Outsource Issue 22 - (Page 113)
THE BACK END INSIDE SOURCE Inside Source: reporting only for Outsource readers from the secret chambers of the outsourcing industry… This page will self-destruct in ten seconds…
Incest in the Industry?
Is it just me or has there been more movin’-andshakin’ of people in the outsourcing industry of late? Hardly a week goes by without an announcement in one form or another of a “strategic acquisition of senior talent” or in other words, someone getting a new job at a different supplier. In the days of the trusty paper Rolodex, this hopping around from one supplier to the next would have caused a serious headache – thank goodness for easy updates on Outlook. What is causing this? There are two reasons. Firstly, after a bunny-in-the-headlights response lasting through all of 2009 and the first half of 2010, buy-side executives have a renewed confidence in the economy and the embargos/ blocks on any organisational change and investment are long gone. The market has picked up and there is once again appetite for outsourcing, which means a renewed appetite in recruiting top talent. The second is more strategic and is being driven primarily by the Indian heritage ITO suppliers, who, if you look towards the likes of Cognizant (being the perfect example of my point), are hungry to build a solid BPO capability to offer a full suite of services to clients, and compete head on with the Tier 1 Big Boys. They have been chipping away at the talent pool for quite some time now. It is also interesting (and a clear positive) to see many Indian heritage suppliers recruiting a growing number of western faces and vice versa. As frustrating as it is to keep on top of who is going where; a healthy recruitment market is always a positive. And naturally it is going to mean our industry’s brightest faces popping up in new places. As at the end of the day, the best place to get talent is usually your nearest competitor: truth be told, it is not just their experience you are buying, it is their network too.
How to Avoid Marriage Guidance in Outsourcing
Damn those pesky royals. It looks like 2011 will see a royal fanfare in the form of nuptials between wistful William and squeakyclean Kate. Under normal circumstances, I’d be filled with glee at the thought of a good old British knees-up but not when it encroaches on my own territory. Because – you heard it here first – your very own Inside Source might well be tying the knot this year. How can I possibly compete with the Windsors? Tshhhh. But anyway, I digress from the point. All this talk of weddings has got me thinking of outsourcing relationships. When the champagne cork flies on the signing of an outsourcing agreement, it feels like a marriage made in heaven...”I, the honourable outsource provider, do solemnly take you, the all-deserving client, in an outsourcing arrangement till death do us part”. But then the lights come on, the hangover kicks in, and the cracks begin to appear. So how do you avoid marriage guidance (AKA outsourcing advisory support) in your outsourcing relationship?
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Remember that business drivers change. A deal you signed three years ago may be irrelevant to your business needs today, so try and ensure flexibility where you can from the start. Focus on investment and never assume that things will be fine if left to take their course. Effective ongoing governance is essential to this. Be realistic and clear about what the relationship can be deliver. SLAs and schedules should articulate the expectations of all parties in the hope of avoiding misunderstandings or disagreements further down the line. Communication is key. The reason most outsourcing deals fail is due to communication issues, not supplier inability to deliver in a technical sense. So to avoid the impending doom that some providerclient couples feel after their own honeymoon period, take my advice: outsourcing relationships are two-way and need working at from both sides.
“A spy, like a writer, lives outside the mainstream population. He steals his experience through bribes and reconstructs it.” – John Le Carre
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Table of Contents for the Digital Edition of Outsource Issue 22
Outsource Issue 22
Table of Contents
Shutting the Door?
Q&A: Deborah Kops
Colombia
LPO
Editorial Board Roundtable
Head-to-Head
HR Trends
Long Live AMS!
The Provider Perspective
Platforms Make Sense in the Cloud!
NOA Pathway
Case Study: Kingâs College Hospital
Egypt
Silver Lining
Roundtable Write-Up
Case Study: Nokia & Hyphen
Alan Leaman
Leah Cooper
Kay Formanek
Paul Awcock
News & Comment
The Legal View
NOA Roundup
Online Roundup
Letter to the CEO
Letters to the Editor
Sourcebites
Inside Source
The Last Word
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