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I/O: Intelligent Outsourcing 2016 | Hans Gaertner


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Hans Gaertner | Managing Partner at Radical Inclusion Inc. talked about "Major Concerns of Europeans in Associating with Indian Outsourcing Companies: Facts & Solutions" in the I/O event. See the full slide presentation here!

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I/O: Intelligent Outsourcing 2016 | Hans Gaertner

  1. 1. Major Concerns of Europeans in Associating with Outsourcing Companies: Facts & Solutions Kochi March 5th, 2016
  2. 2. Hans Trends Europe Challenges Trust
  3. 3. Cologne, Germany
  4. 4. Brussels, Belgium
  5. 5. H A N S G Ä R T N E R Bank, Frankfurt Project management, HR Development
  6. 6. H A N S G Ä R T N E R Shipbuilding, Bremen Human Resource
  7. 7. Actually, the outsourcing future looks bright…
  8. 8. Potential is huge: Still most services inhouse
  9. 9. IT services most readily outsourced and logical starting point
  10. 10. Top candidates: Facility-, Payroll services, Procurement Business Process Outsourcing is second step Least candidates: Sales, Finance, HR,
  11. 11. Offshore outsourcing from Europe: The overall trend picture There is good news and bad news
  12. 12. The Good News: Chances in second generation outsourcing: more intelligent services
  13. 13. The Bad News: • Trend to insource • Trend to onshore outsourcing • Clients in fast changing industries want to keep their competitive advantage as first movers
  14. 14. Onshore, Nearshore, Offshore The decision is always a balance between the objectives an organization tries to achieve and the risks perceived.
  15. 15. The European Union
  16. 16. Discussion in Europe • Data security, privacy • Job security, Globalization • Trend to national tendencies – return to national state interests (Brexit, EU Problems refugees, EU-Balkan states)
  17. 17. „Kinder statt Inder“ (Children instead of Indians)
  18. 18. Typical European Client Family owned international company , Medical Devices
  19. 19. Typical European Client Family owned international company , Audio Devices
  20. 20. Believes of a “SME” European Client No risk Data security Own staff deserves loyalty Quality of service and relationship
  21. 21. • Number one, two, or three in the global market, or number one on the company's continent determined by market share • Revenue below 4 Billion Euros • Low level of public awareness.
  22. 22. SMEs are well organized
  23. 23.
  24. 24. Brax Falke Miele Pflei- derer
  25. 25. Topics that create concerns: Punctuality Language Quality Communication preference
  26. 26. Punctuality German punctuality
  27. 27. When is 12.00 PM Belgium: 12.15 PM France: 12.30 PM Spain: 01.00 PM Perception of Indian punctuality: „You newer know“
  28. 28. Language Irish, British, Scottish German Accent, French Accent, Spanish Accent, Italian Accent Indian Accent „We don‘t understand their English“
  29. 29. Quality International Standardization organization European Foundation for Quality Management
  30. 30. Quality At start of a relationship: Focus on process quality Content Quality Process Quality
  31. 31. Communication Preferences • Participation in meetings • Hierarchy • Yes and No
  32. 32. Building a trusting relationship
  33. 33. Self- orientation Doctor’s visit Credibility Reliability Intimacy
  34. 34. You cannot learn everything about every culture you are doing business with:
  35. 35. Measures required also on corporate level Client/ Retaining Organization Outsourcing Service Provider • Constant review of outsourcing strategy • New people manage the outsourcing relationship • Communication: tools and processes • Attitude of staff: Everybody is a relationship manager • Manage multiple stakeholders • More qualified staff and dealing with staff changes • Communication: tools and processes Expectations change over time and go beyond the individual contract
  36. 36. Find/develop a SPOC Single Point of Contact
  37. 37. Develop your “Business Model” for your future outsourcing offer
  38. 38. Customer Relationships Customer Segments Revenue StreamsDistribution Channels Key Resources Cost Structure Key Partners Key Activities Value Proposition Key
  39. 39. Appendix
  40. 40. Establishing and maintaining a healthy relationship between client and provider parties Retaining organization Service provider
  41. 41. Establishing and maintaining a healthy relationship between client and provider parties