What changed in this filing

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Item 1. Business

2024-03-08 compared with 2023-03-10 · 105 added, 110 removed, 166 unchanged (56% of the section changed)

As used herein, unless the context otherwise requires, ISG, the registrant, is referred to in this Form 10-K annual report (“Form 10-K”) as the “Company,” “we,” “us” and “our.”

As used herein, unless the context otherwise requires, ISG, the registrant, is referred to in this Annual Report on Form 10-K for the fiscal year ended December 31,2023 (“Form 10-K”) as the “Company,” “we,” “us” and “our.”

Information Services Group, Inc.

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A trusted business partner to more than 900 clients, including more than 75 of the top 100 enterprises in our markets, ISG is committed to helping corporations, public sector organizations and service and technology providers achieve operational excellence and faster growth.

The firm specializes in digital transformation services, including automation, cloud and data analytics;

The Company specializes in digital transformation services, including automation, cloud and data analytics;

sourcing advisory;

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market intelligence and technology research and analysis.

Based in Stamford, Connecticut, ISG employs approximately 1,600 digital-ready professionals operating in more than 20 countries—a global team known for its innovative thinking, market influence, deep industry and technology expertise, and world-class research and analytical capabilities based on the industry’s most comprehensive marketplace data.

Based in Stamford, Connecticut, ISG employs over 1,500 digital-ready professionals operating in more than 20 countries—a global team known for its innovative thinking, market influence, deep industry and technology expertise, and world-class research and analytical capabilities based on the industry’s most comprehensive marketplace data.

For more information, visit www.isg-one.com.

The content on our website is available for informational purposes only.

It should not be relied upon for investment purposes, nor is it incorporated by reference into this Form 10-K or any other filings.

Our Company was founded in 2006 with the strategic vision to become a high-growth, leading provider of information-based advisory services.

We continue to believe that our vision will be realized through the acquisition, integration and successful operation of market-leading brands within the data, analytics and advisory industry.

Our private and public sector clients continue to face significant technological, business and economic challenges that will continue to fuel demand for the professional services we provide.

We are focused on providing unique solutions that solve for key client problems.

In the private sector, for example, we believe that companies will continue to face significant challenges associated with globalization and technological innovation, including the need to decrease operating costs, increase efficiencies, compete against new market entrants and evaluate and adopt increasing numbers of emerging and transformational technologies such as cloud computing and automation.

Our private and public sector clients continue to face significant technological, business and economic challenges that will fuel demand for the professional services we provide.

We are focused on providing unique solutions that solve key client problems.

Similarly, public sector organizations at the national, regional and local levels increasingly must deal with the complex and converging issues of outdated technology systems, reduced budgets and an aging workforce.

These technological challenges have only been intensified by the COVID-19 pandemic and the resulting remote or hybrid work environment and, therefore, present further opportunity for ISG to assist our private and public sector clients with digital transformation services.

These technological challenges have only been intensified by the post-COVID-19 pandemic remote or hybrid work environment and, therefore, present further opportunity for ISG to assist our private and public sector clients with digital transformation services.

Overall, we believe the global marketplace dynamics at work in both the private and public sectors support growing demand for the professional services, analytics, platforms and advice ISG can provide.

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Our telephone number is (203) 517-3100.

ISG specializes in digital transformation services, including automation, cloud and data analytics;

sourcing advisory;

ISG specializes in digital transformation services, including sourcing advisory, automation, cloud and data analytics;

managed governance and risk services;

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ISG supports both private and public sector organizations to transform and optimize their operational environments.

During periods of expansion or contraction, our services have helped organizations large and small, public or private, across the globe address their most complex operational issues.

The functional domain experience of our experts and deep empirical data resources help clients better understand their strategic options.

The firm’s operating model, ISG NEXT, launched in the third quarter of 2020 and is aimed at extending our market leadership, enhancing growth opportunities and driving significant value for all stakeholders.

Under ISG NEXT, we are pivoting from services to solutions to address our clients’ most pressing business challenges in two areas most important to them—their continuing digital transformation and getting the most from their digital investments.

To meet these needs, we have formed two global client solution areas:

During periods of expansion or contraction, our services have helped organizations of all sizes across the globe address their most complex operational issues.

