Research & Insight

Risk-Reward

What Causes Outsourcing Failures?

Outsourcing Center, Kathleen Goolsby, Senior Writer

Outsourcing Center has been studying the risks and causes of outsourcing failures. This article presents some of the findings from the Center’s 2004 survey on Leading Causes of Outsourcing Failures. This is the first in a series of five articles and several downloadable research papers on the topic of failure.

Direct Route to Competitive Advantage

Outsourcing Center, Kathleen Goolsby, Senior Writer

One of the first value outcomes resulting from shifting ownership of Michelin North America’s logistics process to outsourcing provider, TNT North America, was a $70Million cash flow increase in just one day. The money was then invested in critical strategic objectives. That was just the start of several transformational initiatives the two successfully achieved.

Academic Outsourcing: Major in Financing, Minor in Risk

Outsourcing Center, Kathleen Goolsby, Senior Writer

The University of Florida was managing a retail operation as one of its many businesses. \x0d\x0aThey partnered with an outsourcing provider, Follett Higher Education Group, who not only has taken them to the next level of services but also provided the capital investment to construct several new campus retail facilities. Together, they brainstormed on several unique collaborative ways to create high-value outcomes through outsourcing.

Blue-ribbon Teaming for Excellence in Outsourcing

Outsourcing Center, Kathleen Goolsby, Senior Writer

This winning relationship broke our awards scoring records and is undoubtedly one of the world’s most outstanding examples of outsourcing at its best. Owens & Minor outsourced its IT to Perot Systems, and O&M now commands the leading position in its marketplace. But that’s not all. The level of openness and honesty between these two companies is rare in outsourcing. So is their risk-reward structure — and the outcomes they’ve achieved together.

Partnering for Performance

Outsourcing Center, Kathleen Goolsby, Senior Writer

The city of Minneapolis knew that outsourcing its IT functions and assets to Unisys would enable them to focus on value-added services for internal users and external customers, but there were huge obstacles in front of an outsourcing initiative. So they first researched both successful and failed outsourcing deals to determine what they needed to do upfront to ensure their success.

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