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Sunday, May 29, 2005

Outsourcing Trends & Best Relationship Awards

The Outsourcing Center discovered six prominent trends in today's outsourcing relationships:
1. Cost is no longer the only key driver; an important emerging driver is the need for process expertise.

2. Full-service human resources outsourcing is gaining acceptance.

3. Offshoring is here to stay, but still only has a small presence.

4. The deal sizes are getting smaller; there were significantly more small deals than mega-deals.

5. Few buyers want a mid-term contract of seven or eight years; most
buyers prefer less than five years or more than ten.

6. Companies are moving away from complex service level agreements;
fewer, more effective metrics
are becoming more popular.
The center finalized through a structured nomination and evaluation process six outstanding outsourcing relationships for best relationship awards. In the process it was noticed, that both customers and service providers have become much more adept and sophisticated in forming partnerships that are built to last.
The six winning relationships identified for the award are:

Best First Steps: Bank of India and HP
Best Governance: Westpac and EDS
Most Transformational: KeyBank and ABN AMRO
Most Innovative: Fairmont Hotels and Avendra LLC
Best Partnership - Government: QinetiQ and Accenture
Best Partnership: Johnson & Johnson and Hewitt Associates

Outsourcing relationships are improving and maturing a lot - new innovative measures, performace leavel expectations and maturity in relationships are becoming to be felt.

Category :
ThinkExist.com Quotes
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"