2012 Predictions: A Recap
The year is about to close and it is time for another recap of the year that was. Many await the projections for the outsourcing industry because businesses are becoming interested and they are starting to realize the benefits of sharing their processes with an outsourcing service provider. Decision makers have realized that offshoring is...
Firms That Are Outsourcing Require Great Leadership Traits
Management support and commitment are key success factors to any significant outsourcing project. Equally important are the integrity and leadership skills possessed by both the service provider and the client. So this leads to the question, “what makes a good leader?” Below is a list of traits that we have assembled Leadership is respecting the...
Avoid Common Outsourcing Mistakes Through Best Practices
Outsourcing is a powerful business strategy, if used appropriately and executed properly. Yet, some firms continue to under-perform in their outsourcing endeavors. Fortunately, this is a management strategy that has been around for many years and a solid list of best practices is available. Here is my list of eight important best practices: 1. Management...
Outsourcing Cost Considerations
Clearly, one of the most typical benefits of outsourcing comes from cost reductions. This can include lower labor rates, lower management support costs, reduced capital outlays and other reductions in support costs. Despite these significant savings, I urge managers who are considering new outsourcing projects to do a careful assessment of costs and savings. Direct...
Reasons Why You Should Outsource: A/R Collections and A/P Processing
Many owners of small businesses find themselves managing their own Accounts Receivable collection and Accounts Payable processing, or delegating employees to do it instead of focusing on their primary roles. Valuable and scarce human resources being spent on tasks that have an indirect relation to the company’s products or services is a position that is...
Outsourcing: What Factors Should Be Considered in a Vendor Assessment
We recommend that companies conduct a thorough assessment before selecting an outsourcing service provider. We believe there are four critical areas to consider: the company, the people, the process capabilities and the technology infrastructure. Below are the items we feel should be explored: Company Company stability Company vision Business model Management strength Services/Solutions Culture Reputation/Client...
Outsourcing Goals: Start with the Big Picture
Planning an outsourcing engagement requires careful consideration of both strategic and tactical issues. Tactical issues include work descriptions, processes, service level requirements and so forth. The main strategic consideration is how outsourcing is aligned with overall business goals. We suggest companies start by creating an overarching strategy to guide tactical planning, implementation and life-cycle success....
Managing Outsourcing Risks
Outsourcing is a powerful business strategy. Companies that make outsourcing a core competency will be better positioned to compete in the global marketplace. Yet, like any other business strategy, it is important to thoroughly identify potential risks and develop mitigation strategies. We encourage our prospects to conduct a risk assessment as part of their planning...
Outsourcing: Statement of Work – Indispensable But Sometimes Overlooked
For anyone considering an outsourcing project, I would suggest that the creation of a Statement of Work should be one of your first steps. It is essential to invest time in creating the SOW as it is the foundation for the outsourcing project. The SOW describes the requirements of the work. It is analogous to...
Introducing Infinit-O’s Implementation Readiness Checklist
Okay, you have decided to outsource some of your processes. You have selected a vendor and completed contract negotiations. Now what? Are you ready to implement effectively? If you are not sure, or need some peace of mind, we encourage you to use our Implementation Readiness Checklist. Once you register, you will be prompted to...
BPO Pricing: Be Smart, Think Value
A primary reason why many companies use off-shore outsourcing companies is to take advantage of significant labor cost reductions. And the savings can be significant, – 30%, 50%, even 70%, depending on the type of resource and the local labor market. But, as important as they are, do not overemphasize labor costs. Look at the...
