So You Want to do Some Outsourcing

Everyone’s doing it. Touting the numbers. Researchers get paid to find the percentages and totals, and writers and analysts get paid to put a spin on them.  But I think that research studies and advice about the outsourcing market often miss the boat.  

For evidence, look no further than a report yesterday (written by CRM Management editors) about the findings in Op2i’s recent Outsourcing 2010 survey.  Here’s their anemic conclusion from their data: 

While interest in outsourcing has increased, focus has yet again shifted to cost reduction, with suppliers pressured to deliver more for less – the U turn

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Inside the Outsourcing Excellence Awards

It happens to me every spring. I have the privilege of observing two phenomena, and both are impressive. Like the natives and the tourists, I drive the highways of Texas to see the beautiful Texas Bluebonnets covering the pastures and hillsides and framing the highways. It’s an inspiring sight. 

I also have the privilege of seeing the inner workings of some of the world’s most outstanding outsourcing relationships – the nominees and winners in Outsourcing Center’s Outsourcing Excellence Awards program. The 2010 winners were announced this week. It’s interesting to me that, every year, nearly 100 companies nominate their relationships for… Read the rest

Outsourcing Growth Around the World

Infosys is looking to acquire companies in the UK, France and Germany.

A new study reveals that 500,000 public sector jobs will likely be outsourced by 2015 in the UK in its efforts to combat inefficiencies and reduce government spending.

Convergys, Stream Global Services, Sutherland Global Services and Sykes Asia are assembling Spanish-speaking talent pools in the Philippines.

China’s hiSoft Technology International has taken over U.S. cloud computing provider Echo Lane, a top solution provider for Salesforce.com.

Irish BPO provider Abtran is adding 200 new jobs in its research and development area serving sales, customer service,… Read the rest

Outsourcing on the Other Hand …

If you’ve been the customer in an outsourcing relationship, you encountered the dilemma of whether or not to build penalties into the service level agreement. If you haven’t outsourced yet, a quick Google search will toss up dozens of articles about the carrot-and-stick controversy: whether to use penalties or rewards, or both, in SLAs.

A hefty reward or a hefty penalty should get a service provider’s attention and be an incentive that drives performance at the level the customer designates. So why does this strategy work only in theory sometimes?

A high level of fees at risk can be a… Read the rest

Changes in Outsourcing Growth in India

What were a bunch of start-up firms in India a decade ago grew into a multi-billion dollar industry. Now those same companies face new threats from within and without India. The Economic Times discusses the need for fresh thinking, which is driving the changing of the guard in BPO firms across India.

Clinical trial outsourcing is set to overtake the call center boom in India. The IndianExpress.com highlights why India ranks third in attractiveness as a location for clinical research but also highlights potential regulatory issues.

Changing the Battle Lines

What would happen if China and India were to stop competing and start cooperating instead? An article in Business Standard, an Indian newspaper, explores the possibility and concludes:

There is considerable scope for joint projects as we master the practice of working harmoniously together. … We strongly feel that the India-China relationship is grossly under-realised and the capacities for expansion are enormous.

An article in The Huffington Post takes a broader look and concludes: 

Cooperation on the global level is a new requirement in the history of our civilization, and we are not prepared for it. Our institutions and organizations were

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Perspectives on Midmarket Outsourcing of IT Infrastructure – Q&A with Brazil’s CPM Braxis

Size makes a difference. Midsized businesses have different concerns surrounding IT infrastructure management than large enterprises. Among other IT solutions, CPM Braxis, a leading IT service provider in Brazil, provides infrastructure services for enterprise and midsized companies.  I interviewed the firm’s Global Clients Director, Andre Maximiano, about issues in midmarket outsourcing.  

What are some infrastructure management issues that midsized companies face?  

AM: Due to budget restrictions and growth pains, midsized companies often have to improve performance of one department at the expense of the overall business. They also are often forced to take actions that don’t optimize performance because… Read the rest

The Significance of Sierra Atlantic’s Acquisition of Baytree Associates

On April 6, Sierra Atlantic Inc., an IT services provider recognized for outsourcing Oracle and product engineering solutions, announced that it has acquired Baytree Associates, a Charlotte, North Carolina-based consulting firm and Oracle solutions provider. The deal helps Sierra Atlantic, a Platinum Partner in the Oracle PartnerNetwork (OPN), further consolidate its already strong position as one of the top Oracle solutions and managed service providers.

But let’s look at the bigger picture. Sierra Atlantic’s strategy is a great example of how the service provider landscape is quickly changing – and why.

I talked with GK Murthy, Sierra Atlantic’s Executive Vice President. The… Read the rest

Convergys Exec Says Less Than 10% of Indian Grads are Employable

Convergys exec says less than 10% of Indian grads are employable in voice-based outsourcing services.

TCS Financial Solutions Ranks at the Top

TCS Financial Solutions is ranked at the top of several categories in Core Banking Solutions for Large Global Banks, according to a Celent report.

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