The document discusses the outsourcing decision process and considerations. It explains that outsourcing can provide cost savings by utilizing lower-paid foreign workers, but rushing into outsourcing without careful planning can have poor consequences. It recommends companies first identify their core competencies, assess risks, and select specialized firms to manage the transition closely. The example of Summit Information Systems outsourcing disaster recovery services illustrates how following these steps led to an initially nervous but ultimately successful outsourcing partnership.
Most IT sourcing decisions are still functionally-focused. Even worse still,
they are often the domain of the IT department to decide, according to their concern for
their individual performance measures and technology biases at the time.
In order to grow up, IT sourcing innovators must break this tactical decision-making
process and encompass the extended enterprise.
This paper reviews the lessons for success and how to get there.
The Data-To-Business bridge model for business development organizationsMathieu Rioult
This is a methodology to extract, justify, apply and track actionable insights from a structured dataset and a cross-departments exchange. Please find its summarized mechanism below.
A simple “coordination & action” concept based on four pillars, their related key actions and two strong principles that feed your organization everyday: Growing Cells & “comestible” Fuel. Human Beings interacting and learning collaboratively & Structured data understandable and exploitable by them.
Thanks to both and the D2B bridge, your organization will be able to identify and implement actionable insights that will positively impact your overall business growth and organizational processes. Moreover, your organization will build by itself a learning machine that each individual will beneficiate from. Actions run by someone’s God Feeling appear now as obsolete. For sure, Alone, we go faster. But together, we go farer.
Innovation's unsung hero in volatile times: Industrialized business operationsGenpact Ltd
Extreme market volatility has prompted companies across industries to build more effective business operations. 1. Leading innovators such as Apple, Amazon, GE, HSBC, and PayPal2 among others have addressed those challenges by harvesting the value of information – at scale - and harnessing the art of the possible in their business operations.This paper describes how product and business model innovation can be driven and enabled by smart business process operations, be they transaction or decision support. The evidence accumulated across hundreds of companies indicates that “industrialized operations” – thanks to scientific decoupling and consolidation of part of business processes run as an extended enterprise, utilizing data, metrics, as well as IT and HR practices in innovative ways - constitute a material yet relatively untapped lever.
Enterprise Fusion: Your Pathway To A Better Customer ExperienceCognizant
In June 2018, Cognizant commissioned Forrester Consulting to test the hypothesis that digital transformation will succeed best when two conditions are met.
Most IT sourcing decisions are still functionally-focused. Even worse still,
they are often the domain of the IT department to decide, according to their concern for
their individual performance measures and technology biases at the time.
In order to grow up, IT sourcing innovators must break this tactical decision-making
process and encompass the extended enterprise.
This paper reviews the lessons for success and how to get there.
The Data-To-Business bridge model for business development organizationsMathieu Rioult
This is a methodology to extract, justify, apply and track actionable insights from a structured dataset and a cross-departments exchange. Please find its summarized mechanism below.
A simple “coordination & action” concept based on four pillars, their related key actions and two strong principles that feed your organization everyday: Growing Cells & “comestible” Fuel. Human Beings interacting and learning collaboratively & Structured data understandable and exploitable by them.
Thanks to both and the D2B bridge, your organization will be able to identify and implement actionable insights that will positively impact your overall business growth and organizational processes. Moreover, your organization will build by itself a learning machine that each individual will beneficiate from. Actions run by someone’s God Feeling appear now as obsolete. For sure, Alone, we go faster. But together, we go farer.
Innovation's unsung hero in volatile times: Industrialized business operationsGenpact Ltd
Extreme market volatility has prompted companies across industries to build more effective business operations. 1. Leading innovators such as Apple, Amazon, GE, HSBC, and PayPal2 among others have addressed those challenges by harvesting the value of information – at scale - and harnessing the art of the possible in their business operations.This paper describes how product and business model innovation can be driven and enabled by smart business process operations, be they transaction or decision support. The evidence accumulated across hundreds of companies indicates that “industrialized operations” – thanks to scientific decoupling and consolidation of part of business processes run as an extended enterprise, utilizing data, metrics, as well as IT and HR practices in innovative ways - constitute a material yet relatively untapped lever.
