A key element to successfully reaping benefits by improving business process sourcing, is to analyze end-to-end business processes carefully and consider a range of possible sourcing options, before deciding if one or perhaps several implemented in combination will best serve the company’s needs. According to executives presenting at a one-day conference held by The Hackett Group, an Atlanta-based business advisory firm, it is important that companies understand core competencies and make sure they keep activities relating to their core business value in-house as they consider sourcing options. At the conference, entitled “What’s the Right Sourcing Mix — Shared Services, Offshoring, and Outsourcing,” executives from some of the world’s most successful companies offered more than 150 attendees an exceptional array of insights based on their experiences with alternative sourcing options. The conference featured presentations by executives from The Hackett Group and 15 other companies.
While the cost savings from making business process sourcing changes can be significant, conference presenters stressed that cost is far from the only factor to consider when making business process sourcing decisions. Many companies attempt to cut costs by simply moving work to an offshore outsourcer, but the formula for success is much more complex, speakers emphasized. In addition, they explained that it is critical to build a comprehensive business case and strategic implementation plan that takes into account issues far beyond cost, including senior executive buy-in, governance, and how to build a truly cooperative relationship with the business partner. Presenters also stressed the role that governance and executive buy-in play in making shared services and outsourcing arrangements work.
More information on The Hackett Group, an Answerthink company. is available by phone at (404) 682-2500; by e-mail at [email protected]; or on the Web at www.thehackettgroup.com.