Cost reduction often is the primary push to outsource a non-core area. And when the savings are significant, slashing the costs almost in half, more and more American companies are taking advantage of the lower price, even if the supplier is half way around the world.
Outsourcing relationships work well when each company is able to focus on its core competency. The outcome is even more successful when each firm is a leader in its field. This relationship displays the powerful results when a buyer leverages the best-in-class expertise of a supplier. It is an enlightening case study in how companies should outsource their telecommunication.
Unisys and First Travel Corporation: This is fascinating example of how an international IT company moved into BPO outsourcing. Outsourcing its back office gave First Travelcorp two strategic advantages: marketing muscle and cost flexibility. First, Travelcorp could provide new, sought after services for its corporate clients, which provided a competitive edge. The result: Travelcorp landed new clients, the biggest it has ever had. And it was able to turn a fixed cost into a variable one, boosting the bottom line.
Brad Boston, executive vice president of Product Development and Delivery for Sabre, the world’s leading provider of information technology (IT) for the travel and transportation industries, says Sabre aims to partner with its customers in developing technology that moves the customers forward (at a good price plan) and improves the customers’ overall business…
As part of Professional Services at Compaq Computer Corporation, eBusiness Management Services (eBMS) is an Internet provider company. The company has managed the Microsoft network, including connecting more than 1,600 servers into its enormous server farm, for four years.
The creation of Sabre Inc., now the world’s leading provider of information technology for the travel and transportation industries, did not stem from an intent to form a new outsourcing group. It became an outsourcer, says Robert L. Crandall, chairman and CEO of AMR…
In the world of travel reservations bookings, no name is better known than Sabre. It processes 40% of all reservations made in the world and links travelers to travel suppliers through more than 210,000 computers at travel agencies, airports and businesses. Nearly every airline in the world relies on outsourcing solutions and services from Sabre.
Years ago, many organizations had software systems that were ‘nice to have.’ In today’s world, though, we need systems to help us compete in the marketplace more effectively. Software systems now have a major impact on our business and enable us to produce higher revenues, higher income, and higher market capitalization…..
PricewaterhouseCoopers (PwC) and BP Amoco (BPA) have embarked on a significant outsourcing collaboration that has the potential of being a watershed event.
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.