Nov

5

As some buckle under the pressure, others take the opportunity for the lead by taking a leap and giving it their all.

The same goes for outsourcing, the companies and their business partners are poised to survive, surpass the economic turmoil.

Equa Terra, a global business consultancy firm, performed a Pulse survey this third quarter of 2008 and has seen demands in outsourcing leaping over other business investments in hardware, software or project-based services.

Apparently, economic uncertainty is not a hurdle but a driver for companies to proceed with outsourcing.

“Outsourcing has always been associated with cost savings and now with all companies setting aggressive cost saving targets for next year we may see more and more outsourcing contracts come to fruition.”

–Martyn Hart, Chairman of the National Outsourcing Association.

Outsourcing has so far now become the norm in doing business as through short-term business objectives, outsourcing brings immediate cost savings and reduces short-term capital outlays while for long-term iniatives and projects, outsourcing can improve end-to-end business process while increasing the return-of-investment.

“Developing and adopting standardized outsourcing governance operational models, investing more in skilled personnel and leveraging software tools to automate and improve governance operations will be central to achieving business case objectives for multi-provider outsourcing efforts.”

–Stan Lepeak, EquaTerra managing director of global research.

However, care must be taken in outsourcing projects involving multiple providers because of its complexity in business operations. Multi-provider outsourcing requires more eyes-on, hands-on management.

“They have to define the scope of success and manage it closely. They have multiple contracts to manage in practically the same space.”

— Phil Morris, European managing director at sourcing consultant EquaTerra.

Also to take in consideration, other than who would be your outsourcing providers but where can you find them.

In the Philippines, Queen City of the South— Cebu was recently named the top emerging global outsourcing destination.

Its education and scale and quality of the workforce, cost, business catalyst, infrastructure, risk profile, and quality of life are its winning qualities that make it a bastion for the country’s off-shore outsourcing industry.

With 36 direct foreign investments in IT and Business Process Outsourcing operations in Cebu and 23 call centers, the Cebu IT and BPO industry has continuously provided top-quality services with quantifiable results.

No wonder the Business Processing Association Philippines remains confident as firms expand with more sophisticated products like accounting and engineering services, these firms come to the Philippines to take on the challenges.

“We have more than enough in our work force for specific functions like finance, engineering design, human resource [HR] practitioners and even medical and legal analysts.”

-Oscar R. Sañez, Chief Executive Officer  of Business Processing Association Philippines.

Outsourcing Solutions, Inc. – your outsourcing partner!

 

References:

  1. “Global outsourcing destination.” 3 November 2008. The Manila Bulletin. Accessed 4 November 2008. Link here
  2. “Outsourcing sector upbeat on high-skilled labor pool.” 30 October 2008. Business World. Accessed 31 October 2008. Link here
  3. “Recessionary Climate Expected to Fuel Demand for Outsourcing Initiatives into 2009.” 29 October 2008. IT News. Accessed 31 October 2008. Link here
  4. Cooper, Rafi. “Recession set to boost outsourcing.” 29 October 2008. InfoWorld. Accessed 31 October 2008. Link here
  5. Knights, Miya. “Outsourcing trends adapt to economic climate.” 30 October 2008. IT Pro Website. 31 October 2008. Link here
  6. Finders, Karl. “Three-quarters of businesses say outsourcing is the norm.” 29 October 2008. Computer Weekly. 31 October 2008. Link here

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