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Sunday, March 07, 2004

Forbes -Offshoring And Beyond

New research by the McKinsey Global Institute finds that companies are leaving billions of dollars in savings behind when they offshore back-office functions and service jobs.The way to reduce the cost of offshore operations even further is to reorganize and reengineer operations to take full advantage of these differencesBy reaping offshoring's full potential, companies will find that their new, lower-cost structures open up a variety of opportunities to boost revenue growth. These opportunities will often far exceed the annual cost savings. By McKinsey estimates, offshoring in 2002 was worth $32 billion to $35 billion--just 1% of the $3 trillion worth of business functions that could be performed remotely. Because of the significant benefits already being realized through offshoring, the market is projected to grow by 30% to 40% percent annually over the next five years.
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Sadagopan's Weblog on Emerging Technologies, Trends,Thoughts, Ideas & Cyberworld
"All views expressed are my personal views are not related in any way to my employer"