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XEROX Discussions

XEROX Discussions. Why did Xerox outsource? Do you agree with these reasons? How generalizable do you think they are? How much harder is global outsourcing than domestic outsourcing? Why What do you think the EDS/XEROX relationship is like today?. XEROX Discussions. Steps to Outsourcing

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XEROX Discussions

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  1. XEROX Discussions • Why did Xerox outsource? Do you agree with these reasons? How generalizable do you think they are? • How much harder is global outsourcing than domestic outsourcing? Why • What do you think the EDS/XEROX relationship is like today?

  2. XEROX Discussions • Steps to Outsourcing • Reengineer • It is under intense competitive and financial pressures, has sustained heavy losses during the last two years as it has incurred major restructuring charges, and is now returning to its core document activities • It has totally reorganized into a global divisional structure, requiring a new information architecture. • Skilled at working with partnership in many aspects of its operation

  3. XEROX Discussions • Xerox steps • Reengineering • Reorganizing the corporation along customer lines meant redefining both operational and management processes. • Reducing its document processing workforce by 10,000, over two years. p. 470 • The the company focused on its core competence • Xerox IM in 1989 could not support the company’s strategic direction for the 1990s • After identifying the problems (financial challenges, Xerox culture, with its emphasis on autonomy) IM recommend specific strategies to provide Xerox business division with the information they needed.

  4. XEROX Discussions • Steps to Outsourcing • Turning expense center into profit center • IM managers knew that they had to rebuild the IM infrastructure rapidly while radically changing the processes IM personnel used. • A focus on IM 2000, convinced Xerox to outsource • Global outsourcing team created to examine the benefits and the feasibility, find a partner and create a contract. • Areas of expertise of team members (tax, treasury, HR, Finance, Audit and security)

  5. XEROX Discussions • For Successful Outsourcing • Culture • Strategy • Structure • People • Management Processes

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