R E L A T E D   C O N T E N T
ADVERTISEMENT

Businesses fail to make best of outsourcing

James Bennett, Management Consultancy 22 Jul 2004

Companies that fail to make major process and operational changes when implementing business process outsourcing could delay payback by up to five years.

ADVERTISEMENT

According to research by Capgemini, organisations are failing to realise immediate benefits despite the availability of new BPO services and more sophisticated process automation and remote support technologies that can deliver cost savings within just one year.

Link: IBM wins Defra outsourcing deal

Capgemini interviewed CFOs, COOs and CEOs from 346 companies across Europe and found that the outsourcing market for administration processes was still maturing in Europe.

Only 10% of European companies are evaluating BPO.

Of the companies that do outsource, or are considering outsourcing, the majority (87%) said keeping costs down was the most important reason for outsourcing.

This was followed by improving service delivery (78%), and keeping pace with technological innovation (61%).

But Capgemini said that there was still a huge misconception that in-house process automation was a viable alternative to BPO.

In reality, it said, outsourcing gave greater visibility and control back to the company through drawing up contracts with agreed service levels.

Hubert Giraud, global head of BPO at Capgemini, said: ?We are concerned that only one in 10 European organisations is considering or evaluating an outsourcing initiative in the next 12 months. More BPO champions are needed on the board to encourage organisations to take a faster and more direct route that will ultimately fuel a more competitive and productive European business environment.?

M A R K E T P L A C E
V-SOL: Supply Premium Vehicle Tracking Systems to MOD, TRansport for LONDON and EDF-CHANNEL RELEASE!
Expert Buyers is the UKs Leading No Savings No Fee IT Procurement Service. Claim your Free Audit Now
WAN based, automated, daily vulnerability assessments. Click here to try and request our whitepapers.
As recognised by the Accountancy Age Awards 2004, 2005 and 2006.
Online Time & Attendance Tracking 30 Day Free Trial ( $49 a year )
Have your product or service listed here >   
Dublin, Ireland | JP Morgan
JP Morgan are seeking to recruit a Head of Portfolio Accounting - Executive Director for Dublin JP Morgan Hedge Fund Services, provides premier hedge fund administration and custody services as part of JP Morgan's comprehensive ... more >
Caerphilly, United Kingdom | Sterilin Ltd
  The position of Finance Director for the 'new' Sterilin business is a high impact, senior leadership role within the executive team which requires excellent technical credentials but equally a proven track record of achievement ... more >
Gaydon, Warwickshire and Whitley, Coventry, United Kingdom | Jaguar Land Rover
Finance Analysts, Gaydon, Warwickshire and Whitley, Coventry, £Excellent + benefits A surge in sales, ground breaking projects, ambitious growth plans and cutting edge technologies - just some of the reasons behind the dawn of an ... more >
London, United Kingdom | City of Westminster
Principal Support Accountants, London, £30,717 - £33,777 pa plus up to 15% PRP FINANCE & RESOURCES In the heart of London, you'll find famous shops and legendary landmarks alongside Britain's flagship council - setting the ... more >
More Jobs in Finance

Job zone
Job of the week
Related jobs
Search for a job
 
Try our Advanced search