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| Science Forum Index » Economy Forum » Outsourcing contracts reach all-time high |
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| Eelbash Remailer |
 Posted: Wed Apr 19, 2006 11:54 pm |
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But deals signed just to save money often disappoint, research claims
James Brown, Computing 18 Apr 2006
The first quarter of 2006 was the strongest ever for outsourcing contracts, new research shows.
The report from sourcing advisory firm TPI says 83 contracts have been signed so far this year, with a total value of €18bn (£12bn), compared to 76 deals at €12bn (£8bn) in the same period of 2005.
TPI's managing director Duncan Aitchison says the strong quarter is the result of rise in the number of contracts being restructured.
'However, even when even when we exclude restructurings, the number of contracts signed so far this year is still a first quarter record,' he said.
The report also claims that financial savings available from outsourcing have been greatly over-estimated.
When the costs of procurement and ongoing contract management are taken into account, client expectations are not usually met, Aitchison says.
'In our experience, outsourcing arrangements which focus solely on delivering huge savings often fail to meet client expectations. 15 per cent is not only a realistic saving, but also a significant one,' he said.
What do you think? Email us at: feedback@computing.co.uk
http://www.vnunet.com/computing/news/2154220/outsourcing-reaches |
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| harmony |
| Posted: Thu Apr 20, 2006 3:48 pm |
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personally, i wouldn't want to do any of these outsourced jobs.
"Eelbash Remailer" <bounce@eelbash.org> wrote in message
news:OMSNY35038827.079375@anonymous.poster...
[quote:b696775e92]But deals signed just to save money often disappoint, research claims
James Brown, Computing 18 Apr 2006
The first quarter of 2006 was the strongest ever for outsourcing
contracts, new research shows.
The report from sourcing advisory firm TPI says 83 contracts have been
signed so far this year, with a total value of €18bn (£12bn), compared to 76[/quote:b696775e92]
deals at €12bn (£8bn) in the same period of 2005.
[quote:b696775e92]
TPI's managing director Duncan Aitchison says the strong quarter is the
result of rise in the number of contracts being restructured.
'However, even when even when we exclude restructurings, the number of
contracts signed so far this year is still a first quarter record,' he said.
The report also claims that financial savings available from outsourcing
have been greatly over-estimated.
When the costs of procurement and ongoing contract management are taken
into account, client expectations are not usually met, Aitchison says.
'In our experience, outsourcing arrangements which focus solely on
delivering huge savings often fail to meet client expectations. 15 per cent[/quote:b696775e92]
is not only a realistic saving, but also a significant one,' he said.
[quote:b696775e92]
What do you think? Email us at: feedback@computing.co.uk
http://www.vnunet.com/computing/news/2154220/outsourcing-reaches
[/quote:b696775e92] |
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| Joe |
| Posted: Fri Apr 21, 2006 3:09 am |
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