When two companies merge, a flurry of negotiation begins. Often watching from the sidelines are clients whose outsourcing relationships can be hacked away in no time by the acquiring company’s executive sword. How can you salvage outsourcing relationships in the midst of a merger?
Monthly Archives: July, 2001
As healthcare professionals strive to focus on their core competencies and become more efficient and cost-effective, they turn to outsourcing as a solution. Buenaventura Medical Group (BMG), a 50-doctor, multi-specialty group with five locations and 100,000 patients, made that decision five years ago. In efforts to stay ahead of their competition, they realized that printing and mailing their patient statements was sorely in need of process improvement.
Managing the infrastructure of information technology is critical to federal government agencies. The maintenance and operation of tens of thousands of desktop computers, the software that drives them and the networks that connect them 24 hours a day, seven days a week, can be likened to the proverbial millstone tied around the neck of government agencies. Outsourcing the management of these computer seats often can combat this drain on resources, saving both time and money.
Outsourcing operations themselves do not vary greatly across national borders. But multinational outsourcing efforts are often challenged by geographic distance and differences in national laws and customs. Sodexho Alliance, whose services range from Paris’s Seine River cruise catering to prison cafeteria staffing, has overcome those hurdles. The company finalized its merger with the former American hotel group Marriott on June 18th, 2001 to make Sodexho Alliance a global outsourcing model.
Three factors in today’s global, competitive economy increase the demand for outsourcing: Technological change, Technology management, Business change.
At LaQuinta, the inbound call center has been an outsourced function since 1996. Jackie Burke, Vice President of Reservation Services for LaQuinta, says the company has no reservations — that is, no doubts or misgivings — about its choice of outsourcing supplier for this extremely important function.