Globalization has increased the level of competition; businesses need to be highly flexible, scalable, nimble, and responsive to customer demands. Businesses need a new set of capabilities to remain competitive. However these capabilities cannot be acquired cost-effectively in the traditional manner. There is need to go beyond and leverage alternate solution deployment and service delivery [...]
With industry experts predicting such a high degree of change in outsourcing over the next five years, Outsourcing Center asked Peter Bendor-Samuel, an industry pioneer and thought leader, for insights and predictions as to exactly where the industry is headed and what’s driving that movement. Bendor-Samuel, CEO and Founder of Everest Group, an advisory firm [...]
Which industries will experience a surge in outsourcing in the next few years, and what risks will buyers of those services face? Are there business processes or functions that will begin turning to outsourcing in the next two to five years? What value opportunities and risks will they bring? In what geographic regions will companies [...]
Captive shared services and outsourcing are both effective business models for increasing efficiencies and reducing costs. In fact, many organizations today choose to operate in a so-called “hybrid” environment enabling an organization to deliver more effective services than it can do with either model alone. Using a hybrid strategy successfully requires that an organization understand [...]
Is your company’s shared services center facing challenges such as lacking the expertise or technology to drive further process improvements and innovation or a cost structure that can’t adapt quickly to business changes? Philips, one of the world’s largest manufacturers of consumer products, had three shared services centers that initially delivered cost reduction but lacked [...]
Expectations for software product development captive centers to deliver cost savings, increased output, and innovation have not been realized causing companies to consider strategic alternatives. Read the full paper from Ness Technologies.
A medical manufacturing firm wasn’t getting the big orders because it couldn’t produce them at a competitive price. It decided to set up a captive. But where? It had three requirements: workers with medical manufacturing skills, a short plane ride from its Florida base, and solid infrastructure. Nicaragua fit the bill.
Virgin Atlantic, a long-haul airline, is known for thinking outside the box to enhance the in-flight experience. Less known is the way Virgin has applied similar innovation to its behind-the-scenes operations. Offshoring to WNS allowed the airline to consider business streams it had not previously imagined. And the cost differential allowed it to add more people to its call center to provide better service.
While a global shared services strategy is a powerful route to cost savings and global reporting consistency, embarking on this strategy as an internal initiative is not the most efficient or cost effective means of achieving a company’s vision.
In 2001, Sabre Holdings evaluated options to reduce its sales and distribution costs. But the company also wanted to minimize the risk of having all its IT knowledge in one region. Its first offshoring relationship was with NIIT. That has been so successful Sabre has since opened its own captive centers in Poland, India, Argentina, and Uruguay. This story relates the benefits of this model.
Supplier consolidation. The arrival of a buyer’s market. Multi-vendor strategies gain the upper hand. Read about 17 things that will shape the FAO market next year.
Offshore outsourcing is changing dramatically. Read about the changes and their implications for buyers and providers of outsourced services.
This paper discusses four key challenges and best practices in managing an offshore captive center, along with the trend of using a hybrid model (part captive, part outsourcing) as the solution.
“In-sourcing”, “out-sourcing”, “captives”, “third-party”, “onshore”, “near-shore”, “offshore”, “shared services”, “ITO”, “BPO” and many other such words and acronyms have crowded the media over the last decade. This paper by Patni explains the sourcing jargon, compares the pros and cons of some of the sourcing models, and tries to dispel some myths of outsourcing.
This Paper by Patni discusses some of the biggest challenges faced by organizations in aligning their applications to the business. The role of an offshore strategy in transforming those applications so as to align them with their business while they are offshore is a central theme of this Paper.
Should commercial software companies create a captive organization or outsource that work to an offshore provider? Sean Walsh of Symphony Services crunched the numbers and came up with an answer.
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