Herbert Simon explored the intersection of philosophy, science, politics, economics and a range of other fields and called into question the traditional idea that “economic man” acts rationally. Simon, who was a long-time professor at Carnegie Mellon University, received the Nobel Prize in Economics in 1978. Simon’s diverse research ranged across the fields of cognitive psychology, cognitive science, computer science, economics, management, philosophy of science, sociology, and political science; he helped lay the foundation for behavioral economists around the world. He died in 2001.
The 'gig economy’ is a term that is hard to avoid nowadays. But what is it exactly and what does it mean for the outsourcing professional?
In a multi-partner service delivery model, transparency and visibility are essential to an effective security and supplier risk management (SRM) strategy. Yet a wide range of evidence suggests that this transparency is sorely lacking in many cases. According to a study by the independent Ponemon Institute, 73 per cent of suppliers that experience a data breach don’t notify other vendors in the supply chain, while more than a third (37 per cent) of suppliers don’t notify their customers.
Regular readers will know that each month I publish a column waxing lyrical about that month’s Outsource Talks webinar (typically a passionate, exuberant piece written from the heart, as I genuinely greatly enjoy hosting these “talkshow”-type events and, along with the audience, tend to learn a great deal from my invariably superlative panellists) and will probably have noticed the absence in November of such a column.
Outsourcing the accounts payable (AP) function has many benefits, in particular enabling organisations to streamline essential operational processes and be more efficient. As with many outsourced functions, AP often requires expertise and technology that necessitate significant capital expenditure if they are to be made available in-house, whereas a third-party specialist will have up-to-date systems and a team of experts experienced in using them.
Risks versus benefits of outsourcing
We’ve just published the latest ISG Index, which reveals that the Europe, Middle East & Africa (EMEA) market saw solid regional growth in 3Q 2016. Combined third-quarter ACV reached €3.1 billion, up 22% over the previous quarter, with traditional and as-a-service sourcing contributing equally to the gains - both up 10% year-on-year. In addition to the increase in value, the volume of activity went up. The 494 contracts awarded in the year to date represent a 13% uplift – a record high in the region.
Procurement today is a different game. Once viewed as a back-office task, it has emerged as a key differentiator and driver of business value. And to execute it well requires totally new ways of thinking and acting.
Best-in-class organisations understand this. And they are tapping technology, big data and digital networks to fuel a simple, more collaborative source-to-pay process that is changing the game.
Moving Beyond Savings
Consumers are becoming both more loyal and trusting of their banks and insurers according to a survey of 3,000 consumers in Germany, Spain and the UK. The research, titled Youbiquity Finance 3, is the latest in the BT- and Avaya-supported series begun in 2012. It finds that the increasing use of technology is coinciding with improved relations between consumers and banks and insurance companies.