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Outsourcing is “back in vogue”, study shows

by: Admin

Friday, January 29, 2010 | Outsourcing News |

Outsourcing Strategy Should be Inline with Business Strategy

According to the Economic Times, Forbes.com reports that "after fizzling out over the past couple years as companies simply slashed jobs rather than move them, outsourcing is back in vogue," referring to a study by Pricewaterhouse Coopers (PWC). The study indicates that outsourcing has been active in countries such as India, China, the Philippines, Costa Rica and even Romania.

"Cost is still the major factor," said PWC shared services practices managing director, Charles Aird. "But people are also looking for greater efficiency, better quality and access to talent."

Forbes remained critical of some processes that have been outsourced in the past stating that “computer customer service that was outsourced to India, for example, was notorious for alienating customers.”

The study by PWC also revealed a growing list of services being outsourced. Forbes warns however, that outsourcing some core services may not be the ideal solution:

 “The key is that you've got to tie your sourcing strategy to your business strategy.”


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