Trowbridge tells conference: Agility is "good news, bad news."
By Dan Berthiaume
Attending the 16th annual North American Shared Services & Outsourcing Week hosted by SSON in Orlando last week was an opportunity to catch up on trends and innovations in shared services and BPO. It was also a reminder that outsourcing is a truly global phenomenon and a key driver of international commerce. The exhibit floor included representatives of groups promoting outsourcing in emerging BPO delivery destinations such as Lithuania and Costa Rica, as well as several established Indian providers, and a poolside cocktail reception was hosted by Scottish Development International.
Mexico Increasingly Competitive
March 8th, 2012Source: Smart Planet
U.S. companies looking to outsource IT services and business processes are increasingly eyeing Latin America, and Mexico in particular.
It’s “near shore” versus offshore in action.
Closer to home than India or China, often with a deeper cultural affinity (especially among Southwestern states), Mexico has become an increasingly competitive option in the past five years.
“Mexico has made important advances,” said Javier Allard, president of the Mexican IT industry trade group AMITI. “We don’t want to compete with India, China or the Philippines. There are many niches.”
Neoris, a Mexico-based company that provides IT and business process outsourcing (BPO) services in Mexico, Argentina and elsewhere around the globe, is one of the companies seeing gains, as demand for near shore outsourcing from U.S. companies grows.
Neoris handles the e-commerce portal for a major home improvement retail chain; manages “enterprise resource planning,” or ERP, for an auto parts manufacturer and oversees …
By Katy Demong
The benefits of a successful shared services implementation include improved efficiency, streamlined processes, cost savings, and reduced redundancy. But Diamond Resorts International managers weren’t necessarily looking for those benefits when they ended up implementing a shared services initiative. Karen Palmer, who calls the concept of shared services one of the “most brilliant things in business,” admits the company was just trying to find a financial controller for one of its properties.
Creating a Wildly Successful Outsourcing Program
February 24th, 2012
By Linda Tuck Chapman
Outsourcing is serious business and will have a long-term impact on your company’s future. Let’s improve the odds that it’s a positive one! Your customers and shareholders shouldn’t and won’t differentiate who delivers their services – your company or a third party. So the time you invest in planning your outsourcing program and sourcing the right service providers is time well spent.
Small Outsourcing Deals Pose Their Own Big Risks
February 15th, 2012
By Dan Berthiaume
Driven by needs such as lower costs or specialist expertise, more and more BPO and IT outsourcing customers are turning to smaller contracts with a larger number of providers. According to the 2011 ISG TPI Index, the number of contracts in the $25 million to $99 million range grew considerably in the past year compared to those worth $100 million and more.
Ah, but smaller deals don’t necessarily mean smaller worries for clients.
Outsourcing Is Risky: Don’t Let It Keep You Awake
February 13th, 2012
Develop a strong risk management process and you won’t have to worry much
By Jagdish Dalal
I am always amused when business development people or IT outsourcing providers ask their prospects, “What keeps you up at night?” Then, they take that input and promptly develop a “value proposition” that is supposed to make the client sleep soundly! Soon the conversation goes to what value proposition they can offer to the prospect – and every attempt is made to avoid any conversation about risks associated with the solution or about risk mitigation options.
US Weaknesses Will Continue to Drive Offshoring, New Study Says
February 9th, 2012Harvard research finds that systemic problems, including politics, raise doubts about the country’s global competitiveness
By Luke Bujarski
A controversial new study on America’s global competitiveness entitled “Prosperity at Risk” suggests there will be no reversal of offshore outsourcing trends – at least for now. Harvard University surveyed 10,000 of its recent and seasoned graduates to get a better sense of how America stands up to the competition. Results are mixed, but the main takeaway is that executives continue to think globally when it comes to locating professional services, manufacturing. and R&D. And while lower wages remain a major driver to go offshore, broader systemic problems with the US economic and political system were reported as damaging America’s long-term competitiveness.
Don’t Let Stagnation Kill Your Shared-Services Operation
January 25th, 2012
Speed is of the essence, DeMent says.
By Patrick Haller
Success of a shared-services operation depends upon more than just a good plan and solid execution – like any good relationship, it requires constant monitoring and regular maintenance. Without a serious, ongoing commitment by the CEO, CFO, CIO, and managers throughout the company, shared services will implode. The entire corporate way of thinking has to change.
Staff Reduction: How to Make the Most of a Painful Situation
January 24th, 2012
By Daniel Berthiaume
A crucial aspect of many IT outsourcing and BPO initiatives is internal staff reduction. Despite the cost savings and more efficient operations that might result, few managers look forward to determining who stays and who goes when a department outsources certain functions. But properly evaluating employees in the event jobs need to be terminated is absolutely critical to BPO success.
Nearshore’s 2012 Outlook: Time for Industry to ‘Stand on Its Own’
January 18th, 2012
By Patrick Haller
With 2012 in full-swing, a critical look at what lies ahead for Nearshoring is in order. With a shaky global economy, and some forecasts calling for a sluggish year in IT and BPO sourcing, this is no time to be complacent. Whether it’s building solid skill sets, creating sufficient scale, matching client’s expectations, managing expansion, or doing business amidst social change and myopic political theater, providers have a lot to confront. We tapped some of the leading experts in the Nearshoring space for their answer to the burning question: What is the single biggest challenge you think the Nearshore outsourcing industry faces in 2012?
