Research & Insight

Research & Insight

scope of service

We’ve Only Just Begun

Outsourcing Center, Kathleen Goolsby, Senior Writer

Jane Drasites, Director, Benefits Delivery for BP Amoco, swears that the first year in an outsourcing relationship is just like a marriage. Some marriages don’t work very well. When Amoco (prior to its merger with BP) signed an agreement in 1993 for Hewitt Associates to handle its HR functions, it was positive it had found the right mate. Unfortunately, they didn’t go for some counseling before they tied the knot, and the honeymoon didn’t last long.

A New Way to Look at BPO

Michel Janssen, Managing Director, Everest Research Institute

This spring I had lunch with one of our clients, a national retail chain. The chief financial officer, the chief information officer and the executive vice president for human resources (HR) gave me a list of 20 business processes they wanted to shed that weren’t part of their core competency. Read about how they did it.

Contracting With ASP’s What’s the Customer to Do?

George Kimball

Application service providers (ASP’s) promise to make all this go away. Rather than pay large license fees and hire swarms of consultants, companies may rent the software, or buy applications by the drink, paying so much per user, per month. Applications will be delivered to the desktop, over the Internet. Just pay the money, and someone else will buy, install, connect and configure everything. The allure is plain, and has aroused interest in the marketplace, and from service providers, including well-financed startups, as well as such stalwarts as Intel and Oracle. The appeal is especially strong to new and smaller companies, who can adopt standard functions from popular packages more easily than larger, long-established organizations.

The Pitfalls in Becoming a BPO

Outsourcing Center, Beth Ellyn Rosenthal, Senior Writer

ASPs have proven they are an efficient and cost effective way to share expensive applications. The most successful ASPs have made customer service a bedrock of their business. So it’s natural when a good client asks an ASP to help take on a related business process, the supplier wants to agree.

Profile of a Startup

Outsourcing Center, Kathleen Goolsby, Senior Writer

The objective of the new outsourcer, Exult, is a truly colossal undertaking. Founded in November 1998, the company aims to become the entire human resources (HR) department for all the Global 500 companies. Typically, each of those companies currently has 200-500 people working in their HR departments.

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