The functional domain experience of our experts and deep empirical data resources allows clients to better understand their strategic options.

The Company’s operating model is aimed at extending our market leadership, enhancing growth opportunities and driving significant value for all stakeholders.

We provide services that address our clients’ most pressing business challenges in two areas most important to them—their continuing digital transformation and getting the most from their digital investments.

To meet these needs, we formed two global client solution areas:

ISG Digital, focused on developing technology, transformation, sourcing and digital solutions for clients, and ISG Enterprise, focused on helping clients manage change and optimize operations in such areas as finance, human resources (“HR”) and Procure2Pay.

Our core solutions are supported by ISG Research, with its extensive market analyses and provider evaluations, our ISG Network and Software Advisory services and our software platforms, including ISG GovernX®.

We also are building more industry-specific capabilities in such areas as banking, insurance and smart manufacturing.

Every client engagement now passes through our dedicated Solution Hub to bring the best thinking, tools and capabilities to bear to solve every client challenge.

Integrated solutions are then delivered through our new ISG iFlex™ global delivery model, which enables us to rapidly deploy our resources to support clients, regardless of geography or time zone.

We also continue to build more industry-specific capabilities in such areas as banking, insurance and smart manufacturing.

Every client engagement passes through our dedicated Solution Hub to bring the best thinking, tools and capabilities to bear to solve every client challenge.

Integrated solutions are then delivered through our ISG iFlex™ global delivery model, which enables us to rapidly deploy our resources to support clients, regardless of geography or time zone.

Our Competitive Advantages

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This enables us to maintain a trusted advisor relationship with our clients through our unbiased focus and ability to align our interests with those of our clients.

Proprietary Data Assets and Market Intelligence.

We have assembled a comprehensive and unique set of data, analytics and market intelligence built over more than 30 years of data collection and analysis, providing insight into the comparative cost and quality of a variety of operational alternatives.

● Domain Expertise.

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ISG offers integrated solutions to our clients.

Proprietary Data Assets and Market Intelligence.

Global Reach.

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● Preserve Our Financial Positions.

In its pursuit of the firm’s growth initiatives, we are committed to maintaining a strong financial position with flexibility and liquidity.

We believe that maintaining a financial profile that supports an investment grade credit rating is important to this long-term strategy.

In our pursuit of the Company’s growth initiatives, we are committed to maintaining a strong financial position with flexibility and liquidity.

The priorities for uses of available cash include payment of dividends, funding growth, repurchases of shares and debt reduction.

In addition, we expect strong cash flow generation and a strong balance sheet to support the current financial strategy.

In addition, we expect our cash flow generation and a solid balance sheet to support the current financial strategy.

Strengthen Our Industry Expertise .

We have strengthened our market-facing organization to drive increased revenue around 22 global industries:

Automotive, Aerospace & Defense, Banking, Chemicals, Consumer Goods, Energy & Utilities, Financial Services, Government, Health Care, Insurance, Life Sciences, Manufacturing, Media & Entertainment, Metals & Mining, Pharma/Biotech/Medical Devices, Private Equity & M&A, Public Sector & Education, Retail, Technology & Service Providers, Telecommunications, Transportation & Logistics and Travel & Hospitality.

We strive to continue to strengthen our market-facing organization to drive increased revenue around 9 global industries:

Banking and Financial Services, Consumer Services, Energy and Utilities, Health Sciences, Insurance, Manufacturing, Media and Technology Software and Services, Private Equity and Public Sector.

Aggressively Expand Our Market Focus.

We are seeking to drive our service portfolio and relationships with clients further into Digital Advisory Services, including Cloud Solutions, Automation, Business Advisory Services, Cybersecurity, Digital Engineering, Strategy, Data & Analytics, Transition and Organizational Change and Network Advisory.

We are seeking to drive our service portfolio and relationships with clients further into Digital Advisory Services, including Generative AI, Automation, Business Advisory Services, Strategy, Data & Analytics, Transition and Organizational Change and Network & Software Advisory.

These are all areas in which we are investing additional focus to drive increased revenues and expanded relationships with clients.

Continue to Develop Digital Cloud Competency.

