Long viewed as a tactical tool for reducing operations costs, global sourcing has now become a strategic activity through which companies can flexibly adapt to business change.

Main

July 28, 2009

A Return to Sole Sourcing?

When an outsourcing trend is headlined in the business press it’s a safe bet that it’s already embedded in the industry mainstream. Still, it was interesting to note in a July 17th article in The Economic Times -- Big IT to gain as global cos tap best-of-breed vendors – that “outsourcing customers plan to work with fewer vendors at lower rates.” 

As an employee of a “best of breed vendor”, this would be welcome news indeed, if it was actually news. However, companies have been cutting back on the number of service providers several months; and in some cases for years.  So, why is the shift away from multi-sourcing suddenly garnering press coverage and what’s driving it? Meanwhile, does this trend represent a return to the “your mess for less” era?

Continue reading "A Return to Sole Sourcing?" »

July 13, 2009

How do You Define Innovation?

When the global economy started to go down the tubes discussions about innovation and outsourcing all but disappeared from the business and IT industry press and blogosphere.  Recently, though, the topic has reappeared.  Either business is improving or some companies recognize there are other ways to survive and thrive in the downturn besides slashing budgets, canceling projects, and seeking lower service rates.

Curious as to which is the case, I spoke with a few Infosys clients to get their ideas outsourcing and innovation.  The conversations, which by no means represent a statistically valid research sample, were mostly positive.  Innovation has not completely lost out to cost cutting.  If fact some clients see a positive connection.

Continue reading "How do You Define Innovation?" »