Can outsourcing continue to grow at the Latest Mailing Database rate we have seen over the last decade or so, during which it has become the management tool of choice for Latest Mailing Database many major corporations, as well as the engine of growth for an army of suppliers drawn not only from the traditional ranks of the hardware suppliers, Latest Mailing Database systems integrators and consultants, but more and more from the new industrial heavyweights of India? To answer that question we need to look at how this growth started, what sustains it now, and what options are Latest Mailing Database open to the current protagonists.
The current outsourcing boom has Latest Mailing Database its roots in the IT outsourcing deals pioneered in the 1980s by the likes of EDS and IBM. The levers used were a mixture of focused expertise, economies of scale and financial and commercial engineering. These disciplines Latest Mailing Database were expanded in the 1990s into wider functional areas - finance for example, with Accenture's landmark deal with BP in 1991 - and BPO was born. Latest Mailing Database Clients bought into the concept for a number of reasons, high amongst them the management theory that organizations Latest Mailing Database should focus on what was core, and leave everything else to someone else.
And success was delivered - along with a few spectacular failures, and Latest Mailing Database, one suspect, many very average deals which plodded along like tired suburban marriages. And outsourcing could, probably would, have remained a minority sport, below the radar for most corporate executives, but for the seismic shift in the economics Latest Mailing Database of the deals which came from the brave new world of offshoring. Offshoring meant that labor costs in many deals could be cut by 80-90%. By the time this translated into a price to the client, the saving was probably closer to 40 or 50%, but nevertheless this was real cost reduction.