Top 10 Challenges of Outsourcing11 Apr, 2006 By: Kenneth Wong
New book examines pitfalls and offers advice to business managers
Outsourcing has become the new gold rush, especially for manufacturers, but it's not uncommon for pioneers in this unsettled business frontier to shoot themselves in the foot or dig themselves into a hole too deep to escape.
Ralph Welborn, a business advisor and author, says, "At its core, the outsourcing industry rests upon an old business model based on inflexibility and cost reduction that doesn't account either for the predictable patterns of technology adoption or for the demands customers face for providing more 'value' and 'service' rather than simply reducing costs for their customers."
Get It Done! A Blueprint for Business Execution (Wiley, 2006, $29.95), by Welborn and Vince Kasten, looks at the "execution gap" -- the difference between what needs to get done and what actually does get done once work leaves a client's organizational walls. The authors identify 10 lessons they've learned about the challenges and difficulties of global outsourcing. Read more >>p>
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