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Outsourcing 2.0: The future of processes and standards


By Khrystyna Kosyk
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October 12, 2011 —  (Page 1 of 4)
Khrystyna KosykIt doesn’t seem that long ago outsourcing was something no one really wanted to talk about or acknowledge doing, and certainly not doing for any reason other than cutting costs. It’s different now; I hear more and more companies talk about outsourcing as a strategic part of their business, changing the reference to service providers from the other team to partner.

Times have changed. And they’re changing still.

For decades, companies experimented with different forms of outsourcing and associated business models. Everything from offshore, near-shore, internal outsourcing and a combination thereof have been put to the test. So have business models such as co-sourcing, multi-sourcing, and joint venturing. Overall, the results have been positive, but not without some concern and failed attempts.

When I look at the history of outsourcing and the number of quality companies who have engaged in it with varying success, I can’t help but wonder: Why do some companies have more success with outsourcing than others? The answer appears to be that companies that struggle with outsourcing lack fundamental communication and good processes within their outsourcing relationship.


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