Undoubtedly, digital has huge potential: to fundamentally transform the business operating model; to unlock the “impossible challenge”; to greatly accelerate change; and to intimately connect a company to its customers in real time. However, digital can also expose a company’s inner contradictions, reveal hidden pockets of poor performance, and even lead to perceived core capabilities being seen as critical weaknesses. Digital also adds more uncertainties, particularly around customer expectations, which are increasingly defined by the technologies they use in their day-to-day lives.
Kit Cox is the founder and CEO of UK-based BPO software company Enate, and a long-time observer of and commentator upon the international outsourcing space. He's also, now, the latest professional to come under the microscope of our Life Lessons series: we're in your hands, Kit...
What has been the single most significant development to impact your profession or area of business during your career, and why?
The sourcing industry has so far had a spectacularly wonderful run. Twenty-five years of constant change, dynamism, technical competencies; business-aligned, people-centric, and bottom-line focused; intrinsically able to deliver on all promises made. As with any journey, bumps and roadblocks are expected. Navigating them painstakingly has created heroes of many an organisation, spilling over benefits into the developing world, and capital markets.
It’s clear that procurement has evolved over the past several years. And it continues to evolve. Digitisation has helped take it from what was viewed as a back office function to a key differentiator and value driver. But why have some procurement organisations soared with the change while others lag behind?
What do winners know that others don’t? What makes some procurement organisations more efficient or effective, more successful, more innovative, more on top of their game?
Professors Bengt Holmström (MIT) and Oliver Hart (Harvard) received the 2016 Nobel Prize in economic science in October for their work in the realm of contract theory and, most intriguing, the nature of contracts as being essentially incomplete.
During the election, Donald Trump said that he would stop work from leaving America, and would tax offshored products at 35%. Weeks before Trump is sworn in as President of the United States, he is hard at work wheeling and dealing with American corporations. Will these deals tell us about the “Trump Plan” for outsourcing? Let's dive right in and see!
Our ancestors in India always told us that it was a sin to cross the oceans (and many in India do not cross oceans even today). There was something about globalisation that they just did not like and I have not been able to figure out what it is.
I was thinking of what I could say about the outsourcing market at the end of 2016. My initial thoughts were about how I feel that the term itself is dying out. Companies are much more likely to be exploring partnerships today.
Alejandro - Alex - Camino is the CMO of Mexico-based IT provider Softtek, and a prominent and increasingly influential thought leader in the Western Hemisphere's nearshore sector (including playing a key role in the development and growth of theLatAm Alliance).
In this day and age, there is no organisation that does not require outsourcing governance as a part of its operations. It could be critical or a support function, but outsource they all do.
What is intended to be a seamless transition of work and, in some case, part responsibility, in fact, becomes fraught with challenges. What should’ve been an easing of the load for the outsourcing organisation becomes a point of stress and could even lead to lower productivity because of duplication of effort or lack of harmony.