Enterprise Fusion: Your Pathway To A Better Customer ExperienceCognizant
In June 2018, Cognizant commissioned Forrester Consulting to test the hypothesis that digital transformation will succeed best when two conditions are met.
If you are a senior IT leader, you need to make the same kinds of disciplined choices for your department that the CEO and top leadership team are making about the strategic direction of the enterprise. Here's how to develop a sophisticated, more strategically oriented information technology approach--based on six ways to create value for the enterprise, and five archetypes that resolve the tension among those six value drivers.
Transformational deals have become desirable, but business leaders agree that they are the most difficult transactions in M&A today. This article lists seven fundamental tenets of M&A integration that can help your company shift its business model and maybe reshape its industry.
A hedge fund just bought 5 percent of your company. The fund partners clearly see value in what you’re doing, and, as a member of the management team, you take heart in that assessment. But you also know life is about to get more difficult. The fund partners are well-known activists. They have already asked for board seats. Now they’re proposing some dramatic strategic and financial changes, confidently assuring you and your shareholders that these moves will drive the company’s stock price higher. If you don’t comply and boost margins in a timely fashion, they will quickly bring in a management team that will.
For many company leaders, this is not a scary hypothetical — it is reality. It may also be an opportunity. In any case, activist shareholder campaigns are proliferating. According to the journal Activist Insight, 300 companies around the world were publicly targeted by activist investors between January and June 2015, about 25 percent more than in the same months the previous year. Since 2013, hedge fund managers have demanded change at hundreds of companies. The most widely publicized have included Apple, DuPont, General Motors, Microsoft, PepsiCo, Sony, Sotheby’s, and Yahoo.
One reason activism is growing is the rich rewards it earns for investors. On average, hedge funds with an activist approach have outperformed most other types of investment funds since 2010. The data analysis firm Hedge Fund Research reported recently that activist funds returned 12.5 percent a year between August 2012 and August 2015, while other funds, on average, earned returns in the single digits. No wonder investors increasingly demand activist funds in their portfolios, while the managers of those funds search diligently for new targets. No one can assume his or her company is immune.
We've distilled 10 principles for cost transformation that can help companies play the role of gadfly investor for themselves.
How do you align business with IT? Many companies don\'t do this - to their detriment. IT that is focused on solving business solutions is the only effective IT.
There are few constants in this world, but the way in which we do business is not one of them. Instead, companies must actively adapt to change within the marketplace. As the international landscape continues to grow smaller due to advances in technology, businesses are realizing the importance of operating on a global scale. As with any equally ambitious venture, although there is great potential for a strong return on investment (ROI), moving to a global model – or even strengthening one’s current global infrastructure – comes with a unique set of challenges. Among the most prevalent are the needs to operate around-the-clock, extend influence within emerging markets and implement a global vision throughout the enterprise.
View the original Blog post: http://www.eprentise.com/blog/the-changing-enterprise/preparing-for-tomorrows-market/
Website: www.eprentise.com
Twitter: @eprentise
Google+: https://plus.google.com/u/0/+Eprentise/posts
Facebook: https://www.facebook.com/eprentise
If you are a senior IT leader, you need to make the same kinds of disciplined choices for your department that the CEO and top leadership team are making about the strategic direction of the enterprise. Here's how to develop a sophisticated, more strategically oriented information technology approach--based on six ways to create value for the enterprise, and five archetypes that resolve the tension among those six value drivers.
Transformational deals have become desirable, but business leaders agree that they are the most difficult transactions in M&A today. This article lists seven fundamental tenets of M&A integration that can help your company shift its business model and maybe reshape its industry.
A hedge fund just bought 5 percent of your company. The fund partners clearly see value in what you’re doing, and, as a member of the management team, you take heart in that assessment. But you also know life is about to get more difficult. The fund partners are well-known activists. They have already asked for board seats. Now they’re proposing some dramatic strategic and financial changes, confidently assuring you and your shareholders that these moves will drive the company’s stock price higher. If you don’t comply and boost margins in a timely fashion, they will quickly bring in a management team that will.
