Today's Offshore Outsourcing Challenge
"Outsourcing will represent 59% of IT services by 2005" source: Gartner. In today's connected global marketplace, organizations have discovered that outsourcing some of their non-core processes to offshore destinations will definitely generate value. By leveraging technology, works involving - designing network infrastructure, setting up of help desk, rolling out new messaging system, or building an online business application - is delivered with great efficiency and flexibility. 80% to 90% of cases indicate that cost is the deciding factor in opting for outsourcing. By thoroughly understanding the operational cost, companies will be able to detect streamlining and real value opportunities - this is the foundation of an outsourcing strategy. Outsourcing too requires setting aside the fear of losing control over operational and procedural matters by the managerial level. Organizations also need to consider a complex mix of technical and business issues while evaluating the merits of IT offshore and outsourcing services. Selecting the right and proficient outsourcing provider who can manage a complex and continually evolving IT infrastructure is the key to successful outsourcing. Nonetheless, one of the greatest challenges will be to overcome resistance within the organization to placing work with organizations hundreds or thousands of miles away. Winning hearts and minds within the organization is a critical part of the change management necessary to deliver the benefits of offshoring.
Links:
What Companies Need to Understand about Switching to Outcome-Based Approaches in OutsourcingEconomists argue that offshoring is a win-win phenomenon
How Verticalization and Business Process Utilities Will Impact Outsourced Services
The Benefits of Outsourcing for Small Businesses
32 Benefits of Outsourcing
Microbusinesses find huge benefits in outsourcing
Top Ten Reasons Companies Outsource
3 Reasons Why More Outsourcing Is Inevitable
Top 7 Outsourcing Advantages