There is a nexus of distinct, yet complementary, technology trends that are creating a perfect storm of disruption in the market.

Among the most significant technology trends are the speed with which products get to market, large-scale digitization, the efficiency of the cloud and the immediacy with which new disruptors can become omnipresent.

We continue to see clear opportunities in the execution of large-scale digital transformation – helping enterprises in executing their transformations by using their large technology platform and partner ecosystems.

Increasingly, clients are taking a more agile approach, working incrementally on continuous transformation to meet rapidly changing technology and business conditions.

Our offerings around cost optimization have never been more important as enterprises seek funds to invest in programs aimed at realizing their digital ambitions.

The pandemic continues to accelerate client demand for, and investment in, the digital transformation services ISG provides.

ISG plans to expand resources and intellectual property (“IP”) around digitization and the cloud.

Processes that were once executed over analog channels (such as phone and ‘real life’) increasingly occur in a digital model.

Also, digitization has elevated the profile of software.

Software no longer merely supports business processes but is central to enterprise strategy.

ISG plans to expand resources and intellectual property (“IP”) around digitization.

Our purpose in the digital marketplace is to be a trusted advisor, guiding our clients through digital transformation toward practical innovation of their business models, leveraging strategic partners, emerging technology and thought leadership.

Our digital services now span a volume of offerings and have become embedded as part of our traditional transaction services.

Advancements continue to be made to ‘digitize’ further our traditional services.

For example, we have continued the modernization of our traditional sourcing services toward digital with the launch of ISG FutureSource™ which has brought agility and nimbleness to the process of sourcing, RFPs and contracting.

ISG FutureSource is a unique and comprehensive sourcing solution that helps enterprises and public sector organizations evaluate their business requirements, identify desired outcomes, fast-track the provider identification and selection process, collaborate with providers on developing the right solution, get to a signed contract and transition operations faster than ever before.

ISG also continues to expand the capabilities of its ISG GovernX vendor compliance and risk management platform.

This proprietary ISG software platform continues to drive broader insights from additional market and performance data, while delivering increased value to our clients.

Advancements continue to be made to further ‘digitize’ our traditional services.

For example, we continue to modernize our traditional sourcing services to bring agility, nimbleness and AI capability to the process of sourcing, RFPs and contracting.

Our ISG Tango sourcing platform is a unique and comprehensive solution that helps enterprises and public sector organizations to quickly evaluate their business requirements, identify desired outcomes, fast-track the provider identification and selection process, collaborate with providers on developing the right solution, get to a signed contract and transition operations faster than before.

ISG continues to expand its Supplier and Contract Management capabilities powered by the GovernX® platform, the market’s leading vendor compliance and risk management digital solution.

This service provides clients a strategic and disciplined approach to managing supplier relationships and large contract portfolios.

These services assist clients with improving supplier performance, reducing spend, mitigating third party risk, and managing/collaborating/innovating with their supplier base.

Based on ISG’s 25 years of managing relationships on behalf of our clients, we have a unique and robust dataset that enables ISG to partner with clients to deliver improvements to their business processes and to benchmark the performance of their operations to the broader market.

ISG GovernX leverages cognitive technology to automate the management of third-party supplier relationships, including contract and project lifecycles and risk management.

It provides a complete, customized view of the user’s contract and supplier ecosystem to improve supplier performance, decrease spend and reduce third-party risk.

Enterprises can leverage the platform to deliver up to 30 percent more value from their outsourcing spend.

Enterprises can leverage the platform to deliver more value from their outsourcing spend.

ISG GovernX users can easily manage new contracts and proactive renewals, make timely amendments and handle contract terminations—all on one platform.

The platform delivers easy integration with other enterprise applications, such as ServiceNow, and is tightly connected to ISG Research offerings, such as benchmarks, assessments and total-cost-of-ownership evaluations.

In times of crisis, ISG GovernX clients can mitigate supply chain risks and ensure business continuity by reviewing and validating their providers’ business and IT continuity plans and procedures.

In 2021, ISG GovernX was enhanced with real-time third-party risk management capabilities.

