Research & Insight

Articles

Keeping Intellectual Property Under Wraps

Outsourcing Center, Beth Ellyn Rosenthal, Senior Writer

During an outsourcing agreement the vendor becomes polluted with what is considered to be very proprietary intellectual property, says Gene Slowinski, director of strategic alliance research at the graduate school of management at Rutgers University. When a vendor works with a customer in an outsourcing relationship, the customer tells the supplier many things that are protected by patent, information protected by trade secrets, and vital company knowledge that is retained by the employees within the corporation. The customer and its new business partner the vendor must discuss these issues or it can be very damaging to both sides.

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Integrate the Best-In-Class Provider or Control the Single Integrator

Dr. Eelko L.P. van Leeuwen

Outsourcing changes are usually linked to developments in the computer industry. In the past, mainframe operations have been the dominant way in which a company runs its information technology (IT). So consequently, outsourcing has drifted towards farming out entire computer centers. With more decentralized operations, such as LANs and WANs, the possibilities of selective outsourcing has become reality, opening the door to multiple vendors and the outsourcing of different environments. This leads to the question of whether to choose best-in-class providers or single integrators.

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International Outsourcing: The Legal View of What’s Different

Bill Bierce

International outsourcing involves complexity and risks not found in typical domestic outsourcing. These risks are cultural, political, financial, technological, managerial and legal. Ultimately, these multiple international risks show up in the process of drafting, negotiating and enforcing the contract. Freedom of contract varies according to the governing laws and attacking the legal issues requires initiatives from the beginning.

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The Dynamics of Outsourcing in Australia

Dr. Ognian Pishev, Vitosha Software (Australia)

Although information technology did not occupy the place it deserved in party platforms during Australia’s September 1998 election, IT was brought to the public forefront by industry bodies. Australia is currently at a critical juncture of its multi-billion-dollar outsourcing industry, and the general concensus is that reform is needed.

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Communication: Cornerstone For Building Flexibility

Outsourcing Center, Kathleen Goolsby, Senior Writer

More and more, companies enter into outsourcing agreements as a strategy to remain competitive. But rapid technological advancements change the competition; hence, an essential element of an outsourcing agreement must be flexibility. G2R, which specializes in providing research and management consulting, assists end users and vendors in constructing effective sourcing agreements.

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No Seams

Outsourcing Center, Kathleen Goolsby, Senior Writer

Industry studies reveal that most customers who become dissatisfied select another provider, rather than return the functions in-house. Stephen Fordham, Senior Director of Employee Care at Convergys Corporation.

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Straight A’s Report Card

Outsourcing Center, Kathleen Goolsby, Senior Writer

Grading the performance levels, strategies, and success of government services outsourcing suppliers, MAXIMUS is out front with straight A’s. The company was selected by Forbes Magazine as one of the ten Best Small Companies in America for 1999..

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