As the outsourcing industry heads into 1999, Richard Raysman, an attorney with the New York firm of Brown Raysman Millstein Felder and Steiner LLP, expects to see not only larger transactions, but an expansion of the services being outsourced.
In fact, results of PwC’s Global BPO Top Decision-Marker Study, conducted by Yankelovich Partners among CEOs, Presidents, CFOs and CIOs of $1 billion companies worldwide, indicates that 65% of these decision-makers at high technology companies report that the importance of BPO at their companies has increased over the past three years and that 70% have outsourced one or more business processes to an external provider. And, remarkably, over nine of ten (94%) technology executives state they are satisfied with the BPO initiatives at their companies
The world is a different place now, creating a business environment driven by real time operations and an increased sensitivity to activities in the global marketplace. Companies are reaching beyond their former geographic limitations to explore new challenges and opportunities.
Best Integrated Relationship: Brunswick Outdoor Group and ACS. The relationship between Brunswick Outdoor Group, a division of Brunswick Corporation, and Affiliated Computer Service (ACS) began slowly in 1995 with a contract for ACS to take over the data center of Zebco, a Brunswick Outdoor company.
Most Effective Deal: Kellwood Company and EDS. In most business circles, the Kellwood Company is a well-kept secret. Although the company is the fourth largest apparel company in the U.S. and the largest producer of popularly priced clothing, their clothing does not carry the Kellwood label.
As the industry continues to move from cost-based to value-based outsourcing, technology trends that leverage network over premise infrastructure will offer new opportunities in business processes and functions.
International Outsourcing: Diversity is the hallmark of the UMW group. The thriving industrial enterprise, based in Malaysia, stretches from Singapore to the Philippines to Canada, with spots in between, and engages in core businesses ranging from automotive and heavy equipment to material and environmental management. Several years ago, the company saw the need to connect all the dots on their corporate map with an Information Technology (IT) system that enabled them to gather and manage knowledge more effectively.
Culture shock. That’s not something most would expect conservative icon Rolls Royce to embrace, but that’s exactly what the company sought in its outsourcing relationship with EDS.
This relationship was chosen because of its strength and its powerful vision of impacting Rolls Royce’s business beyond its IT systems.
This relationship was chosen based on the close working relationship between the two companies.
This relationship is recognized based on Textron’s perspective that it has allowed them to aggressively pursue acquisitions and achieve the most favorable worldwide pricing.
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