.03.05.07.010.06228.97%
ITO1.03.05.06.010.07232.00%
BPO1.02.34.06.010.07135.15%
KPO1.03.05.06.010.04731.33%
Institution type
Asset management1.03.05.06.010.04032.26%
Wealth management and private banking1.04.05.06.010.03224.43%
Investment banking (advisory and capital-markets origination)1.01.83.05.08.05153.13%
Insurance (life, property and casualty, health)1.03.05.06.09.02331.94%
Commercial and business banking1.04.05.07.09.01520.00%
Payments and merchant acquiring (networks, acquiring, processing)1.03.05.06.010.02030.77%
Credit card and payments issuing1.03.04.05.09.03042.86%
Retail and consumer banking1.03.35.07.09.01825.71%
Markets and trading (sales and trading, global markets)1.03.56.07.010.01425.45%
Private equity and private capital1.03.05.06.010.0927.27%
Process family
Corporate and back-office functions1.03.05.06.010.07331.47%
Technology engineering and operations1.03.05.06.010.05629.79%
Client servicing and communications1.02.04.05.09.04045.45%
Trade, settlement and reconciliation1.02.04.06.010.03749.33%
Payments, cards and disputes1.04.05.06.010.01014.49%
Credit, underwriting and suitability1.04.05.07.09.0815.38%
Regulatory, audit, tax and legal1.03.04.06.010.01429.79%
Financial crime and client onboarding1.02.05.06.09.01435.00%
Class of work
LOB Operational1.03.05.06.010.013131.26%
Corporate Functional1.03.05.06.010.012132.53%
Engagement status and lifecycle stage
Active, Build-Out1.04.05.57.010.02616.05%
Active, Transition/Cut-Over1.05.06.07.010.03213.85%
Active, Production1.04.05.07.010.01212.50%
Canceled1.02.03.04.09.018260.26%
Respondent role
Individual Contributor1.03.05.06.010.020533.72%
Engagement Manager1.03.05.06.010.04127.33%
Portfolio Director1.05.06.07.510.0619.35%
Customer Management Executive‡ n = 2
Vendor type
IT services major1.03.05.06.010.08729.69%
BPO specialist1.03.04.05.010.07037.63%
Consulting firm1.03.05.07.010.03330.56%
Boutique or specialist provider1.04.06.07.09.01922.62%
Pure-play agentic AI firm1.03.05.07.010.02535.71%
Not reported, recovered by engagement1.03.04.55.89.01836.00%
Note: ‡ Base under 10. No statistic is reported.

Every figure in the segment tables is at respondent level. Segments with fewer than 30 respondents carry no interval. Segments with fewer than 10 report counts only.

Tests of Difference Between Segments

Table 8a. Tests of difference between segments, part 1 of 2Table
Segment familyWelch FdfpHolm pOmega squared90% CI
Outsourcing model0.663, 78.00.5821.000−0.0050.000 to 0.043
Institution type1.468, 49.00.1950.7810.0280.000 to 0.112
Process family1.354, 39.30.2690.8070.0110.000 to 0.087
Class of work0.231, 147.90.6331.000−0.0050.000 to 0.028
Engagement status and lifecycle stage38.403, 58.2< 0.001< 0.0010.3940.298 to 0.482
Respondent role7.252, 74.90.0010.0080.0180.006 to 0.038
Vendor type3.375, 224.50.0060.0300.0150.004 to 0.036
Table 8b. Tests of difference between segments, part 2 of 2Table
Segment familyKruskal-Wallis HpDistressed chi-squaredfpCramer's VLevels excluded
Outsourcing model1.770.6222.0930.5540.12None
Institution type11.170.1928.9280.357, simulated0.25Private equity and private capital, n = 9
Process family6.050.1966.3240.177, simulated0.22Credit, underwriting and suitability, n = 9, Regulatory, audit, tax and legal, n = 9, Financial crime and client onboarding, n = 7
Class of work0.080.7720.0110.9270.01None
Engagement status and lifecycle stage65.10< 0.00148.933< 0.001, simulated0.57None
Respondent role14.70< 0.0014.6120.1000.08Customer Management Executive, n = 2
Vendor type18.720.0027.7550.1700.10None

Segment families recorded at engagement level were tested on engagement means. Respondent role and vendor type were tested on respondents. Where an expected count fell below 5, the test of the distressed share used Fisher's exact test for a two-by-two table, marked exact, or a Monte Carlo test, marked simulated. After Holm correction, ratings differed by engagement status and lifecycle stage (Welch F 38.40, Holm p < 0.001, omega squared 0.394). Active engagements in Transition/Cut-Over rated highest (mean 5.6, n = 231 respondents) and canceled engagements lowest (mean 3.1, n = 302 respondents). Ratings also differed by respondent role (Welch F 7.25, Holm p = 0.008, omega squared 0.018). Portfolio directors rated highest (mean 6.0, n = 31 respondents) and individual contributors lowest (mean 4.5, n = 608 respondents). Ratings also differed by vendor type (Welch F 3.37, Holm p = 0.030, omega squared 0.015). Boutique or specialist providers rated highest (mean 5.2, n = 84 respondents) and BPO specialists lowest (mean 4.2, n = 186 respondents). Outsourcing model, institution type, process family and class of work showed no difference.

