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IT Offshoring strategies

 
Started by : Rajeev Sachdeva, Project Lead, IBM   11 15 2008 16:47:58 +0000
Industry : Technology ConsultingFunctional Area : Outsourcing(Operations)
Activity:  32 views;  last activity : 07 06 2010 20:18:09 +0000

What are the major outsourcing challenges?

 
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1 2 3 4 5
1 Cultural differences
2 Staffing and retention
3 Security
4 Unrealistic expectations
5 Clean Up Processes Before Outsourcing
6 All customers want is a flexible, innovative partner, but they usually get the opposite.

Cultural differences

idea posted by Chirag Kamra PM, Infosys


This is a significant issue, training programs that help you understand how culture affects communications and your projects are available to help you.

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Staffing and retention

idea posted by Rajeev Sachdeva Project Lead, IBM


Competition for the right skills in countries like India is very high, you need to determine whether the vendor has and can offer you the staff with right level of experience. Once you establish a team, you need to proactively manage staff retention.

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Security

idea posted by Saurabh Gautam Project Manager, ADP


Major offshore vendors have established good business practices, but if you are dealing with a small vendor you need to make sure that you are not taking risking with your IP.

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Unrealistic expectations

idea posted by Sujit Nimje Project Lead, HP


Often companies overestimate savings and underestimate the effort and cost of establishing and managing the relationship. You need to invest the time up front to gain a realistic understanding of both, once done, it is important to communicate to all stake holders.

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Clean Up Processes Before Outsourcing

idea posted by Sesharaj VP - Business Development & Innovation, ePeople HR Services Pvt Ltd

One of the biggest challenges especially in HR Transactional Outsourcing is not making sure that the current processes followed by customer is not reviewed to the depth before moving that processes to a service provider.

Successes of outsourcing apart from Technology, Domain Expertise, Stringent and Ethical practices of the service provider, it is the process clean-up before taking its ownership .. Otherwise the monkey is passed on to service provider! And this is the beginning of a disaster!

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All customers want is a flexible, innovative partner, but they usually get the opposite.

idea posted by surya shukla BUSINESS HEAD, Henchman IT SOL .PVT.LTD

Customers want a flexible outsourcing partner who will introduce innovation into their processes, help them manage both costs and service and use relevant and emerging technologies. They also want someone who understands their specific requirements and their business. Unfortunately, outsourcing service providers tend to fall short in flexible infrastructure, understanding the client's business and innovation.

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