For many company leaders, this is not a scary hypothetical — it is reality. It may also be an opportunity. In any case, activist shareholder campaigns are proliferating. According to the journal Activist Insight, 300 companies around the world were publicly targeted by activist investors between January and June 2015, about 25 percent more than in the same months the previous year. Since 2013, hedge fund managers have demanded change at hundreds of companies. The most widely publicized have included Apple, DuPont, General Motors, Microsoft, PepsiCo, Sony, Sotheby’s, and Yahoo.
One reason activism is growing is the rich rewards it earns for investors. On average, hedge funds with an activist approach have outperformed most other types of investment funds since 2010. The data analysis firm Hedge Fund Research reported recently that activist funds returned 12.5 percent a year between August 2012 and August 2015, while other funds, on average, earned returns in the single digits. No wonder investors increasingly demand activist funds in their portfolios, while the managers of those funds search diligently for new targets. No one can assume his or her company is immune.
We've distilled 10 principles for cost transformation that can help companies play the role of gadfly investor for themselves.
How do you align business with IT? Many companies don\'t do this - to their detriment. IT that is focused on solving business solutions is the only effective IT.
There are few constants in this world, but the way in which we do business is not one of them. Instead, companies must actively adapt to change within the marketplace. As the international landscape continues to grow smaller due to advances in technology, businesses are realizing the importance of operating on a global scale. As with any equally ambitious venture, although there is great potential for a strong return on investment (ROI), moving to a global model – or even strengthening one’s current global infrastructure – comes with a unique set of challenges. Among the most prevalent are the needs to operate around-the-clock, extend influence within emerging markets and implement a global vision throughout the enterprise.
View the original Blog post: http://www.eprentise.com/blog/the-changing-enterprise/preparing-for-tomorrows-market/
Website: www.eprentise.com
Twitter: @eprentise
Google+: https://plus.google.com/u/0/+Eprentise/posts
Facebook: https://www.facebook.com/eprentise
Helps in elimnating outsourcing failures that result from companies rushing into transactions with unrealistic or unsubstantiated perceptions of cost savings and performance improvements. There are certain common myths that vendors and clients cling to about offshore outsourcing – false assumptions about how the process should work.
Outsourcing is not a new phenomenon, as many believe.Basically, outsourcing is simply the farming out of services to a
third party.
“There are as many definitions of outsourcing as there are ways to screw it up,” says Stephanie Overby, Senior Editor CIO Magazine.
Should I outsource, and how much should I outsource? This article enlists compelling reasons for IT outsourcing in an increasingly digital world, making the decision a no-brainer, it also highlights the risks that one should consider while making the commitment. Check out this tutorial.
Redrafting Business Models-Tomorrow’s Enterprise in ActionInfosys
This is the 5th edition of the Infosys BPO Thought Leadership Journal. The current theme of the Journal is centered around Redrafting Business Models-Tomorrow’s Enterprise in Action, allowing for candid and incisive views from global outsourcing strategists and Infosys subject matter experts on this subject.
A guide to enable outsourcing Decision - This file is a Pre Published document on the internet. https://www.outsource2india.com/whitepapers/Outsourcing-mantras.pdf
Worried that you have too few applications? Convinced your run rate is as efficient as it could be? Congratulations: you are almost certainly unique.
According to Forrester Research1, "for IT operating budgets, enterprises spend two-thirds or more on ongoing operations and maintenance."
In order to deliver significant benefits, technology leaders need to do more than ‘tinker at the edges’ of the application portfolio.
In our direct experience there are significant benefits to be had from a strategic approach to application rationalisation: typically a 30% reduction in applications and 40% savings on annual costs (potentially tens of £ millions a year) are achievable through a considered analysis of your application portfolio.
Welcome to TechSoup New Member Orientation and Q&A (May 2024).pdfTechSoup
In this webinar you will learn how your organization can access TechSoup's wide variety of product discount and donation programs. From hardware to software, we'll give you a tour of the tools available to help your nonprofit with productivity, collaboration, financial management, donor tracking, security, and more.
Francesca Gottschalk - How can education support child empowerment.pptxEduSkills OECD
Francesca Gottschalk from the OECD’s Centre for Educational Research and Innovation presents at the Ask an Expert Webinar: How can education support child empowerment?