The new capabilities, including integrated data feeds and real-time alerts, are increasingly important as provider ecosystems continue to grow more complex, introducing more risk to the enterprise, and threats against supply-chain integrity become more diverse.

Additionally, ISG GovernX clients can mitigate supply chain risks and ensure business continuity by reviewing and validating their providers’ business and IT continuity plans and procedures.

ISG GovernX includes real-time third-party risk management capabilities, including integrated data feeds and real-time alerts, which are increasingly important as provider ecosystems grow more complex, introducing more risk to the enterprise, and threats against supply-chain integrity become more diverse.

In addition to monitoring the operational performance and financial viability of their suppliers, ISG GovernX helps enterprises address a range of other internal and external risks, from data security and regulatory issues, to adverse environmental, health and geopolitical events, to social responsibility, diversity and inclusion considerations.

In 2021, ISG introduced a dedicated advisory and risk management service to help enterprises ensure their businesses and supply chains are in compliance with modern slavery laws.

ISG helps clients develop a modern slavery framework, review and update policies across the enterprise, conduct training, map their entire supply chain and add modern slavery clauses to contract templates, while the ISG GovernX platform provides thorough, timely reporting through its automatic alert feature.

We have also launched ISG Inform™ 2.0, an enhanced version of our data-as-a-service solution that provides benchmarking capability to track digital transformation and application development maturity and performance against industry peers.

We continue to invest in ISG Inform™ 2.0, an enhanced version of our data-as-a-service solution that provides benchmarking capability to track digital transformation and application development maturity and performance against industry peers.

ISG Inform 2.0 provides a quantified view of the health of the user’s enterprise IT landscape through a series of easy-to-read visual dashboards that display key performance indicators for infrastructure, applications and digital capabilities compared with industry peers.

Data and insights are drawn from the ISG sourcing database.

Robotic Process and Cognitive Automation technology is fundamentally reshaping the way businesses work.

Automation is increasingly enabling automated 24/7/365 execution of business processes at a fraction of the cost of human equivalents, as well as the dramatic improvements in process execution and cost models.

ISG Automation offers clients a full portfolio of services, including automation assessments and strategy, proof-of-concept deployments, implementation and integration of software bots and establishment of centers of excellence to scale automation, as well as training and managed services.

Robotic Process Automation coupled with Generative AI is fundamentally reshaping the way businesses work.

Automation is increasingly enabling automated 24/7/365 execution of business processes at a fraction of the cost of human equivalents, as well as leading to dramatic improvements in process execution and cost models.

The addition of Generative AI will allow companies to automate “high touch” functions and processes historically requiring human focus.

ISG Automation offers clients a full portfolio of services, including automation and Generative AI assessments and strategy, proof-of-concept deployments, implementation and integration of software bots, and establishment of centers of excellence to scale automation, as well as training and managed services.

● Expand Emerging Services .

The focus will be on creating repeatable methods used to drive growth of emerging services, including ISG Automation;

The focus will be on creating repeatable methods used to drive growth of emerging services, including Generative AI;

ISG Automation;

ISG Network Select™;

HR Technology & Transformations;

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ISG Platform;

ISG Network Select™;

ISG Hyperscaler Services;

ISG Digital Engineering;

ISG Cybersecurity and ISG Training-as-a-Service.

ISG Research;

and ISG Training-as-a-Service.

ISG Generative AI:

ISG is significantly influencing how our clients adopt Generative Artificial Intelligence (GenAI).

As these companies transform into AI-powered enterprises, ISG provides crucial buying advice, access to diverse AI technologies and niche implementors via a marketplace, and impartial governance solutions.

By offering a comprehensive understanding of various AI providers and platforms, ISG helps companies make informed decisions that align with their specific needs.

This strategic advice is essential in an ever-evolving AI landscape.

ISG also assists clients in adapting to these changes by helping them reassess the value of their traditional IT operations and contracts with partners - in the context of AI-enhanced productivity.

This reassessment or 'marking to market' is crucial for companies to realize the full benefits of AI integration.

ISG Automation:

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ISG Automation tailors programs to specific business needs and helps build governance that works inside the culture of our clients.

The Automation market size is expected to continue to grow significantly over the next few years.