Written Sentiment by Segment

Figure 5. Written sentiment by engagement status and lifecycle stage, share of each group's responsesExhibit
0%25%50%75%100%All responses (n = 44)59.1%20.5%15.9%Active, Build-Out (n = 8)3 of 81 of 83 of 81 of 8Active, Transition/Cut-Over (n = 12)33.3%41.7%25.0%Active, Production (n = 2)2 of 2Canceled (n = 22)86.4%9.1%−10 Strongly negative−5 Negative0 Neutral+5 Positive+10 Strongly positive
Note: Each bar is the whole of its group's responses, divided by written score from −10 at the left to +10 at the right. Segments large enough to hold a label carry their share.
Table 9. Written sentiment by segmentTable
SegmentResponsesRespondentsEngagementsMean written scoreNegativeStrongest negative (−10)
Engagement status and lifecycle stage
Active, Build-Out888‡3 of 83 of 8
Active, Transition/Cut-Over12129−4.29 of 12 (75.00%)4 of 12 (33.33%)
Active, Production222‡2 of 20 of 2
Canceled222218−8.921 of 22 (95.45%)19 of 22 (86.36%)
Respondent role
Individual Contributor272726−6.923 of 27 (85.19%)18 of 27 (66.67%)
Engagement Manager121212−2.97 of 12 (58.33%)5 of 12 (41.67%)
Portfolio Director555‡5 of 53 of 5
Customer Management Executive000No responses
Note: ‡ Base under 10. No statistic is reported.

Written sentiment differed by engagement status and lifecycle stage across the 37 engagements with a written response (Kruskal-Wallis H 12.48, df 3, p = 0.006). Of the groups with 10 or more responses, responses from canceled engagements were the most negative (mean −8.9, 22 responses) and responses from active engagements in Transition/Cut-Over the least negative (mean −4.2, 12 responses). Responses from active engagements in Build-Out (8) and active engagements in Production (2) are reported as counts only.

No test across respondent roles was run, because fewer than two roles had 30 or more written responses. Individual contributors wrote 27, engagement managers wrote 12 and portfolio directors wrote 5 responses, reported as counts only.

Association with Cancellation Rate

Cancellation rate is the share of engagements canceled by the study date, measured at engagement level (150 engagements, 56 canceled). Canceled engagements were rated after cancellation. The association is therefore a descriptive contrast and not a forecast of cancellation.

Table 10a. Association with cancellation rate by segment, part 1 of 2Table
SegmentEngagementsCanceledCancellation ratePoint-biserial r95% CIpHolm p
Study set1505637.33% of 150−0.64−0.72 to −0.53< 0.001< 0.001
Outsourcing model
CXM421535.71% of 42−0.66−0.80 to −0.44< 0.001< 0.001
ITO401537.50% of 40−0.54−0.73 to −0.28< 0.0010.004
BPO371437.84% of 37−0.71−0.84 to −0.50< 0.001< 0.001
KPO311238.71% of 31−0.66−0.82 to −0.40< 0.001< 0.001
Institution type
Asset management241354.17% of 24−0.75†< 0.001< 0.001
Wealth management and private banking23834.78% of 23−0.67†< 0.0010.005
Investment banking (advisory and capital-markets origination)19947.37% of 19−0.56†0.0120.084
Insurance (life, property and casualty, health)14535.71% of 14−0.64†0.0140.086
Commercial and business banking13430.77% of 13−0.38†0.1990.199
Payments and merchant acquiring (networks, acquiring, processing)13323.08% of 13−0.55†0.0520.105
Credit card and payments issuing12541.67% of 12−0.79†0.0020.023
Retail and consumer banking12433.33% of 12−0.73†0.0070.059
Markets and trading (sales and trading, global markets)11327.27% of 11−0.66†0.0270.091
Private equity and private capital922 of 9‡
Process family
Corporate and back-office functions471940.43% of 47−0.66−0.80 to −0.46< 0.001< 0.001
Technology engineering and operations351028.57% of 35−0.57−0.76 to −0.29< 0.0010.004
Client servicing and communications16956.25% of 16−0.58†0.0180.088
Trade, settlement and reconciliation15853.33% of 15−0.71†0.0030.028
Payments, cards and disputes12216.67% of 12−0.65†0.0230.091
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 76−0.63−0.75 to −0.48< 0.001< 0.001
Corporate Functional742635.14% of 74−0.65−0.76 to −0.49< 0.001< 0.001
Engagement status and lifecycle stage
Active, Build-Out3100.00% of 31a
Active, Transition/Cut-Over4300.00% of 43a
Active, Production2000.00% of 20a
Canceled5656100.00% of 56a
Note: † Base under 30. No interval is reported. ‡ Base under 10. No statistic is reported. a Not tested: no variation in cancellation.
Table 10b. Association with cancellation rate by segment, part 2 of 2Table
SegmentOdds ratio per point95% CIAUCRate, distressed engagementsRate, other engagementsFisher pTOST p
Study set0.290.19 to 0.430.8986.11% of 3621.93% of 114< 0.0011.000
Outsourcing model
CXM0.260.11 to 0.600.918 of 820.59% of 34< 0.0010.999
ITO0.390.21 to 0.720.846 of 929.03% of 310.0570.966
BPO0.170.05 to 0.530.9483.33% of 1216.00% of 25< 0.0011.000
KPO0.280.12 to 0.690.907 of 720.83% of 24< 0.0010.995
Institution type
Asset management0.07† n = 240.974 of 445.00% of 200.0980.999
Wealth management and private banking0.13† n = 230.943 of 325.00% of 200.0320.988
Investment banking (advisory and capital-markets origination)0.39† n = 190.836 of 827.27% of 110.0700.905
Insurance (life, property and casualty, health)0.36† n = 140.894 of 410.00% of 100.0050.929
Commercial and business banking0.54† n = 130.752 of 218.18% of 110.0770.614
Payments and merchant acquiring (networks, acquiring, processing)0.19† n = 130.883 of 50 of 80.0350.834
Credit card and payments issuing0.07† n = 121.004 of 41 of 80.0100.989
Retail and consumer banking0.18† n = 120.942 of 220.00% of 100.0910.967
Markets and trading (sales and trading, global markets)0.19† n = 110.921 of 22 of 90.4910.913
Private equity and private capital‡ n = 9
Process family
Corporate and back-office functions0.250.11 to 0.570.918 of 828.21% of 39< 0.0010.999
Technology engineering and operations0.370.19 to 0.720.875 of 818.52% of 270.0270.973
Client servicing and communications0.34† n = 160.835 of 536.36% of 110.0340.902
Trade, settlement and reconciliation0.27† n = 150.926 of 72 of 80.0410.976
Payments, cards and disputes0.14† n = 121.002 of 20.00% of 100.0150.917
Credit, underwriting and suitability‡ n = 9
Regulatory, audit, tax and legal‡ n = 9
Financial crime and client onboarding‡ n = 7
Class of work
LOB Operational0.290.16 to 0.500.8994.44% of 1822.41% of 58< 0.0011.000
Corporate Functional0.280.16 to 0.500.9077.78% of 1821.43% of 56< 0.0011.000
Engagement status and lifecycle stage
Active, Build-Outa
Active, Transition/Cut-Overa
Active, Productiona
Canceleda
Note: † Base under 30. No interval is reported. ‡ Base under 10. No statistic is reported. a Not tested: no variation in cancellation.

