The Canadian Outsourcing is expected to expand this year. IT will increase as much as 3.8 percent. The Canadian Outsourcing are planning to hit $15 billion revenues. The IDC Canada estimated to reach around $5.5 billion, even if the Canadian companies so not have more experience in the field of outsourcing. They are not just experts in the Global Services in comparison with the United States business but its local financial firms are on eof, the leading in the outsourcing trend.
Sebastiam Ruest, the Vice President of the services and technology research at IDC Canada, the outsourcing has the chance to decrease. This is because of some companies is not outsourcing, they are not using the traditional outsourcing model. The growth in the infrastructure management, cloud and utility will be increasing by 5.4 percent this year. It was almost 35 percent of the companies in Canada are using outsourcing services. The study done by the IDC and the Center for Outsourcing Research and Education or the CORE.
The traditional Outsourcing may still be the preferred choice for the Business Process Outsourcing., The study show that most of the firms in Canada still preferred those outsources that are based in the West of America. Most of the outsourcing firms in Canada are concerned with the cost and the relationship in the global market. The outsourcing is really a helpful in such a way that it provides a certain country in a competitive status.
This preference for Western -operated firm, the location appears not to be a major issue for Canadian clients. An Indian-based provider said that their customers are not very demanding regarding geographic location, they do not really ask. The companies are not concerned where the resources it, they are more concerned about the pricing and relationship model.
These are concerns about the global outsourcing it includes: Lack of control over resources, Managing across large distance and time zones, Privacy and Security, Accountability, Labour Turnover, Language and Communication and Quality of work.
For the companies considering off shoring, IDC and CORE has the following recommendations: Off shoring is not an all-or-nothing proposition: take a portfolio approach, Be open to a new delivery and and pricing models, Do not spend too much time preparing for change, Know what your outsource is doing, Understand, determine and manage potential risks and the last while off shoring introduce certain flexibility, consider the inflexibilities of the model.
The outsourcing helps the company in many ways like in the payroll, research, development and many more. There are a lot of benefits that you can grab in outsourcing. Our company has the best performance because we outsource inside and outside the company and country.
Reference
http://blogs.itbusiness.ca/2010/03/canadian-outsourcing-spend-to-hit-15b/
http://blogs.itbusiness.ca/tag/business-process-outsourcing/
