Volume 1 Issue 14 November 2003
Articles | Research | Events | Knowledge Center

Welcome to the November issue of Offshore Insights!

Business Process Outsourcing (BPO) is strategically and operationally different from IT outsourcing, bringing in a whole new set of challenges and complexities. So how do companies deal with these unique challenges? How is offshore BPO changing the way companies plan their offshore strategies?

We are tracking the offshore outsourcing space to give you updated news, views and trends to add value to your offshore outsourcing decisions. This month, we discuss the challenges in business process offshoring.

 
Offshore Sourcing Articles
Challenges with Offshore Business Process Outsourcing
  By neoIT
 

While it is true that the volume of offshore BPO deals is rising, the alarming fact is that as many as 50 percent of the deals actually fail. Everyone talks of the drivers in BPO offshoring, but what are the challenges? What are the basic questions a company needs to consider into before taking a business process offshore? How should companies plan for success?

Top
Industry Research and Case Studies
Offshore Outsourcing: State of the Industry - Part 2
  By the Sourcing Interests Group
 

A comprehensive report focusing on sourcing strategies and the state of the offshore outsourcing industry. This Part II of the report (first part was carried in last month’s Offshore Insights) gets into the nuts and bolts of getting ready, understanding the legal issues, and managing offshore outsourcing.

Global Outsourcing Is Here To Stay
  By Nasscom
 

This research study establishes that the US needs to offshore in order to grow its economy. Benefits such as cost savings and increased flexibility, a result of outsourcing, are expected to make the US companies globally competitive.

Offshore IT Services: An Intermediary’s Angle
  By Bear Stearns
 

A new research note from the Bear Stearns provides a quick view into trends in the offshore IT services industry. The summary gives good insight into growth opportunities and the leaders in IT services.

Top
Special Events
Business Process Outsourcing Asia 2003
 

December 2-3, 2003
Oriental Hotel, Singapore


The emergence of new BPO service business models - Insourced, outsourced, off-shore outsourcing to shared services and joint ventures formed between the customer and the providers is taking the vendor/partner relationship to a more complex level.

**Avinash Vashistha, neoIT Managing Partner, to speak on "India as a hot favorite outsourcing hub for global corporations".

The BPO Offshore Summit
 

December 8-9, 2003
New York, NY


Corporate America is now looking beyond traditional outsourcing deals to enter the offshore markets due to the tremendous cost savings and quality in these markets. This two-day event will provide a start-to-finish analysis for the effective offshoring of business processes.

**Atul Vashistha, neoIT CEO, to discuss the future of offshore outsourcing.

Offshore Sourcing Conference
 

January 21-22, 2004
New York, NY


Like many other global leaders, your organization is probably tasked with how to deliver a successful offshore outsourcing strategy. As you embark on this journey, there are many questions to consider. In response to the growing need for useful and accurate information about the offshore outsourcing process, neoIT, TPI and Mayer Brown Rowe & Maw, in collaboration with Strategic Research Institute, have developed an offshore outsourcing program that addresses both strategy and implementation issues.

**A neoIT, TPI & Mayer, Brown, Rowe & Maw event

Top
Offshore Knowledge Center


Visit Offshore Knowledge Center to learn more about global and offshore outsourcing. Examine best practices on the full lifecycle of offshoring from assessment and due diligence to transition, on-going management and analysis. You will find reports written by respected industry analysts, offshore articles from around the Web, and other important resources, such as newsletters and presentations.

What’s new in the OKC
Offshore Outsourcing: State of the Industry - Part I
Onshore vs Offshore Outsourcing
Best Countries for Outsourcing
The Roadmap to Offshore Success
Offshore Security: Considering the Risks
Top
neoIT in the News
  'Protectionism Will Cost U.S. Dear': India
  October, 2003
  "Putting a cap on H1-B visas gives offshoring a big shot in the arm," says Avinash Vashistha, neoIT MD. "The restriction on importing skilled manpower will push companies to do more offshoring work in India."
 
  ITES: China Threat ‘Over-Estimated’
  October, 2003
  China has a shortage of middle management workforce and they were costly for hiring against inexpensive talent pools with considerable experience. But with BPO likely to become multi-locational, India should adopt strategies for a long-term relationship with its customers, says neoIT MD Avinash Vashistha.
 
  All Signals Point to Recovery for Indian Software Sector
  October, 2003
  Deals being struck are in the size of $35-50 million for top 10 software companies in the last six months vis-à-vis under $35 million six months ago, says neoIT Director Pankaj Sharma.
 
  Cos Not Bundling BPO and IT in the Same Contract
  October, 2003
  Indian BPO vendors need to develop deep domain expertise in their areas of operation and at least 50 people need to work on a deal to make it financially viable, says neoIT CEO Atul Vashistha.
 
  Shake-Out Soon in Contact Centre Biz: Survey
  October, 2003
  The Philippines, Mexico, South America, Eastern Europe and China would benefit from increased BPO activity while India would dominate IT applications offshoring with the Philippines, China, Russia supporting the trend, says neoIT MD Avinash Vashistha.
 
  The Hidden Costs of IT Outsourcing
  October, 2003
  A year ago, 100% of neoIT's business came from consulting companies wishing to go offshore. Today, about 25% to 30% of its business relates to fixing problems, says neoIT CEO Atul Vashistha.
 

Opinion Poll
  What factors are driving you to offshore business processes?
 
Cost
Quality
Focus on core business
Process improvement
Combination of above
 
View results

View Editorial comments on the October Opinion Poll
Resources
  SIG
  The Sourcing Interests Group assists members in learning from each other's experiences in outsourcing, alliances, procurement, E-Commerce and shared services. Interest areas include Information Technology, Corporate Support Services, Business Processes and Supply Chain.
 
  SBPOA
  The Shared Services and Business Process Outsourcing Association (SBPOA) is a membership organization for executives, managers, consultants, administrators, and educators, with a professional interest in gaining a better understanding of what it takes to setup and lead best-in-class Shared Services or successful BPO activities.
 

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