Wednesday, March 17, 2010

Survey Reveals Resurgence in Growth for Global Outsourcing Markets

Horses for Sources, a research advisory organization focused on global outsourcing strategies, launched its first major research report that analyzes the adoption intentions and experiences of 1,055 senior executives involved in the buying and selling of both IT and business process outsourcing services.

Key highlights discussed in the report, are centered on the following:

-- 2010 is primed to be a very strong year for outsourcing adoption

-- The key areas of increased outsourcing scope are expected to be in areas with heavy low-cost labor arbitrage support (nearshore and offshore) – software applications, call center, engineering management, finance & accounting, analytics and human resources. In some cases, half companies interviewed will be increasing outsourcing scope

-- The middle-market ($750m-$3000m annual revenues) is poised to be the most active

-- The principal drivers behind outsourcing are cost reduction, desire to globalize business operations and to transform/re-engineer business processes

-- The main Inhibitors are other priorities brought on by the economic crisis and internal politics/resistance to change

-- When evaluating vendors, global scale, financial stability and operational excellence are the tablestakes. Business transformation capabilities are the differentiators

-- Customer-willingness to evaluate cloud-based “business utility” offerings is strong as they increasingly look at hybrid IT/BPO solutions

More information on Outsourcing can be found at www.SupportIndustry.com

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