Given the maturation of the outsourcing industry, it’s likely that several of your transition team members have already gone through at least one transition. And that they’ve done so – albeit on different teams, even at different companies – can be highly advantageous to your initiative. They fully understand the complex and grueling nature of a transition, know many of the pitfalls you can encounter during the journey, and appreciate the criticality of finely-tuned plans and processes.
However, the fact that they have prior transition experience can, in and of itself, also result in unexpected challenges. Does this sound counterintuitive?… Read the rest
Here’s a snapshot of today’s communications:
- Words are abbreviated into scant “code” in text messages
- Corporate branding messages are squished down to 140 characters on Twitter
- Paragraphs or even entire pages in articles and reports are shortened to bullet lists
Funny how this sound-byte way of communicating cajoles us into thinking we can similarly truncate our behaviors yet still be successful in the relationships in our lives.
Reality says that’s not the case. There are all sorts of entangling knots within relationships, and the potential for damage is high when we don’t slow down and take the time – read… Read the rest
Over more than a decade, I’ve asked hundreds of buyers of outsourcing services which means of communication proved more effective in successfully meeting their objectives: ad hoc, informal communications or formal governance meetings.
By far, the majority stated the governance meetings were absolutely essential. However, most also stated that the ad hoc, informal communications were more effective at managing issues more quickly.
When I asked buyers which method of communication was more effective in managing the relationship itself, there was a greater variance in opinion. I was reminded of this recently when I watched a program about hiking the… Read the rest
“What gets measured gets done.” Outsourcing consultants often tout this well-known maxim from business management guru Tom Peters in relation to measuring an outsourcing service provider’s performance. But there’s an important aspect that many companies don’t measure – the relationship itself.
When I talk with outsourcing customers and ask them how – and how often – they assess their relationship rather than the provider’s performance, some answer that they reviewed its status on a dashboard in a governance meeting at least annually. Many answer that they “just know” how the relationship is doing based on the fact that there are… Read the rest
Since outsourcing is a business model whose success depends on the relationship itself, how important is it that the top execs of both the client and service provider companies develop personal relationships with each other? Does it really help the outcome – the achievement of objectives – in any way?
Let me first put come context around “develop personal relationships with each other.” I’m not referring to the activities (although they are crucial for success) companies undertake where there is an offshore service delivery component and both parties need to visit each other’s countries and learn more about each other’s… Read the rest
Realistically, how long can an outsourcing service provider and its customer go without having a conflict? Though people often compare an outsourcing relationship to a marriage, it’s not the same when it comes to conflicts. For instance, in a marriage where the couple has conflicts over how to manage their money, they can open separate bank accounts. In an outsourcing relationship, the decisions each party makes – or wants to make – impact the other’s wallet; so conflicts are inevitable.
The way the parties handle conflicts can decide a relationship’s fate. Sure, they establish the basics for this at the… Read the rest
Win-win approach. Collaborative relationship. These buzz words are tossed out frequently as a hallmark when executives describe their outsourcing relationships. But the terms are apt to be misused. I’ve had some interesting conversations about winning and collaborating in outsourcing relationships. One executive summarized an event in his company’s relationship this way:
“When we identified the root cause of the issue, we collaborated to determine the solution that would meet our needs and be a win-win.”
Despite the fact that a lot of companies use the buzz words and label this kind of situation as a win-win approach and as collaborating,… Read the rest
I recently watched a video of National Geographic photographer Brian Skerry’s efforts to document what has been happening to undersea creatures over the past several years because of people overfishing the oceans. This and other actions we’ve taken that are harmful to marine life have led to a global fish crisis where many species are now critically endangered; some species have lost 90 percent of their stock as a consequence of our actions.
Ninety percent is a really high number – so is the number of outsourcing relationships that fail these days even after decades of learnings about outsourcing’s keys… Read the rest
Welcome to the first edition of my Outsourcing Pulse List. What is it? A periodic list of observations about what outsourcing industry companies and individuals do or say. The Pulse List will feature those that miss a beat, some that never miss a beat, those with new beats that radiate with wide ramifications, and sudden fluctuations. Curious, out-of-whack ideas, items of concern, and also insightful statements – that’s some of what you’ll find in the Pulse List. You may even find yourself or your company on the list.
Since this is the list’s debut, we’ll start with two lists –… Read the rest
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
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