Across the study set, higher ratings came with less cancellation (r = −0.64, 95% CI −0.72 to −0.53, Holm p < 0.001, n = 150 engagements). The association held after Holm correction in twelve of the 20 segment levels tested.

Association with Customer Satisfaction

Customer satisfaction is the percentage recorded against each engagement. The primary estimate uses the 94 active engagements. A descriptive contrast uses all 150 engagements.

Table 11a. Association with customer satisfaction by segment, part 1 of 2Table
SegmentActive engagementsClean r95% CIpHolm pSpearman rhop
Study set940.710.59 to 0.80< 0.001< 0.0010.71< 0.001
Outsourcing model
CXM270.83†< 0.001< 0.0010.86< 0.001
ITO250.62†< 0.0010.0050.68< 0.001
BPO230.73†< 0.001< 0.0010.72< 0.001
KPO190.75†< 0.0010.0020.74< 0.001
Institution type
Asset management110.83†0.0020.0070.730.010
Wealth management and private banking150.58†0.0240.0640.500.059
Investment banking (advisory and capital-markets origination)100.65†0.0410.0640.550.102
Insurance (life, property and casualty, health)9‡
Commercial and business banking9‡
Payments and merchant acquiring (networks, acquiring, processing)100.89†< 0.0010.0050.810.004
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 functions280.73†< 0.001< 0.0010.75< 0.001
Technology engineering and operations250.63†< 0.0010.0050.66< 0.001
Client servicing and communications7‡
Trade, settlement and reconciliation7‡
Payments, cards and disputes100.71†0.0210.0640.470.166
Credit, underwriting and suitability8‡
Regulatory, audit, tax and legal5‡
Financial crime and client onboarding4‡
Class of work
LOB Operational460.740.58 to 0.85< 0.001< 0.0010.72< 0.001
Corporate Functional480.680.48 to 0.81< 0.001< 0.0010.72< 0.001
Engagement status and lifecycle stage
Active, Build-Out310.710.48 to 0.85< 0.001< 0.0010.71< 0.001
Active, Transition/Cut-Over430.690.50 to 0.82< 0.001< 0.0010.69< 0.001
Active, Production200.77†< 0.001< 0.0010.75< 0.001
Canceled0a
Note: † Base under 30. No interval is reported. ‡ Base under 10. No statistic is reported. a Not tested: canceled engagements fall outside the active population.
Table 11b. Association with customer satisfaction by segment, part 2 of 2Table
SegmentSlope, points per rating point95% CIR squaredTOST pAll engagementsDescriptive rp
Study set5.114.05 to 6.160.501.0001500.75< 0.001
Outsourcing model
CXM5.84† n = 270.681.000420.82< 0.001
ITO4.65† n = 250.380.974400.64< 0.001
BPO5.09† n = 230.530.997370.80< 0.001
KPO5.68† n = 190.560.996310.79< 0.001
Institution type
Asset management6.30† n = 110.680.993240.79< 0.001
Wealth management and private banking4.19† n = 150.330.886230.73< 0.001
Investment banking (advisory and capital-markets origination)4.83† n = 100.420.892190.680.001
Insurance (life, property and casualty, health)‡ n = 9
Commercial and business banking‡ n = 9
Payments and merchant acquiring (networks, acquiring, processing)6.03† n = 100.780.998130.82< 0.001
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 functions5.24† n = 280.530.999470.80< 0.001
Technology engineering and operations4.76† n = 250.400.979350.71< 0.001
Client servicing and communications‡ n = 7
Trade, settlement and reconciliation‡ n = 7
Payments, cards and disputes5.29† n = 100.500.937120.820.001
Credit, underwriting and suitability‡ n = 8
Regulatory, audit, tax and legal‡ n = 5
Financial crime and client onboarding‡ n = 4
Class of work
LOB Operational5.664.11 to 7.220.551.000760.75< 0.001
Corporate Functional4.553.08 to 6.020.461.000740.76< 0.001
Engagement status and lifecycle stage
Active, Build-Out4.452.77 to 6.120.500.999310.71< 0.001
Active, Transition/Cut-Over5.473.68 to 7.250.481.000430.69< 0.001
Active, Production5.23†0.590.998200.77< 0.001
Canceleda
Note: † Base under 30. No interval is reported. ‡ Base under 10. No statistic is reported. a Not tested: canceled engagements fall outside the active population.

Across the active engagements, higher ratings came with higher customer satisfaction (r = 0.71, 95% CI 0.59 to 0.80, Holm p < 0.001, n = 94 engagements). The association held after Holm correction in thirteen of the 16 segment levels tested.

Association with the Engagement Indicator Mean

The engagement indicator mean is the mean of an engagement's ratings across the rated indicators, measured at engagement level (150 engagements). The indicator is one of the rated indicators. Each comparison therefore uses the mean recomputed without it.

