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Welcome to the March 2006 issue of
Offshore Insights. We continue to track the
Services Globalization industry to provide you with the latest news, views and
trends that shape the way services are purchased, delivered and managed around
the world.
The offshore outsourcing market has matured to evolve into a services
globalization model, representing tangible benefits to global companies – not
only cost savings from labor arbitrage but also gains from increased
productivity, efficiency and quality. Increasingly, the benefit of
relationships with multiple service providers delivering an integrated and
scalable global services supply chain is being realized as services
globalization takes hold and delivers on its promise. According to Arthur H.
Harper, former CEO of General Electric's equipment management businesses, "I
think we will end up with companies that deliver products faster at lower costs
and are better able to compete against anyone in the world". Said Daniel
Marovitz, Deutsche Bank's global businesses technology managing director, "The
issue is that if you don't adopt it you won't survive."
This month’s whitepaper demystifies ‘Services Globalization’, explores the
drivers responsible for its evolution and demonstrates the benefits accrued
especially to those who have been its early adopters.
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Services
GlobalizationSM: Emergence of a New Driver for Business Agility
By neoIT
The maturation of services globalization stems from offshore outsourcing, and
results from the combination of economic maturity, free trade across borders,
and the emergence of centers of excellence around the world. Services
globalization can help companies with a flexible business model seize
opportunities and dodge obstacles to business success, thereby providing a
competitive advantage. By leveraging services globalization companies can cut
costs by having processes performed by service providers that can perform them
more efficiently; can improve quality by sourcing talent throughout the world;
and can increase its growth by taking advantage of labor pools wherever they
may be located.
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Outsourcing
Strategies: Special Report
CIO
A three-part series about outsourcing strategies and success models, defined in
original research by MIT's Center for Information Systems Research and CIO
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Will
Political Instability of Philippines Dramatically Impact Country’s Offshore
Outsourcing Industry?
neoIT Report
According to neoIT CEO Atul Vashistha, "The current situation in the
Philippines heightens the need for companies to have multiple global sourcing
locations and to have multi-country, multi-location disaster recovery plans in
place."
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Leveraging
Services GlobalizationSM in the Asset Management Industry
By neoIT
A number of factors are converging to prompt asset management firms to leverage
services globalization. The need to cut costs associated with new products and
geographies, erratic equities market, globalization and increasingly demanding
clients and stringent regulations mean that asset management companies must
overhaul their operations, says neoIT, and leveraging services globalization
optimally will be high on the list of solutions. The report also provides an
in-depth view of the services best suited for globalization and actions that
clients and vendors should take to benefit from Services Globalization.
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Global
ITO and BPO trends for 2006
By neoIT
Offshore IT outsourcing - is it a viable option to onshore outsourcing?
Discrete outsourcing - is it a preferred sourcing strategy? Will established
providers be able to continue to command premium pricing? Tactical vs.
Transformational approach to offshoring - What are clients really looking for?
Are their any shifts in the values that are being sought from engagements?
Supplier markets - which are the emerging ones? Is China really a threat to
India?
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Baker
& McKenzie-neoIT Global Outsourcing Webinar Series
March 16, 2006 - 'Global Outsourcing: Destination Costa Rica'
neoIT's executives & noted offshoring legal and tax experts Baker & Mckenzie
will host a series of Free Global Outsourcing Seminars.
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Shared Services Week 2006
March 27 - 31, 2006
Lake Buena Vista, FL
Atul Vashistha, neoIT CEO, , will chair the
Offshoring and Outsourcing track on March 28, 2006.
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The
2006 Strategic Outsourcing Conference
April 27 - 28, 2006
New York
Atul Vashistha, neoIT CEO, will discuss the
Successful Practices of Highly Effective "Services Globalization" Firms
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| Offshore Knowledge Center |
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Visit the
Offshore Knowledge Center to learn more about services globalization.
Review best practices on the full lifecycle of global services delivery from
assessment and due diligence to transition, on-going management and analysis.
You will find reports written by respected industry analysts, articles from
around the Web, and other important resources, such as newsletters and
presentations.
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Dubai
Wants IT Business as Well as U.S. Ports
Computerworld,
February 2006
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NeoIT Inc. in San Ramon, Calif. Vashistha said Dubai wants to establish itself
as the Singapore of the Middle East.
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Outsourcing
Frontier: Yanks Need Apply
CFO.com,
February 2006
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| Atul Vashistha, CEO of
neoIT, an offshoring consulting firm in San Ramon, California, also sees Indian
firms hiring Americans as project, relationship, business, and account managers
for their domestic and U.S. operations.
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Polaris
Gets Award From Cyber Media Publication
CIOL.com,
February 2006
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| The Global Services 100,
conducted by Global Services magazine in conjunction with neoIT, applies a
sophisticated sourcing evaluation process to identify the largest and most
innovative global service providers.
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IBM's
Indian Workforce Overtakes Japan's in '05
The Financial Express,
February 2006
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| Entry-level salaries for
software professionals in India are $5,443 a year, according to a May 2005
report from NeoIT, a San Ramon, California-based company that advises companies
on moving technology jobs to low-cost countries.
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The
New China?
Entrepreneur Magazine,
February 2006
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| The country had the lowest
wages for IT workers of seven nations--including China, India, Malaysia, the
Philippines, Singapore and Thailand--that were surveyed in 2004 by neoIT, a San
Ramon, California, offshoring consultant.
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Reluctantly
India Fosters A Rival
International Herald Tribune,
January 2006
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| Indian companies need to
follow their US and European Union customers to China before competitors draw
them away, says Pradeep Mukherjee managing director of neoIT, a services
globalization consulting firm based in California.
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| Global
Services
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| Global Services is an
integrated media brand with a portfolio offering that includes a magazine, a
website, events, a newsletter and customized solutions. Its audience consists
of corporate professionals engaged in the sourcing and management of business
and technology services. Global Services is owned by CMP-CyberMedia LLC. The
editorial team is co-located in the United States and India.
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more about neoIT |
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(Readers write-in) |
| neoIT derives knowledge from market
intelligence. Your opinions and views matter to us. If you feel you have
something interesting or important to tell us, please write to
articles@neoIT.com. |
| Note: Articles will be edited
for content and length. |
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