The Roman Empire A Historical Colossus.pdfkaushalkr1407
The Roman Empire, a vast and enduring power, stands as one of history's most remarkable civilizations, leaving an indelible imprint on the world. It emerged from the Roman Republic, transitioning into an imperial powerhouse under the leadership of Augustus Caesar in 27 BCE. This transformation marked the beginning of an era defined by unprecedented territorial expansion, architectural marvels, and profound cultural influence.
The empire's roots lie in the city of Rome, founded, according to legend, by Romulus in 753 BCE. Over centuries, Rome evolved from a small settlement to a formidable republic, characterized by a complex political system with elected officials and checks on power. However, internal strife, class conflicts, and military ambitions paved the way for the end of the Republic. Julius Caesar’s dictatorship and subsequent assassination in 44 BCE created a power vacuum, leading to a civil war. Octavian, later Augustus, emerged victorious, heralding the Roman Empire’s birth.
Under Augustus, the empire experienced the Pax Romana, a 200-year period of relative peace and stability. Augustus reformed the military, established efficient administrative systems, and initiated grand construction projects. The empire's borders expanded, encompassing territories from Britain to Egypt and from Spain to the Euphrates. Roman legions, renowned for their discipline and engineering prowess, secured and maintained these vast territories, building roads, fortifications, and cities that facilitated control and integration.
The Roman Empire’s society was hierarchical, with a rigid class system. At the top were the patricians, wealthy elites who held significant political power. Below them were the plebeians, free citizens with limited political influence, and the vast numbers of slaves who formed the backbone of the economy. The family unit was central, governed by the paterfamilias, the male head who held absolute authority.
Culturally, the Romans were eclectic, absorbing and adapting elements from the civilizations they encountered, particularly the Greeks. Roman art, literature, and philosophy reflected this synthesis, creating a rich cultural tapestry. Latin, the Roman language, became the lingua franca of the Western world, influencing numerous modern languages.
Roman architecture and engineering achievements were monumental. They perfected the arch, vault, and dome, constructing enduring structures like the Colosseum, Pantheon, and aqueducts. These engineering marvels not only showcased Roman ingenuity but also served practical purposes, from public entertainment to water supply.
Read| The latest issue of The Challenger is here! We are thrilled to announce that our school paper has qualified for the NATIONAL SCHOOLS PRESS CONFERENCE (NSPC) 2024. Thank you for your unwavering support and trust. Dive into the stories that made us stand out!
Macroeconomics- Movie Location
This will be used as part of your Personal Professional Portfolio once graded.
Objective:
Prepare a presentation or a paper using research, basic comparative analysis, data organization and application of economic information. You will make an informed assessment of an economic climate outside of the United States to accomplish an entertainment industry objective.
1. The Outsourcing Decision and Process
Group 2
Outsourcing has become an increasingly discussed and debated topic over the past
few years – battling opponents in both the business world and the political arena. Although
relatively new in the mainstream, the practice of executing an entire business function by a
third party service provider has been around for quite some time. Outsourcing became a
popular buzzword in business in the early 1990’s as technology companies were growing
very rapidly. These companies found they didn’t have the infrastructure, or the capital, to
put together large enough customer service departments to manage their expanding
customer base. They found the answer to their problem in a very basic strategy using
“temp” workers close to home. However, as time has passed, and technology has
improved, outsourcing has become synonymous with “offshoring” – the relocation of
business processes to a lower cost location, usually overseas. Many companies have found
it both cost effective and convenient to outsource many of their processes, but the decision
to outsource is much more complicated than asking “should we or shouldn’t we?” Today’s
global market is forcing both large and small companies to decide if they should outsource,
what they should outsource, and what they should consider before they outsource.
Why outsource?
Outsourcing can have many benefits if implemented correctly. The CQ Researcher
reported last year that, on average, a programmer in the United States was being paid eight
to ten times the amount a programmer would be paid for the same job in India.
Specifically, a team of five programmers in the United States salaries would fall
approximately between $300,000 and $400,000 a year. The same team in India would
receive anywhere from $30,000 to $50,000 per year. Besides cost savings, outsourcing has
several additional benefits. For example, generally outsourcing requires a relatively small
initial investment. Also, outsourcing allows a company to be more flexible in what they
produce and how they produce it. By working with various suppliers, companies are able
to create many different products, and/or gain access to numerous technologies previously
unavailable to them. Overall, there are many benefits to effective outsourcing, but it is
important to identify if it is possible to effectively outsource in your organization, as
outsourcing is not necessarily for every company.
