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Jeremie Pechmann Katie Ralls Tim Wahlquist Wensheng Qiu. IT Offshore Outsourcing. Off-Shore Outsourcing Project. Topics: Offshore Background India China Boeing. What is Offshore IT Outsourcing?.
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Jeremie Pechmann Katie Ralls Tim Wahlquist Wensheng Qiu IT Offshore Outsourcing
Off-Shore Outsourcing Project Topics: • Offshore Background • India • China • Boeing
What is Offshore IT Outsourcing? “The exporting of IT-related work from the United States and other developed countries to areas of the world where there is both political stability and lower labor costs or tax savings.” Source: Whatis.com
Why Outsource? www.searchcio.techtarget.com/qna
Top 5 Outsourcing Objectives www.offshoreitoutsourcing.com/Documents/it_outsourcing_vendors_evaluation
Trends services being outsourced www.rosourcing.com/trends
www.mckinseyquarterly.com/article_abstract.aspx?ar=1453&L2=7
Researchers Say… Meta GroupOffshore outsourcing will grow from $7 billion currently to more than $10 billion by 2005. Gartner Inc.According to Gartner research, 5% of IT jobs have gone overseas, and 25% will be "offshored" by 2010. Forrester ResearchRespondents in a survey of 145 IT decision-makers at North American companies rated offshore providers better than U.S. firms 67% of the time in terms of quality and timeliness.
How to Outsource • Create a multi-year plan, with quarterly reviews that includes creating, incubating and growing your development center • Choose the location after spending time to evaluate and study the pros and cons • Understand how the local culture thinks and behaves • Take a long term view (5 to 8 years) www.cio.com/qna
Gartner Picks Best Offshore Destinations • India • China • Malaysia • Czech Republic • Singapore • Philippines • Brazil • Russia www.searchcio.techtarget.com/qna
Vendor Selection 1) Identifying areas that you wish to outsource 2) Researching list of vendors you wish to shortlist 3) Do a thorough analysis of each of the vendors for their expertise, financial stability, history in executing outsourced projects 4) Internal or external consultants 5) Getting in touch with the short listed companies for a preliminary interaction OffshoreITOutsourcing.com/vendor_selection
Offshore Venue Comparison www.wipro.com/aboutus/odc/odcresources.htm
Offshore Venue Comparison www.idc.com/getdoc.jsp;jsessionid=3SGPQX
Today’s Situation • Many Companies are jumping into the Outsourcing bandwagon with a ‘me too’ attitude. • Cost reduction is the main driving force. • Lack of understanding of local issues and culture will cause these operations to fail.