Table 12a. Association with the engagement indicator mean by segment, part 1 of 2Table
SegmentEngagementsLeave-one-out r95% CIpHolm pSpearman rhop
Study set1500.870.83 to 0.91< 0.001< 0.0010.87< 0.001
Outsourcing model
CXM420.890.80 to 0.94< 0.001< 0.0010.87< 0.001
ITO400.780.62 to 0.88< 0.001< 0.0010.81< 0.001
BPO370.910.83 to 0.95< 0.001< 0.0010.90< 0.001
KPO310.890.79 to 0.95< 0.001< 0.0010.92< 0.001
Institution type
Asset management240.90†< 0.001< 0.0010.92< 0.001
Wealth management and private banking230.79†< 0.001< 0.0010.81< 0.001
Investment banking (advisory and capital-markets origination)190.84†< 0.001< 0.0010.82< 0.001
Insurance (life, property and casualty, health)140.88†< 0.001< 0.0010.87< 0.001
Commercial and business banking130.79†0.0010.0010.780.002
Payments and merchant acquiring (networks, acquiring, processing)130.92†< 0.001< 0.0010.89< 0.001
Credit card and payments issuing120.96†< 0.001< 0.0010.93< 0.001
Retail and consumer banking120.89†< 0.001< 0.0010.91< 0.001
Markets and trading (sales and trading, global markets)110.91†< 0.001< 0.0010.690.019
Private equity and private capital9‡
Process family
Corporate and back-office functions470.920.86 to 0.96< 0.001< 0.0010.92< 0.001
Technology engineering and operations350.820.68 to 0.91< 0.001< 0.0010.84< 0.001
Client servicing and communications160.86†< 0.001< 0.0010.77< 0.001
Trade, settlement and reconciliation150.88†< 0.001< 0.0010.85< 0.001
Payments, cards and disputes120.94†< 0.001< 0.0010.87< 0.001
Credit, underwriting and suitability9‡
Regulatory, audit, tax and legal9‡
Financial crime and client onboarding7‡
Class of work
LOB Operational760.870.80 to 0.92< 0.001< 0.0010.88< 0.001
Corporate Functional740.880.82 to 0.92< 0.001< 0.0010.88< 0.001
Engagement status and lifecycle stage
Active, Build-Out310.800.62 to 0.90< 0.001< 0.0010.79< 0.001
Active, Transition/Cut-Over430.800.66 to 0.89< 0.001< 0.0010.76< 0.001
Active, Production200.86†< 0.001< 0.0010.84< 0.001
Canceled560.630.45 to 0.77< 0.001< 0.0010.56< 0.001
Note: † Base under 30. No interval is reported. ‡ Base under 10. No statistic is reported.
Table 12b. Association with the engagement indicator mean by segment, part 2 of 2Table
Segmentr with indicator includedChange in rSlope95% CIR squaredTOST pEquivalent
Study set0.880.000.680.62 to 0.740.761.000No
Outsourcing model
CXM0.890.000.680.56 to 0.790.781.000No
ITO0.790.000.650.48 to 0.820.611.000No
BPO0.910.000.660.56 to 0.760.831.000No
KPO0.890.000.720.58 to 0.860.801.000No
Institution type
Asset management0.900.000.80† n = 240.811.000No
Wealth management and private banking0.790.000.68† n = 230.621.000No
Investment banking (advisory and capital-markets origination)0.840.000.54† n = 190.701.000No
Insurance (life, property and casualty, health)0.880.000.75† n = 140.781.000No
Commercial and business banking0.800.000.69† n = 130.630.992No
Payments and merchant acquiring (networks, acquiring, processing)0.920.000.67† n = 130.841.000No
Credit card and payments issuing0.960.000.67† n = 120.931.000No
Retail and consumer banking0.890.000.74† n = 120.791.000No
Markets and trading (sales and trading, global markets)0.920.000.68† n = 110.841.000No
Private equity and private capital‡ n = 9
Process family
Corporate and back-office functions0.920.000.710.62 to 0.800.851.000No
Technology engineering and operations0.830.000.650.49 to 0.810.681.000No
Client servicing and communications0.860.000.81† n = 160.731.000No
Trade, settlement and reconciliation0.890.000.55† n = 150.781.000No
Payments, cards and disputes0.940.000.68† n = 120.881.000No
Credit, underwriting and suitability‡ n = 9
Regulatory, audit, tax and legal‡ n = 9
Financial crime and client onboarding‡ n = 7
Class of work
LOB Operational0.870.000.670.58 to 0.760.761.000No
Corporate Functional0.880.000.690.61 to 0.780.771.000No
Engagement status and lifecycle stage
Active, Build-Out0.81−0.010.550.39 to 0.710.641.000No
Active, Transition/Cut-Over0.800.000.600.46 to 0.740.641.000No
Active, Production0.860.000.69† n = 200.741.000No
Canceled0.64−0.010.340.22 to 0.450.400.999No
Note: † Base under 30. No interval is reported. ‡ Base under 10. No statistic is reported.

Higher ratings came with a higher engagement indicator mean (r = 0.87, 95% CI 0.83 to 0.91, Holm p < 0.001, n = 150 engagements). The association held after Holm correction in twenty-four of the 24 segment levels tested.

Association with Intent to Leave

Intent to leave is the answer to C019, “How likely are you to leave your current job in the next 12 months?”, rated 1 to 10. It is measured at respondent level on up to 798 respondents, with the engagement-level form reported alongside.