2. Should we outsource?
PriceWaterhouseCoopers introduced a simple approach to deciding if outsourcing is right
for any given process/company (see exhibit A). The two-by-two matrix first addresses two
major issues: How important is the activity for strategic competitive advantage? With
respect to time and cost, how competitively is the activity being performed compared to the
external marketplace? According to the article, putting the two elements together gives
four possible outcomes: First, if a
function is both of strategic
importance to the firm and being
carried out competitively, it should
be left as is. Second, if the function
is strategically important to the firm
and is not being carried out
competitively, the firm should
rework (re-engineer) the process to
be more cost/time effective. Third, if Exhibit A
an activity is not being run competitively and is not of strategic importance to the company,
the activity should be outsourced. Fourth, if a process is being carried out competitively,
but isn’t of strategic significance to the company, many options exist. Because the firm is
efficient in this area, they could turn it into a profit center. For example, if a firm is very
cost effective and efficient in their payroll processing, they could provide the service to
external customers. Additionally, these areas of competitive advantage could be sold or
enhanced to become part of the firm’s strategic functions. Using this matrix to identify
portions of your business that can/should be outsourced is among the first steps to
optimization, but there are some items to take into account before moving ahead.
What should we consider first?
Frances Karamouzis, an analyst at Gartner Research, was quoted in the April 19, 2004
issue of Newsweek as saying, “Companies are focusing on relentless cost-cutting and are
off-shoring their problems rather than finding a true business solution.quot; Rushing into any
business decision can have poor consequences, but giving away control of a portion of
3. one’s business without informed precision can be disastrous. Consequently, it is wise to
avoid diving right in to sending things overseas. Rather, a simple process can be followed
to avoid some of the more common mistakes of outsourcing. Initially, it is critical to
identify your core competencies and to assure that what is being outsourced is not one of
them. Next, assess the risks associated with outsourcing that activity. In other words,
identify how loss of control of this activity will affect the organization. Finally, if
outsourcing is the correct decision, identify specialized firms whose core competencies
match the activities you are seeking to outsource, and then manage very closely the
transition. The process may seem tedious or slow, but the rewards can be great if done
properly. For example, Summit Information Systems, a software developer for credit
unions, is a success story grown out of this process. SIS outsourced disaster recovery
services four year ago for its data center, located in central Florida. Mr. Steinbach, the
individual ultimately responsible for the processing center, was extremely nervous initially.
However, after assessing the core functions of the firm, it became clear that this function
was not central to their business strategy and could be performed more efficiently by
someone outside of the reach of the all-too-common Florida hurricanes. He felt the firm
best equipped to manage disaster recovery systems was Hewlett-Packard, but “[his] biggest
concern was a lack of control.” Steinbach managed the transition to HP very closely and
found that once the two organizations had a good sense for each other the need to micro-
manage the process almost entirely disappeared. Now, several years later, the process
continues well because Steinbach followed the steps for effective outsourcing.
Summit Information Systems is not alone in their success; many companies have reaped
the benefits of outsourcing. Similarly, many firms have suffered from the ills of poor
planning and misevaluations. With the steps outlined above, and a solid understanding of
your organization, outsourcing can become a competitive edge and margin enhancer in
your business.
4. Sources & Additional reference material:
“Making the information systems outsourcing decision: A transaction cost approach to
analyzing outsourcing decision problems.” European Journal of Operational Research;
06/01/99, Vol. 115 Issue 2, p351-367
“Time to outsource” Training; Jun2004, Vol. 41 Issue 6, p14-14
“Information systems outsourcing decision making: a framework, organizational theories
and case studies.” Journal of Information Technology (Routledge, Ltd.); Dec95, Vol.10
Issue 4, p281
“Simple Successful Outsourcing,” October 1, 2005 CIO Magazine
“Should I Stay or Should I Go,” April 19, 2004 Newsweek Magazine
“Do low-paid foreign workers help or hurt the economy?” CQ Researcher, Feb2004, Vol.
14, Number 7