Benefits Of Outsourcing

Being a BPO practitioner, this page strongly prefers (rejoices?) the endorsements of third parties. Today, a survey conducted by Accenture showed that outsourcing is not purely a simple cost saving instrument.

Here are some of the results, conducted on 800 executives (US & Europe), as published by Informationweek.

1. 25% of the responders reported an improvement in the business process, on the first day.
2. More than 50% reported traceable improvements within the first six months of outsourcing.

“The most frequently cited improvements included better ability to plan, higher levels of operational reliability, and more rapid implementation of new strategies and initiatives.”

3. Initially, IT functions were outsourced. Eventually, other functions were on its way.

“While IT services continues to be the leading outsourced function, more companies are turning to outside sources for supply-chain operations, learning and training, human resources, accounting and financial services as well as customer relationship management. 43% of the executives surveyed have IT outsourcing arrangements in place.

Supply-chain management was seen as the most rapidly rising area for outsourcing, with 36% of the respondents undertaking it, followed by 31% initiating outside learning and training functions.”

4. More than 80% of the responders expressed commitment to permanent outsourcing of at least one key function
5. Only 14% viewed outsourcing as a temporary remedy.

The days of outsourcing have arrived.