Table 13a. Association with intent to leave by segment, part 1 of 2Table
SegmentRespondentsr95% CICluster bootstrap 95% CIpHolm p
Study set741−0.68−0.72 to −0.64−0.73 to −0.62< 0.001< 0.001
Outsourcing model
CXM197−0.71−0.77 to −0.63−0.80 to −0.59< 0.001< 0.001
ITO214−0.58−0.67 to −0.49−0.71 to −0.41< 0.001< 0.001
BPO190−0.71−0.77 to −0.63−0.78 to −0.62< 0.001< 0.001
KPO140−0.72−0.79 to −0.62−0.81 to −0.58< 0.001< 0.001
Institution type
Asset management115−0.69−0.77 to −0.58−0.81 to −0.48< 0.001< 0.001
Wealth management and private banking123−0.61−0.71 to −0.49−0.75 to −0.43< 0.001< 0.001
Investment banking (advisory and capital-markets origination)89−0.52−0.66 to −0.35−0.72 to −0.21< 0.001< 0.001
Insurance (life, property and casualty, health)65−0.72−0.82 to −0.58−0.86 to −0.50< 0.001< 0.001
Commercial and business banking69−0.56−0.70 to −0.37−0.78 to −0.24< 0.001< 0.001
Payments and merchant acquiring (networks, acquiring, processing)63−0.81−0.88 to −0.71−0.90 to −0.66< 0.001< 0.001
Credit card and payments issuing67−0.76−0.85 to −0.64−0.86 to −0.60< 0.001< 0.001
Retail and consumer banking64−0.70−0.81 to −0.55−0.84 to −0.47< 0.001< 0.001
Markets and trading (sales and trading, global markets)54−0.74−0.84 to −0.59−0.81 to −0.64< 0.001< 0.001
Private equity and private capital32−0.73−0.86 to −0.52§ n = 9< 0.001< 0.001
Process family
Corporate and back-office functions212−0.70−0.76 to −0.62−0.78 to −0.60< 0.001< 0.001
Technology engineering and operations178−0.62−0.71 to −0.53−0.74 to −0.45< 0.001< 0.001
Client servicing and communications83−0.66−0.76 to −0.51−0.84 to −0.27< 0.001< 0.001
Trade, settlement and reconciliation70−0.81−0.88 to −0.72−0.91 to −0.54< 0.001< 0.001
Payments, cards and disputes66−0.66−0.77 to −0.49−0.82 to −0.34< 0.001< 0.001
Credit, underwriting and suitability48−0.59−0.75 to −0.36§ n = 9< 0.001< 0.001
Regulatory, audit, tax and legal45−0.70−0.82 to −0.51§ n = 9< 0.001< 0.001
Financial crime and client onboarding39−0.64−0.79 to −0.40§ n = 7< 0.001< 0.001
Class of work
LOB Operational393−0.68−0.73 to −0.63−0.75 to −0.61< 0.001< 0.001
Corporate Functional348−0.68−0.73 to −0.62−0.75 to −0.58< 0.001< 0.001
Engagement status and lifecycle stage
Active, Build-Out153−0.55−0.66 to −0.43−0.68 to −0.40< 0.001< 0.001
Active, Transition/Cut-Over219−0.64−0.71 to −0.56−0.74 to −0.52< 0.001< 0.001
Active, Production89−0.53−0.67 to −0.36−0.70 to −0.28< 0.001< 0.001
Canceled280−0.11−0.22 to 0.01−0.24 to 0.030.0740.074
Respondent role
Individual Contributor559−0.68−0.72 to −0.63−0.73 to −0.62< 0.001< 0.001
Engagement Manager150−0.68−0.76 to −0.59−0.75 to −0.60< 0.001< 0.001
Portfolio Director31−0.62−0.80 to −0.35−0.81 to −0.35< 0.001< 0.001
Customer Management Executive1‡
Vendor type
IT services major279−0.64−0.70 to −0.56−0.72 to −0.53< 0.001< 0.001
BPO specialist172−0.72−0.78 to −0.64−0.81 to −0.59< 0.001< 0.001
Consulting firm101−0.73−0.81 to −0.62−0.83 to −0.57< 0.001< 0.001
Boutique or specialist provider76−0.71−0.81 to −0.58−0.82 to −0.54< 0.001< 0.001
Pure-play agentic AI firm67−0.75−0.84 to −0.62−0.85 to −0.59< 0.001< 0.001
Not reported, recovered by engagement46−0.52−0.71 to −0.27−0.74 to −0.23< 0.001< 0.001
Note: § Too few engagements for a cluster bootstrap interval. ‡ Base under 10. No statistic is reported.
Table 13b. 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−0.67< 0.00191.03% of 23436.49% of 507150−0.76−0.82 to −0.681.000
Outsourcing model
CXM−0.71< 0.00187.27% of 5529.58% of 14242−0.78−0.88 to −0.631.000
ITO−0.56< 0.00188.73% of 7145.45% of 14340−0.66−0.80 to −0.430.998
BPO−0.72< 0.00195.38% of 6532.00% of 12537−0.81−0.90 to −0.651.000
KPO−0.71< 0.00193.02% of 4339.18% of 9731−0.79−0.89 to −0.601.000
Institution type
Asset management−0.65< 0.00194.59% of 3753.85% of 7824−0.81†1.000
Wealth management and private banking−0.63< 0.00182.76% of 2938.30% of 9423−0.72†0.996
Investment banking (advisory and capital-markets origination)−0.51< 0.00185.11% of 4745.24% of 4219−0.58†0.918
Insurance (life, property and casualty, health)−0.72< 0.001100.00% of 2129.55% of 4414−0.73†0.980
Commercial and business banking−0.56< 0.00183.33% of 1235.09% of 5713−0.66†0.935
Payments and merchant acquiring (networks, acquiring, processing)−0.80< 0.001100.00% of 2025.58% of 4313−0.87†1.000
Credit card and payments issuing−0.76< 0.00193.10% of 2928.95% of 3812−0.90†1.000
Retail and consumer banking−0.73< 0.00181.25% of 1627.08% of 4812−0.77†0.983
Markets and trading (sales and trading, global markets)−0.75< 0.001100.00% of 1425.00% of 4011−0.88†0.999
Private equity and private capital−0.80< 0.001‡43.48% of 239‡‡
Process family
Corporate and back-office functions−0.71< 0.00193.85% of 6539.46% of 14747−0.77−0.87 to −0.631.000
Technology engineering and operations−0.62< 0.00183.64% of 5532.52% of 12335−0.67−0.82 to −0.440.998
Client servicing and communications−0.52< 0.00188.89% of 3644.68% of 4716−0.76†0.994
Trade, settlement and reconciliation−0.79< 0.00197.14% of 3540.00% of 3515−0.85†0.999
Payments, cards and disputes−0.60< 0.00180.00% of 1019.64% of 5612−0.71†0.960
Credit, underwriting and suitability−0.57< 0.001‡ n = 635.71% of 429‡‡
Regulatory, audit, tax and legal−0.65< 0.001100.00% of 1350.00% of 329‡‡
Financial crime and client onboarding−0.62< 0.001100.00% of 1440.00% of 257‡‡
Class of work
LOB Operational−0.67< 0.00193.44% of 12238.38% of 27176−0.76−0.84 to −0.641.000
Corporate Functional−0.67< 0.00188.39% of 11234.32% of 23674−0.77−0.85 to −0.661.000
Engagement status and lifecycle stage
Active, Build-Out−0.56< 0.00152.17% of 2319.23% of 13031−0.61−0.79 to −0.330.983
Active, Transition/Cut-Over−0.64< 0.00190.32% of 3118.09% of 18843−0.67−0.81 to −0.460.999
Active, Production−0.53< 0.00136.36% of 1119.23% of 7820−0.60†0.940
Canceled−0.120.044100.00% of 169100.00% of 11156−0.06−0.31 to 0.210.032
Respondent role
Individual Contributor−0.67< 0.00191.44% of 18737.37% of 372150−0.76−0.82 to −0.681.000
Engagement Manager−0.68< 0.00190.24% of 4134.86% of 109150−0.68−0.76 to −0.591.000
Portfolio Director−0.57< 0.001‡ n = 632.00% of 2531−0.62−0.80 to −0.350.987
Customer Management Executive‡ n = 1
Vendor type
IT services major−0.64< 0.00187.95% of 8338.78% of 19659−0.72−0.82 to −0.571.000
BPO specialist−0.70< 0.00195.24% of 6335.78% of 10937−0.80−0.89 to −0.631.000
Consulting firm−0.72< 0.00196.77% of 3127.14% of 7023−0.76†0.999
Boutique or specialist provider−0.71< 0.00188.24% of 1747.46% of 5917−0.79†0.998
Pure-play agentic AI firm−0.73< 0.00195.65% of 2320.45% of 4414−0.85†0.999
Not reported, recovered by engagement−0.49< 0.00176.47% of 1748.28% of 2937−0.51−0.72 to −0.220.930
Note: † Base under 30. No interval is reported. ‡ Base under 10. No statistic is reported.

