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Royston posted this in outsourcing on July 23rd, 2009

Outsourcing kills the IT job market – what now for IT recruitment?

George Molyneaux is quoted by Computer Weekly as saying that ‘Outsourcing jobs reduces the incentives to get into IT’. Not surprisingly, there are far fewer people taking IT as a subject at University – and there are fewer graduate level jobs in the UK. How on earth are we going to develop the future project managers who will understand the UK IT industry? I think this is a real

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Stephanie posted this in outsourcing on July 23rd, 2009

The Human side of outsourcing – managing people change

An outsourcing transfer can be viewed as a form of transition. This change process involves involuntary movement from one company to another, with possible similarities, from the staff point of view, to mergers and acquisitions. The transfer may also include staff reductions or ‘downsizing’, and the new organization will make some effort to develop a relationship with their new staff in the form of organizational

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roymogg posted this in outsourcing on July 3rd, 2009

Outsourcing failures often not published but it is so easy to make it right

There remain problems with getting outsourcing right yet we all buy into the gung-ho press around this important change – lets get a grip and make this important change

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admin posted this in outsourcing on June 23rd, 2009

Selective Outsourcing

“Selective Outsourcing” is aimed at building trust and establishing compatibility between the investor and the outsourcing partner before any long term agreement is reached with mutual consent. This means, while the outsourcing partner works on specific modules, the investor retains control over the overall function. Payroll Management is an excellent example of Selective

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admin posted this in outsourcing on June 11th, 2009

People in an Outsource will respect a manager who is fair and honest

Even is it is bad news, such as being let go a careful and honest manager can put over the news in a respectful way taking care of her employees – lessons in how to reduce resistance at source by being ethical and

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admin posted this in outsourcing on June 10th, 2009

The service level agreement why its needed in an outsource

Creating a robust service level agreement is an essential task in an outsourcing transition – without one in place you have no idea of how you are performing in achieving the benefits. Of importance when creating a contract and SLA is to get all the right points down on paper so that there is no confusion in the future as to what was said or

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roymogg posted this in outsourcing on June 10th, 2009

Stress From Outsourcing can kill – we need to manage those staying as well

Stress From Outsourcing can Kill

I was struck by the similarity in the situation when people are laid off during redundancies and the stress caused by the move from one company to another during outsourcing – it strikes me that this is an under researched area and something we as managers should pay more attention to.

Pioneering studies in Scandinavia that took place some years ago, where centralized health care allows researchers access to vast databases of medical conditions and treatment, showed a strong link between downsizing, layoffs and illness. A study by Finnish researchers published in February (2004) in the British Medical Journal, found the risk of dying from a heart attack doubled among permanent employees after a major round of downsizing, with the risk growing to five times normal after four years. What was surprising about this study was that ‘surviving’ employees – those left behind – suffered as much

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Stephanie posted this in outsourcing on May 19th, 2009

The Shell drivers strike shows failings of simplistic outsource evaluation

You should never outsource things that are business critical! I have heard a number of senior managers say things like ‘well it doesn’t matter if the staff are upset about the outsourcing, they don’t work for us anymore’ – but they

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Royston posted this in outsourcing on May 14th, 2009

What are the key starting points for a successful Outsource deal?

Starting off on the right foot in an Outsource is essential if the benefits are to be realised – setting down the rationale and the expectations are key in delivering the eventual outcome. The essential message is organise for success and there is a chance that it will be

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Royston posted this in outsourcing on March 28th, 2009

Why Outsourcing often does not deliver value

Why are the benefits of outsourcing only rarely achieved

In a recent Dun & Bradstreet report they noted that “25 percent of all outsourcing fails” completely and over 50% of all outsource deals do not deliver any substantive benefit at all. Outsourcing failures are often the result of companies rushing into transactions with unrealistic or unsubstantiated expectations of cost savings and performance improvements that cannot be met because the client does not communicate its requirements in a clear way either internally or to the potential vendors. The outsourcing of many business processes besides IT also has the same less-than-stellar results – call centre problems are almost a
cause célèbre. Some people believe you need hundreds of pages of detailed specifications as complex as War and Peace to make outsourcing work at all tying up the whole thing in a tight contract that covers every possibility – clearly not a practical proposition.

The main

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