Automation is fundamentally reshaping the world of Information Technology Outsourcing (“ITO”) and Business Process Outsourcing (“BPO”).

Our solutions will work to optimize repetitive processes using ‘bots’ instead of human labor.

The size of the Automation market is expected to continue to grow significantly over the next few years.

Automation is fundamentally reshaping the world of Information Technology Outsourcing and Business Process Outsourcing.

Our solutions will work to optimize repetitive processes using ‘bots’

instead of human labor.

ISG Automation will continue to be marketed by industry (e.g., claims processing for insurance) and by back-office functions (e.g., accounting).

ISG Network Select:

This offering helps streamline and simplify how enterprises build their network solutions.

It enables ISG to better meet the growing demand for such leading-edge networking solutions as software-defined networking (SD-WAN, SD-LAN), SD security services, 5G mobility, unified communications-as-a-service (UCaaS) and call center-as-a-service (CCaaS) — which are all critical to enterprise digital transformation.

Client demand for networks that are secure, interconnected, interoperable and profitable is rising, as are concerns over security, scale, cost and the complexity of the expanding Internet of Things (“IoT”) landscape.

ISG Network Select is designed to help clients find the best solutions, faster, to power their digital transformation initiatives.

Clients get access to detailed and current data on their vendor and technology options, insights to help negotiate better pricing, and processes to accelerate ISG Tango networking solutions.

HR Technology & Transformations:

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ISG combines deep subject matter expertise, market data and financial frameworks along with sourcing of technology and service providers to help organizations develop and execute HR technology strategies that are right for them.

Providers-as-a-Business (“PaaB”):

Providers-as-a-Business:

Historically, ISG had targeted traditional service providers for these types of services, which included a combination of consulting and research solutions.

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In early 2022, ISG launched ISG Executive Insights™, a market intelligence and data analytics platform that addresses the challenges of managing increasingly complex supplier ecosystems.

The new data-analytics-as-a-solution offering is powered by ISG’s market-leading data repository—the industry’s most comprehensive, curated database of global IT, business process and engineering outsourcing contracts—paired with ISG’s patented IT price benchmarking, market cost intelligence and other analytical tools.

The new data-analytics-as-a-solution offering is powered by ISG’s market-leading data repository—a comprehensive, curated database of global IT, business process and engineering outsourcing contracts—paired with ISG’s patented IT price benchmarking, market cost intelligence and other analytical tools.

We continue to develop and invest in our ISG Platform, which will help us drive recurring revenues.

ISG Network Select:

This offering helps streamline and simplify how enterprises build their network solutions.

ISG Network Select is designed to help clients find the best solutions, faster, to power their digital transformation initiatives.

Clients get access to detailed and current data on their vendor and technology options, insights to help negotiate better pricing, and processes to accelerate next-generation networking solutions.

Growth Through Hyperscalers:

Our cloud transformation capabilities have reached a level of maturity that allows us to explore new growth opportunities in this space.

One such opportunity is serving as a channel partner for cloud hyperscalers, i.e., large public cloud providers such as Amazon Web Services (AWS), Microsoft Azure and Google Cloud Platform.

ISG has hired a global executive in 2021 to drive this business, which will provide consulting services to hyperscaler customers.

Total worldwide spending on cloud computing is expected to surpass $1.0 trillion in 2024, while likely to sustain a double-digit compound annual growth rate (CAGR) of nearly 16 percent.

Enterprises have migrated approximately 25 percent of their applications to the cloud, with the remaining 75 percent covering large back-office functions that are complex and challenging to move to the cloud, especially in multi-cloud environments.

ISG is developing a set of core offerings that will enable hyperscalers to accelerate time to value by shifting enterprise workloads more quickly to the cloud.

For hyperscaler customers, ISG will serve as an independent third party that brings transparency to solution design costs, risks and dependencies of cloud deployments.

ISG will offer expertise and data to source and orchestrate the cloud transformation design process, to provision the appropriate system integrator (SI) and managed service provider (MSP) ecosystems, and to structure and manage the cloud transformation office to drive innovation and achieve tactical and strategic goals.

Digital Engineering:

ISG Digital Engineering:

ISG has an opportunity to develop and scale a Digital Engineering capability that meets the growing need of enterprises to integrate information technology, operational technology and engineering technology.