Respondents who gave higher ratings reported lower intent to leave (r = −0.68, 95% CI −0.72 to −0.64, Holm p < 0.001, n = 741 respondents). The association held after Holm correction in thirty-six of the 37 segment levels tested.

Association of Written Sentiment with the Study Measures

Table 14. Written sentiment and the study measuresTable
ComparisonWith a negative responseWithout a negative responseTestStatisticnp
Cancellation rate, engagements18 of 30 (60.00%)38 of 120 (31.67%)Fisher exact1500.006
Customer satisfaction, active engagements66.58%, n = 1263.73%, n = 82Welch t0.69940.503
Engagement mean written score and cancellation, engagementsPoint-biserial r−0.5237< 0.001
Respondent mean written score and intent to leave, respondentsSpearman rho−0.6242< 0.001

Two comparisons set the engagements with at least one negative response against all other engagements. Of the 120 other engagements, 113 had no written response addressing the indicator. These two comparisons therefore do not isolate written sentiment. Of the 30 engagements with a negative response, 18 (60.00%) were canceled, against 38 of the 120 other engagements (31.67%). The difference reached significance (Fisher exact p = 0.006). Customer satisfaction among active engagements did not differ between the two groups (mean 66.58% on 12 engagements against 63.73% on 82, Welch t 0.69, p = 0.503).

Two correlations test written sentiment directly. Across the 37 engagements with a written response, a more negative engagement mean written score came with cancellation (point-biserial r −0.52, p < 0.001). Across 42 respondents, a more negative respondent mean written score came with higher intent to leave (Spearman rho −0.62, p < 0.001). Of the four comparisons, three reached significance at 0.05.

Comparison of Associations Across the Four Measures

Table 15. Associations across the four measuresTable
MeasureFormUnitnr95% CIpEquivalent to zeroRank among the four
Cancellation rateDescriptive contrastEngagement150−0.64−0.72 to −0.53< 0.001No4
Customer satisfactionClean estimateEngagement940.710.59 to 0.80< 0.001No2
Engagement indicator meanLeave-one-outEngagement1500.870.83 to 0.91< 0.001No1
Intent to leaveRespondent level, clusteredRespondent741−0.68−0.73 to −0.62< 0.001No3
Table 16. Pairwise comparison of associationsTable
Pair comparedDifference in rSteiger zpHolm pReading
Cancellation rate and customer satisfaction−0.12−5.84< 0.001< 0.001Differed
Cancellation rate and engagement indicator mean−0.24−7.00< 0.001< 0.001Differed
Cancellation rate and intent to leave−0.12−3.35< 0.0010.002Differed
Customer satisfaction and engagement indicator mean−0.12−5.10< 0.001< 0.001Differed
Customer satisfaction and intent to leave0.000.020.9840.984Did not differ
Engagement indicator mean and intent to leave0.124.90< 0.001< 0.001Differed

The four associations were compared in pairs on their engagement-level forms, each oriented so that a higher value is the better outcome, across the 150 engagements with all four measures. After Holm correction, five of the six pairs differed. The association with the engagement indicator mean was the strongest and the association with cancellation the weakest. The associations with customer satisfaction and intent to leave did not differ (Holm p = 0.984).

