Product Type: Market Research Report
Published by: Business Insights
Published: July 2005
Product Code: R162-578Description The success of the Indian offshore outsourcing market over the past five years has proven that regardless of location, IT services providers can sell world-class services to major companies across the globe. As a result, there has been a boom in offshore and nearshore outsourcing delivery. The Offshore and Nearshore Outsourcing Outlook: Key locations, outsourcing models and the leading players is a report that analyzes the drivers and inhibitors of offshore and nearshore outsourcing, comparing the pros and cons of each and outlining the strengths and weaknesses of the most significant global outsourcing locations. This report analyzes nearshore locations for Europe and the US by country and profiles the world's 10 most influential offshore service providers. It also provides detailed market forecasts for the call center outsourcing market and analysis of the most successful offshore outsourcing models. Identify the key revenue opportunities for service providers, systems integrators and consultants, and the most effective location and route for CIOs considering near or offshore outsourcing.
Table of Contents The Offshore and Nearshore Outsourcing Outlook
Executive summary
Offshore and nearshore outsourcing
Emerging models in offshore outsourcing
The 10 most influential offshore service providers
Overview of offshore locations
Nearshore locations (for Western Europe)
Nearshore locations (for North America)
Focus on call center offshore outsourcing
Chapter 1 Offshore and nearshore
Summary
Introduction
Offshore outsourcing
Drivers and inhibitors
Key drivers for offshore outsourcing
Inhibitors of offshore outsourcing
Best practice
Offshore outsourcing models
Transactional partnering
Tactical partnering
Strategic partnering - a joint venture
Collaborative partnering - Build-Operate-Transfer (BOT)
Wholly-owned subsidiary
Build or Buy?
Buy models
Offshore staff augmentation
Project outsourcing
Offshore dedicated center (ODC)
Functional outsourcing
When to buy?
Offshore resources
Value add
Performance
Cost
Build models
Do It Yourself (DIY)
Build Operate Transfer
M&A
When to Build?
Nearshore outsourcing
Drivers and inhibitors to nearshore outsourcing
Drivers
Risks
Chapter 2 Emerging models in offshore
Summary
Introduction
Offshore outsourcing models
Buy models
Offshore staff augmentation
Project outsourcing
Offshore Dedicated Center (ODC)
Functional outsourcing
Tactical partnering
Strategic partnering - a joint venture
Build Models
Do It Yourself (DIY)
Captive center
Build Operate Transfer (BOT)
M&A
Wholly-owned subsidiary
Nearshore outsourcing models
Nearshore
Western Europe
North America
Homeshoring
Call centers
Software development
Insourcing
Chapter 3 The 10 most influential offshore service providers
Summary
Vendor selection
Pick the Country First
Recommendation
Domain & technical filtering
The 10 most influential offshore outsourcing firms
IBM Global Services
Infosys Technologies
Cognizant Technology Solutions
Convergys
Accenture
Tata Consultancy Services
Hong Kong and Shanghai Banking (HSBC)
Keane
General Electric
Epam
Chapter 4 Overview of offshore locations
Summary
Introduction
Relative levels of risk and cost
Locations
Argentina
Where is the market today?
Risks
Rewards
Conclusion
Brazil
Where is the market today?
Risks
Rewards
Conclusion
Canada
Where is the market today?
Risks
Rewards
Conclusions
Hungary
Where is the market today?
Risks
Rewards
Conclusions
India
Where is the market today?
Risks
Rewards
Conclusions
Jamaica
Where is the market today?
Risks
Rewards
Conclusion
Mexico
What is the market today?
Risks
Rewards
Conclusion
Philippines
Where is the market today?
Risks
Rewards
Conclusion
Poland
Where is the market today?
Risks
Rewards
Conclusion
South Africa
Where is the market today?
Risks
Rewards
Conclusion
Chapter 5 Nearshore locations for Western Europe
Summary
Introduction
Central and Eastern Europe
Strengths
Weaknesses
Opportunities
Threats
North Africa
Strengths
Weaknesses
Opportunities
Threats
Chapter 6 Nearshore locations for North America
Introduction
Canada
Where is the market today?
Risks vs. rewards
Central America
Mexico
Where is the market?
Economic assessment
Nearshore outsourcing
Labor rates
Call center activity
Conclusions
The Caribbean
Jamaica
Government efforts to attract call center investment
Vertical market distribution
Labor market
Call center functions
Conclusions
Chapter 7 Focus on call center offshore outsourcing
Summary
Demand for offshore call centers
Specific country requirements
US
UK
France
Germany
Rest of Europe
Asia Pacific
Demand for offshore call center outsourcing by vertical
Key drivers
Cutting costs
More demand for multilingual services
Barriers to offshore outsourcing
The distance issue
Less concern for accents and more an issue of cultural affinity
Demystifying the threat from global offshore call center outsourcing
Action points
Refine sales approaches
Carve a niche and partner for success
Allay customers’ fears
Adopt appropriate pricing models
Exploit shared voice & data network new business opportunities
Index
List of Figures
Figure 4.1: Relative risks and costs of nearshore and offshore outsourcing markets
Figure 5.2: Central and Eastern European nearshore outsourced agent positions, 2003 - 2008
Figure 5.3: Percentage of population between 20 - 24 years old in tertiary education, 2003
Figure 5.4: Commercial real estate rents - Selected urban centers, Q1 2004
Figure 5.5: Selected European unemployment rates: 2003
Figure 5.6: North African nearshore outsourced agent positions, 2003 - 2008
Figure 6.7: Mexican offshore and domestic outsourced APs, 2003 - 2008
Figure 7.8: Vertical offshore outsourced APs available, 2003
Figure 7.9: Drivers for offshore outsourcing
Figure 7.10: Barriers to offshore call center outsourcing
Figure 7.11: Offshore outsourced APs are a threat to onshore outsourced APs
Figure 7.12: Offshore outsourced APs as a percentage of total global APs and growth rates,
2007
List of Tables
Table 3.1: The 10 most influential offshore outsourcing providers
Table 5.2: Selected travel times and prices for a single-day trip from London to selected
outsourcing destinations
Table 5.3: Corruption Perception Index: 2003
Table 6.4: Price per hour of Canadian outsourced agents, 2004
Table 6.5: Mexican call center wages and turnover, compared to Argentina
Table 7.6: Main offshore and nearshore outsourcing locations for the major outsourcing customer
markets
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