ISG has hired a global leader to grow this business, building on our experience in Engineering Product Lifecycle Management and Digital Thread.

Over the past five years, enterprise business models have been shifting from selling products as a one-time transaction to becoming more software-oriented to drive more features and functionality, shifting focus to aftermarket solutions to generate recurring revenues via services (servitization) and enhancing customer experience to increase customer acquisition and retention rates.

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Our aim is to become an independent governance and end-to-end transformation partner including the sourcing of engineering system integrators and engineering platforms like SIEMENS and Dassault throughout each client’s digital engineering transformation journey, serving multiple industries with an initial focus on manufacturing.

Cybersecurity:

In 2022, ISG saw more than a 50% increase in the size of its global cybersecurity business and continues to see significant growth opportunities ahead.

The acceleration in attacks across all industry groups has resulted in increased regulatory pressures and expanded attention at the board level, increasing the overall market outlook for cybersecurity services and solutions which is now projected to reach $262 billion by 2027.

Continued adoption of Digital Transformation programs and heavy IT/IoT/OT integration and emerging legislation in the Manufacturing and Energy/Utilities sectors, coupled with similar programs and advancements in the wearables market in Life Sciences, are driving growth for ISG in this space.

We will continue to leverage our heritage in strategy and sourcing while tightening the relationship between our Network Advisory, Cybersecurity, Data Analytics and Automation businesses to address emerging tech and the Secure Intelligent Connected Enterprise (SICE), expand into the emerging Cyber Risk Quantification and Human Intelligence markets and grow our consulting capabilities to maintain our position as the best agnostic cybersecurity advisory firm in the market.

ISG Research:

In today's digital marketplace, ISG helps large enterprises confront emerging challenges, prepare for new opportunities and ensure they stay ahead of competitors.

With a powerful mix of advisory, digital transformation and research capabilities, ISG helps close the gap between where enterprises are and where they need to be.

ISG Research has a focus on bringing buyers and sellers of technology together, including large service, cloud and software providers.

Our advisory business gives ISG Research a unique perspective on the overall technology and sourcing market.

Our research not only incorporates what a traditional analyst firm might cover, but also actual feedback and perspectives from practitioners in the market who are helping some of the largest enterprise clients transform their business.

ISG tracks over 180,000 unique technology service contracts and measures and writes about more than 4,000 service and software providers each year.

This gives us valuable insights into pricing, capabilities and stability.

When large enterprises need to evaluate providers, they reach out to ISG Research for a deep understanding of capabilities, pricing, breadth of coverage and past experience.

With the rapid pace of technology including GenAI, ISG Research is ready and well-positioned with buyers and sellers to ensure our clients avoid the hype and capitalize on outcomes.

Training-as-a-Service (TaaS):

In partnership with the training software-as-a-service (SaaS) firm Assima, ISG has launched a subscription-based, recurring revenue service that has lowered training development costs at a major client by approximately 75 percent.

Building on this success, ISG plans to offer training as an ongoing, outsourced managed service for organizations with limited resources and growing demand for training content.

ISG has launched a subscription-based, recurring revenue service that has lowered training development costs at major clients called Training as a Service (TaaS).

Building on this success, ISG offers outsourced managed learning services for organizations with limited resources and growing demand for custom learning content and

digital learning platforms.

These organizations are typically looking for longer-term training support to address the needs of an evolving workforce.

ISG TaaS uses an agile approach with rapid content development tools to accelerate training content throughout.

Services include training advisory, analysis, strategy, development, delivery support and learning assessment.

Expand “Recurring Revenue Streams.” These include such annuity-based ISG offerings as ISG GovernX, Research, Software-as-a-Subscription, ISG Inform and the multi-year Public Sector contracts.

ISG TaaS uses an agile approach with rapid content development tools to accelerate training content and digital adoption platforms (DAP) to integrate learning into the daily flow of work.

Services include training advisory, analysis, strategy, custom development, delivery support, learning software subscription models, learning administration, and learning assessment.

● Expand “Recurring Revenue Streams.” These include such annuity-based ISG offerings as ISG GovernX, ISG Research, Software-as-a-Subscription, ISG Inform and the multi-year Public Sector contracts.