Clustering and Effective Sample Size

Table 17. Clustering and effective sample sizeTable
StatisticValueReading
Clusters (engagements)150Engagements with one or more answers.
Mean respondents per engagement5.3Answers per engagement, among engagements with one or more answers.
ICC(1)0.66Share of the variance that lies between engagements.
Design effect3.84One plus the product of the ICC and the mean cluster size less one.
Nominal respondent n791Respondents who answered.
Effective n206Nominal n divided by the design effect.
Cluster bootstrap appliedYesApplied to every respondent-level interval where the ICC is 0.05 or above.

Answers clustered within engagements (ICC 0.66). Clustering reduced the 791 respondent answers to the equivalent of about 206 independent answers. Respondent-level intervals therefore used the cluster bootstrap. Respondent-level tests of intent to leave used standard errors that allow for clustering by engagement.

Equivalence Tests of Null Results

Table 18. Equivalence tests of null resultsTable
MeasurenrEquivalence boundTOST p, lowerTOST p, upperEquivalent to zeroAchieved powerMDE at power 0.80Detection floor for this n
Cancellation rate150−0.64|r| < 0.301.000< 0.001No0.960.230.23
Customer satisfaction940.71|r| < 0.30< 0.0011.000No0.840.290.23
Engagement indicator mean1500.87|r| < 0.30< 0.0011.000No0.960.230.23
Intent to leave741, effective 193−0.68|r| < 0.301.000< 0.001No0.990.200.23

No association was equivalent to zero. Each of the four differed from zero. The detection floor shown is the study floor at 150 engagements. Intent to leave was tested on its effective sample size.

Robustness Checks

Table 19. Robustness checksTable
CheckMeasurePrimary rCheck r95% CIChangeConclusion holds
Rank correlation in place of PearsonCancellation rate−0.64−0.66a−0.02Yes
Rank correlation in place of PearsonCustomer satisfaction0.710.71a0.01Yes
Rank correlation in place of PearsonEngagement indicator mean0.870.87a0.00Yes
Rank correlation in place of PearsonIntent to leave−0.68−0.67a0.00Yes
Non-answers excluded, then imputed at the engagement meanIntent to leave−0.68−0.68a0.00Yes
Active engagements onlyEngagement indicator mean0.870.810.73 to 0.87−0.06Yes
Active engagements onlyIntent to leave−0.68−0.58−0.64 to −0.520.09Yes
Most influential engagement removed (largest Cook's distance)Cancellation rate−0.64−0.65−0.73 to −0.55−0.01Yes
Most influential engagement removed (largest Cook's distance)Customer satisfaction0.710.730.61 to 0.810.02Yes
Most influential engagement removed (largest Cook's distance)Engagement indicator mean0.870.880.83 to 0.910.00Yes
Most influential engagement removed (largest Cook's distance)Intent to leave−0.68−0.68−0.72 to −0.640.00Yes
Engagements weighted by respondent countCancellation rate−0.64−0.63a0.01Yes
Engagements weighted by respondent countCustomer satisfaction0.710.71a0.00Yes
Engagements weighted by respondent countEngagement indicator mean0.870.87a−0.01Yes
Bootstrap of engagementsCancellation rate−0.64−0.64−0.72 to −0.550.00Yes
Bootstrap of engagementsCustomer satisfaction0.710.710.61 to 0.790.00Yes
Bootstrap of engagementsEngagement indicator mean0.870.870.84 to 0.900.00Yes
Bootstrap of engagementsIntent to leave−0.68−0.68−0.73 to −0.620.00Yes
Thin-base segments removedCancellation rate−0.64−0.63−0.74 to −0.470.01Yes
Thin-base segments removedCustomer satisfaction0.710.670.49 to 0.80−0.04Yes
Thin-base segments removedEngagement indicator mean0.870.880.82 to 0.920.01Yes
Thin-base segments removedIntent to leave−0.68−0.67−0.72 to −0.610.01Yes
Note: a No interval for this check.

Each change was computed before rounding and may differ by 0.01 from the difference between the two printed values.

All 22 checks held. A check holds when its test falls on the same side of 0.05 as the primary test. Where the primary test falls below 0.05, the check must also keep the sign of the primary correlation. The thin-base check removes the engagements in any level of outsourcing model or process family with fewer than 30 engagements. Institution type is not used for that check, because every one of its levels has fewer than 30 engagements.

Measure Independence and Part-Whole Correction

Each of the four measures was computed from data the indicator does not contain. Each result is therefore a finding and not an arithmetic consequence. The indicator is one of the rated indicators, and the engagement indicator mean was recomputed without it. The correction changed r by 0.00, from 0.88 to 0.87.

Comparison with the Study Norm

Table 20. Comparison with the study normTable
MeasureThe indicator, oriented rStudy median, oriented rDeviationFisher zpHolm p
Cancellation rate0.640.600.040.770.4420.784
Customer satisfaction0.750.720.040.940.3480.784
Engagement indicator mean0.870.840.041.670.0950.380
Intent to leave0.750.710.041.120.2610.784
Spread of deviations0.01
VerdictTypical

Each deviation was computed before rounding and may differ by 0.01 from the difference between the two printed values.

The comparison covered 150 engagements. The indicator followed the study's typical pattern on all four measures, and no deviation held after Holm correction.

Comparison of Written Sentiment with Other Part 2 Indicators

Figure 6. Share of negative written responses, Part 2 indicators with 30 or more written responses (n = 71 indicators)Exhibit
0%25%50%75%100%C128C159C132C152C105C098C126C148C108C122C116C096C149C112C173C097C113C139C109C157C101C172C158C095C094C138C187C100C106C127C195C111C186C176C110C143C144C175C102C196C145C103C133C124C125C115C130C189C168C182C164C178C123C141C188C147C179C137C160C120C174C181C104C161C165C183C129C185C136C190C171Share of negative responsesMedian of the 71 indicators
Note: Each column is one indicator, ordered from the highest share of negative responses. The indicator is the amber column. The dashed line marks the median share, 80.82%.

