Outsourcing = Strategic Gowth
While most enterprises try to survive, the outsourcing industry continues to thrive.
A decade ago, cost reduction took center stage as companies sought short-term, “band aid” solutions from outsourcing and received equivalent tactical benefits. But, the market has turned. It’s “do or die” and outsourcing is no longer about cost savings. Now it’s an essential revenue and growth strategy for every corporation.
In this unpredictable—and mostly down—economy where most companies struggle to “do more with less,” outsourcing is not only a clever alternative to hiring, but also a means to turn “big picture” goals into reality faster and more effectively than ever—with measurable returns. Now everybody wants to plug into “OPR”—other people’s resources—and strategically focus internal resources towards doing what they do best. No more, no less.
To make that happen, outsourcing governance and relationship management are now more important than ever. See Key Factors for Successful Outsourcing on page 7 for insights on successful relationship management or contact the Outsourcing Institute Advisory Services.
What’s the next challenge? Set your sights on one critical in-house resource to leverage outsourcing initiatives most effectively—Strategic Sourcing Centers led by Chief Resource Officers (CRO).
Our 1995 prediction on this fresh breed of senior executive is now a growing trend, with more and more companies evolving central business units empowered as the focal point of all outsourcing strategy, implementation and relationship management. Outsourcing pros now own a seat at the executive table.
The outsourcing marketplace is healthy, strong and growing. Our Fifth Annual Outsourcing Index shows most outsourcing initiatives reported are in early stage procurement. That means a record number of deals will be struck in the next 6 to 12 months. Next year promises to be even better.
The Outsourcing Institute’s commitment to innovation and investment, along with its mission of providing our members and the marketplace with up to the minute research and information on the outsourcing industry has made it the most respected and relied upon resource for outsourcing buyers, service providers and market influencers. For more information on CRO trends, strategic sourcing centers and program services to help you buy and sell more intelligently, visit outsourcing.com.
Frank J. Casale
Founder and CEO
The Outsourcing Institute