All are characterized by subscriptions (i.e., renewal-centric as opposed to project-centric revenue streams) or multi-year contracts.

As companies begin to recognize the importance of managing the post-sourcing transaction period, managed services have emerged as a revenue driver for the firm, with our offerings delivered through multi-year managed services contracts.

We believe that our experience with outsourcing transactions and software implementation initiatives make us uniquely equipped to provide research insights and direct support to help our clients manage their transformational projects or act as a third-party administrator.

As companies begin to recognize the importance of managing the post-sourcing transaction period, managed services have emerged as a revenue driver for the Company, with our offerings delivered through multi-year managed services contracts.

We believe that our experience with outsourcing transactions and software implementation initiatives makes us uniquely equipped to provide research insight and direct support to help our clients manage their transformational projects or act as a third-party administrator.

We will continue to pursue opportunities to leverage our experience to make research and managed services an even greater revenue generator for us.

public sector, particularly state governments, local municipalities and higher education, presents a significant opportunity to ISG.

Systems are typically outdated, maintenance is expensive and the workforce charged with maintenance is aging.

Systems are typically outdated;

maintenance is expensive and the workforce charged with maintenance is aging.

There is a need to refurbish systems to reduce the cost of operations (particularly because governments’ tax revenues are under pressure).

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ISG will continue to invest in the digitization of these services, driving increased automation, greater profitability and even more value for our clients.

Consider Acquisition and Other Growth Opportunities.

● Consider Acquisitions and Other Growth Opportunities.

The business services, information and advisory market is highly fragmented.

We believe we are well-positioned to leverage our leading market positions and strong brand recognition to expand through acquisitions and other growth opportunities.

Acquiring firms with complementary services and products allows us to further develop and broaden our service offerings and domain expertise.

We will consider and may pursue opportunities to enter into joint ventures and to buy or combine with other businesses.

Acquiring firms with complementary services and products would allow us to further develop and broaden our service offerings and domain expertise.

We will consider and may pursue opportunities to enter joint ventures and to buy or combine with other businesses.

Our Proprietary Data Assets and Market Intelligence

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We recognize the value of our intellectual property and vigorously defend it.

As a result, the Company maintains strict policies and procedures regarding ownership, use and protection with all parties, including our employees.

As a result, the Company maintains strict policies and procedures regarding ownership, use and protection of our intellectual property with all parties, including our employees.

We operate in over 20 countries and across numerous industries.

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We compete with other sourcing advisors, research firms, strategy consultants and sourcing service providers.

A significant number of independent sourcing and advisory firms offer similar services.

A significant number of independent sourcing and advisory firms offer similar services to us.

We believe we set ourselves apart with our data repository of recent, comparable transactions and benchmarking data, our depth of experience and our sourcing and technology implementation expertise, all of which are critical to implementing and managing successful transformation projects for business and governments.

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Employees at ISG are anchored in our core values, which include trust, integrity, respect, diversity, passion, entrepreneurship, balance and mentorship.

Our approximately 1,600 employees, located in over 20 countries with more than one-fourth in the United States, perform a variety of different roles.

Our more than 1,500 employees, located in over 20 countries with more than one-fourth in the United States, perform a variety of different roles.

We are participants in the competitive research and advisory industries.

Attracting, developing and retaining talented people in advisory, research and other positions is critical to executing on our strategy.

Our ability to compete effectively depends upon a number of factors, including learning opportunities, compensation/benefits, work environment and career opportunities.

Our ability to compete effectively depends upon a number of factors, including learning opportunities, compensation/benefits, work environment, career opportunities and a culture of inclusivity.

To make this happen, we have certain programs, training, policies and practices in place, including the following:

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Through efforts such as our Inclusion, Diversity, Equity and Awareness (IDEA) team and Women-In-Digital industry group, we are able to help in the identification and advancement of diverse talent.

We strive to provide a culture where each employee is able to bring their whole self to work.

While we have made progress in our workforce diversity representation, we seek to continually improve in this area.