Among the 71 Part 2 indicators with 30 or more written responses, the indicator's share of negative responses, 79.55%, ranked 39th from the highest, against a median of 80.82%. Its mean written score, −5.9, ranked 16th from the most negative, against a median of −4.7.

Co-Occurring Indicators and Themes

Figure 7. Other indicators and themes in the same written responses (n = 44 responses)Exhibit
03.647.2810.9214.56C18113 (29.55%)Theme: Detection only by failure10 (22.73%)C1889 (20.45%)Theme: Comparison to a priorengagement9 (20.45%)C1878 (18.18%)C1788 (18.18%)C1857 (15.91%)Theme: Raised it, nothing came back5 (11.36%)Theme: The scale or question does notfit4 (9.09%)Theme: Schema or format changedwithout notice4 (9.09%)Theme: Third-party work done by hand4 (9.09%)Other indicatorsThemes
Note: Themes carry no score. Labels give the count and the share of the 44 responses. The figure shows each indicator and each theme among the five most frequent of its kind, with every tie at the cut. C181: “Rate the quality of advance notice third-party providers give before changes that can affect the agents on this engagement.” C188: “Rate the quality of the data arriving from third-party feeds, judged by whether agents can use it without human cleanup.” C178: “Rate how well the agents on this engagement are protected from breaking silently when a third party changes something without warning.” C187: “Rate the stability of the third-party APIs and data structures the agents depend on, from one provider release to the next.” C185: “Rate how well the engagement absorbs model version deprecations and retirements forced by model providers.” Emotional states in the same responses, as counts: stressed 3, calm or fine 1.

The indicator most often present in the same responses was C181, “Rate the quality of advance notice third-party providers give before changes that can affect the agents on this engagement.”, in 13 of the 44 responses (29.55%). C188, “Rate the quality of the data arriving from third-party feeds, judged by whether agents can use it without human cleanup.” (9 responses), C178, “Rate how well the agents on this engagement are protected from breaking silently when a third party changes something without warning.” (8 responses), C187, “Rate the stability of the third-party APIs and data structures the agents depend on, from one provider release to the next.” (8 responses) and C185, “Rate how well the engagement absorbs model version deprecations and retirements forced by model providers.” (7 responses) followed.

The most frequent theme was “Detection only by failure”, in 10 responses (22.73%). The second was “Comparison to a prior engagement”, in 9 responses.

Interpretation of the Data

About a third of all ratings of how completely the engagement mapped its third and fourth parties fell in the distressed range (252 of 791 answers, 31.86%). The rating was associated with all four study measures, and every association held under each of the 22 robustness checks. Canceled engagements rated far below the three active stages (mean 3.1, n = 302 respondents).

The written evidence identifies the dependency inventory as the precondition for most of the other third-party controls. Without it, no one could be notified of a change, monitor a feed, review its security or plan its fallback, and one respondent whose team built one put its cost at two weekends of analysts' time. Written sentiment was associated with cancellation in both engagement-level tests and with intent to leave.

Limitations

The evidence is the reported experience of the vendor's delivery teams, collected in a single cross-section. The associations reported here are not causal.

Tests by respondent role and by vendor type treated respondents as independent. The section on clustering reports how far clustering within engagements reduced the information in respondent-level figures.

Customer management executives gave 2 answers, a base of anecdote strength.

Shares of written sentiment are shares of responses and not of the study set of respondents. The written score takes five fixed values, so its mean and median are coarse. Responses clustered within engagements (44 responses on 37 engagements). Intervals for written sentiment therefore used a bootstrap by engagement.

Definitions

Table 21. DefinitionsTable
TermDefinition
Response scaleRatings run from 1 to 10, from the worst outcome a respondent can report to the best.
DistressedA rating of 3 or below. At engagement level, an engagement mean of 3 or below.
Answering baseRespondents who gave a rating from 1 to 10.
Non-answers“I do not know” and “I prefer to not answer” are counted separately and excluded from the mean.
Indicator classRespondent level: a value recorded for each respondent and computed across the respondents who answered.
Failure categoryOne of the five failure categories of the Study Taxonomy. The indicator belongs to third-party ecosystem.
Engagement indicator meanThe mean of an engagement's ratings on the rated indicators. The indicator is one of the rated indicators, so the mean is recomputed without it wherever the two are compared.
Written responseA written answer about the respondent's own engagement that addresses the indicator. Non-answers and answers about another engagement are excluded.
Primary and secondaryA primary response answered the written-answer question of the indicator's survey section. A secondary response answered a question in another section and addressed the indicator in its content.
Written sentiment scoreEach written response carries one of five scores: −10, −5, neutral, +5 or +10. The sign records whether the response described the state of the indicator as harmful or helpful to the engagement. The magnitude records its strength. A score of −10 marks a statement of totality, constancy or serious harm.
Cluster bootstrapAn interval computed by resampling engagements rather than responses, so that the responses from one engagement stay together.

Sources and Provenance

Table 22. Sources and provenanceTable
SourceValue
Study dataStudy Data.xlsx, Data sheet, column C196, sha256 219eba0457274d04
Statistics enginecompute_statistics.py, sha256 738319eef764602b
Statistics recordComputed Statistics.json, record C196, sha256 1ae50a3637fc9370
ComputedOctober 13, 2026, 04:57 UTC
TemplateIndicator Template v2, version 2.0 of 10 October 2026
Figures placed by script3,078
Written responsesQuotes Master.jsonl, sha256 27da38085e2b13fd
Written sentiment scoresQuote Coding Rulebook, version 0.6, with section 21
Written-response computationqa_stats.py, sha256 74a61f3a96169da9. wfacts.py, sha256 b85fae20adf812a1. build_indicator.py, sha256 a97ad6e74627e11e
Written-response recordsC196.qa.json, sha256 b75cb912ee913af9. C196.wfacts.json, sha256 d90ddf8ee8b9b9d8. Hand-written text handcraft/C196.json, sha256 567b2e2df81bfb15

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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