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Home  > Business/Finance  >  Diversified Services  >  Business Outsourcing

BPO: IT services vendor strategies


Published Date: June 2007
Published By: Ovum Plc
Page Count: 24
Order Code: R464-552
 
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Key findings
Messages for vendors
Identify your strengths and (up)sell around them
Board-level support for BPO is critical…
…but don't over-stretch yourself
Listen, and adapt to client needs
TPAs are part of life: work proactively with them
Work towards a balanced portfolio
Work to productise offerings for the long term
Develop repeatable and lower-risk sales processes
Invest in senior client sector executives
Partner and relationship management is crucial
Why BPO?
Leveraging existing assets
Defending existing IT business
Opportunity for sustainable growth
Success and lessons to date
Growth is not what it seems
Profits take a long time to come
Maturity can make a big difference
A lack of quality delivery operations
Small acquisitions can beef up offering
Partnerships are a more likely route
Mixed support for BPO from IT services vendors
Offshore, not IT, drives today's BPO deals
Understanding the client context is crucial
Building a 'balanced portfolio'
Getting shareholders on board
Renewed strategies going forward
Targeting the 'right type' of business
Focusing on existing strengths
Vertical versus horizontal BPO focus
BPO sales strategies
Still a learning experience
More targeted sales
Hiring 'rainmakers'
Tightening up the sales process
Flexibility in pricing models
Leveraging consulting
Offshore BPO
The race for offshore resources
Global players lead Europeans
Global sourcing is driving M&A
Sensible sourcing
Offshore is a two-step process
The role of IT in BPO
ERP as a basis of horizontal BPO
Single or multi-platform approach
The drive for homogeneity
Proprietary platform play
Leveraging internal IP
SOA as an efficiency tool
Software vendors increase interest in BPO

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