We have also introduced ISG WorkLife, which is a series of progressive, best practice, next-generation HR offerings designed to improve the quality of our work-life experience, while helping us achieve our firm-wide objectives.

We have also introduced ISG WorkLife, which is a series of progressive, best practice, Next-Gen HR offerings designed to improve the quality of our work-life experience, while helping us achieve our firm-wide objectives.

ISG believes this will help us attract and retain productive talent.

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● ISG Aspire , our global mentoring program.

● ISG iRefer , which allows the firm to attract talent through employee referrals, which earn referral bonuses.

● ISG iRefer , which allows the Company to attract talent through employee referrals, for which employees may earn referral bonuses.

● ISG iTime , which provides flexible paid time off arrangements for employees in certain countries .

● ISG Brand Ambassador, which highlights and encourages our people’s community support and charitable pursuits while elevating the firms global brand.

We understand that employees have varied interests both in and outside of the workplace.

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This allows us to attract and retain productive employees and enhance diverse perspectives.

Environmental Social and Governance (ESG, formerly referred to as CSR)

The ISG Environmental Social and Governance program was developed with corporate commitment and accountability on a global level.

Environmental Social and Governance (ESG)

The ISG Environmental Social and Governance program was developed with corporate commitment and accountability on a global level in mind.

The program has oversight and executive support to drive real, positive change in alignment with our value and policies, ultimately enabling us to maximize impact and value.

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ISG is governed on a day-to-day basis by our internal international executive board, which meets weekly.

ISG also receives governance and support from an external board of directors.

ISG also receives governance and support from an external board of directors (“the Board of Directors”).

We maintain procedures, policies and codes of conduct around ethical business practices, whistleblowing, suppliers, data protection, information security, privacy, confidentiality, employee comportment and travel.

With regard to cybersecurity, we regularly provide training, reporting and scans in compliance with our ISO-27001 certifications and best practices.

Every year, our employees attest to reviewing our global policies via digital signature.

Every year, our employees attest to reviewing our global policies via digital signature, including in 2023 a new policy regarding the acceptable use of generative automated intelligence.

ISG’s success depends on the knowledge and productivity of its employees.

To that end, the firm invests a significant amount of time and money into providing development opportunities.

To that end, the Company invests a significant amount of time and money into providing development opportunities.

Our ISG Academy is robust in offering learning in such topics specific to the employee’s industry and functional areas, leadership and people management, certifications and software and technical skills, among others.

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Our Internet address is www.isg-one.com .

The content on our website is available for information purposes only.

The content on our website is available for informational purposes only.

It should not be relied upon for investment purposes, nor is it incorporated by reference into this Form 10-K or any other filings.

We make available through our Internet website under the link titled “Investors” our annual report on Form 10-K, quarterly reports on Form 10-Q and current reports on Form 8-K, including any amendments or exhibits thereto, after we electronically file any such materials with the Securities and Exchange

Commission (the “SEC”).

We make available through our Internet website under the link titled “Investors” our annual report on Form 10-K, quarterly reports on Form 10-Q and current reports on Form 8-K, including any amendments or exhibits thereto, as soon as reasonably practicable after we electronically file any such materials with the Securities and Exchange Commission (the “SEC”).

Copies of our key corporate governance documents, including our Code of Ethics and Business Conduct for Directors, Officers and Employees, Corporate Governance Guidelines and charters for our Audit Committee, our Nominating and Corporate Governance Committee and our Compensation Committee, are also on our website.

Stockholders may request free copies of these documents, including our Annual Report to Stockholders, by writing to Information Services Group, Inc., 2187 Atlantic Street, Stamford, CT 06902, Attention:

Alfonso, or by calling (203) 517-3100.

Sherrick, or by calling (203) 517-3100.

Our annual and quarterly reports and other information statements are also available to the public through the SEC’s website at www.sec.gov .

In addition, the Notice of Annual Meeting of Stockholders, Proxy Statement and 2022 Annual Report to Stockholders are available free of charge at www.proxyvote.com .

Compared sentence by sentence after normalising whitespace, quotation marks, case and digits, so re-formatting and restated figures do not read as changed language. Wording changes appear as one removal and one addition. The current filing and the prior one are authoritative.

What changed 10-K

Item 1. Business