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Change Strategies
The World is Changing: Change Strategies
Business Process Outsourcing Strategies
According to a survey taken by CIO
magazine, the top reason for outsourcing is cost reduction. If your enterprise
is focused squarely on the bottom line, BPO offers you the opportunity to access
the functionality of the newer technologies without the cost and resource
consumption that an internal implementation would require. As further evidence
of this growing interest, Dataquest forecasts that the market for BPO worldwide
will increase from $119 billion in 2000, to $234 billion in 2005. (Source:
Outsourcing Strategies 2004)
Following are the most common functional areas of private and public sector
organizations requiring BPO solutions:
BPO Defined
You've heard the buzz, you've seen the
deals that the Fortune 500 companies and your competitors are designing, but is
your organization ready to reap the benefits of business process outsourcing
(BPO)?
Before going any further, let's define the term BPO. BPO is the act of
transferring some of an organization's repeated non-core and core business
processes to an outside provider to achieve cost reductions while improving
service quality. Because the processes are repeated and a long-term contract is
used, outsourcing goes far beyond the use of consultants. If done well, BPO
results in increasing shareholder value. The main difference between BPO and
more traditional IT outsourcing is that BPO offers companies a way of achieving
transformational outcomes much more quickly.
In a typical BPO contract, a service provider takes over a specific corporate
function. Effective BPO encompasses much more than just changing who is
responsible for performing the process. In BPO, the outside provider not only
takes on the responsibility to manage the function or business process, but also
re-engineers the way the process has been traditionally done. Re-engineering
includes implementing new technology or applying the existing technology in a
new way to improve the process. That tends to be the hard part.
As French poet Victor Hugo put it, "nothing in the world is so powerful as an
idea whose time has come." BPO's time has come. Managing BPO relationships is a
skill every manager will need to survive and thrive in the global economy. To
better comprehend the management issues it is important to understand the
basics.
Source: E-Business Strategies
Business Process Outsourcing Strategies
As organizations seek to reduce costs and improve asset utilization, they are
turning to business process outsourcing (BPO) of non-strategic functions such as
human resources, finance, and IT. While critical to firms' operations, such
functions don't always provide businesses with a long-term core competitive
advantage. In fact, leveraging a service provider that specializes in a
particular competency can give firms an advantage by improving service levels
and lowering costs.
When it comes to technology-related outsourcing decisions, Doculabs can help
clients determine if it makes sense to go with a BPO approach. We focus on
processes that are driven by content management and process management
technologies - processes such as account origination, customer service, or
back-office processing. These processes can be automated, and a platform for
managing or automating specific steps in a workflow can be outsourced.
Doculabs' experts can assist organizations by evaluating their current-state
operations and processes, and identifying the potential benefits of a future
state that includes outsourcing. If it turns out that outsourcing is the
appropriate strategy, we can then provide assistance in evaluating service
providers, and can provide oversight during the contract agreement and
transition process.
We have helped many customers through the process of evaluating their business
process outsourcing alternatives. Typically, these efforts are highly visible
and politically charged; thus, using an objective third party accelerates the
process and keeps the discussion grounded in facts.
Source: Doculabs
Imagine it. An outsourcing partner who can help you increase profits, reduce
risk and create breakout value with new services and revenue streams.
Done. With precision thinking and relentless execution, Unisys can help
transform cost burdens into competitive business assets.
From our initial consultations to our 24X7 outsourcing delivery, Unisys services
professionals are aligned with your industry. We combine this end-to-end domain
expertise with a powerful strategy called 3D Visible Enterprise. Visible
Enterprise can reveal the cause-effect relationships between business vision,
operations, and the IT systems that support them.
In outsourcing engagements, 3D-VE adds value and reduces risk by identifying
what you should outsource. Then Visible Enterprise facilitates a smooth
transition and generates ongoing business transformation from the outsourcing
partnership—ensuring all operations stay firmly connected to your strategic
priorities.
To move you from vision to reality, we draw on a full complement of business
process outsourcing services as well as IT outsourcing that encompass the data
center out to the distributed IT infrastructure.
Source: Unisys
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