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Outsourcing in this recession: will it increase?

By | April 25, 2009, 8:19am PDT

Summary: Are businesses going to shift more work to outsourcers, or will they hold back to avoid business disruption, or moving jobs offshore? If you are involved in your organization’s decisions to engage with third-parties for IT or BPO services, please spend a few minutes filling out my online survey

Is the sun setting or rising on Outsourcing?

Is the sun setting or rising on Outsourcing? Click to join the survey

Folks - I am running a quick survey to take the temperature on the “O” issue in this economy.  Are businesses going to shift more work to outsourcers, or will they hold back to avoid business disruption, or moving jobs offshore?  If you are involved in your organization’s decisions to engage with third-parties for IT or BPO services, please spend a few minutes filling out my online survey, and you will receive a complimentary article of the findings:

CLICK HERE TO COMPLETE THE SURVEY

 

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Topics

Recession, Survey, Outsourcing, Business Process Outsourcing (BPO), Marketing Research, Managed Hosting, It Operations, Business Operations, Outsourcing & Subcontracting, Marketing, Phil Fersht

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RE: Outsourcing in this recession: will it increase?
arobbio 6th May 2009
In my company (Belatrix Software Factory, http://www.belatrixsf.com) which provides outsourcing from Argentina we experienced a very slow Q1 of 2009, but April and May have looked extremely promising in fact we believe we might end up growing faster this year than last.

Alex
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0 Votes
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Given that the bleeding of local jobs has helped lead TO this recession,
HypnoToad 26th Apr 2009
and if people are sincere about ending this recession, then we need to look at the larger scheme and not diddle around with huff'n'puff pieces like this.

I mean, doing work for less money means nothing if nobody can afford it.

Henry Ford's business model, not just his Model T, was right.

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Name companies with manufacturing in America?
Christian_<>< 26th Apr 2009
Companies left America due to the ridiculous EPA
ruining America with bogus climate change or
aka global warming so we will see how it destroys
the economy and sends the country downward in
a spiral.

It is all about control, I have heard enough about
climate change it is all lies to control how
a person lives.

Limit electricity usage, high taxes.
Limit the ability to travel so the masses are
like sheep and dependent on big Gov....
Create manmade crisis like 'oil shortage'
imagine that oil is at $40-50 a barrel but gas
is $2 a gallon? Before it was $150 and $4 sounds
fishy to me....
Create NEW electricity crisis so people cannot
afford electricity and companies will JET
faster out of America just like Bill Clinton
and NAFTA in which it destroyed ALL manufacturing.

Now Oboma runs General Motors and Chrysler in
which he fired the CEO which is COMMUNIST
Dictator control, he needs to be IMPEACHED
and thrown out of office.
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And yet China is, by an increasing margin, the most polluting country...
HypnoToad 26th Apr 2009
Never mind the quality of toxic or lethal products due to LACK OF REGULATIONS. You know, those things you hate...

BTW: Where were you teabagging lot when Bush was giving all his tax cuts and bailouts to his wealthy buddies over the last 8 years, before Obama was elected? Obama has to keep the system up until we can get this "global economy" properly structured so more people can prosper. Which will include Americans once again.

NAFTA was also started by George H W Bush; he didn't get a chance to sign it before Clinton had.

And please zip the parroted drivel about the commie accusations about Obama. More people think he's supporting big corporations at the expense of the working class right now too. In which case it sure as bleep isn't anything like socialism.

I am a skeptic on "global warming", but energy resources will eventually become finite - I have no qualms with nuclear, solar, or wind power. The trouble is, the more you've added to your response, the less incentive I have to take you seriously:

Incidentally, shouldn't bad CEOs who wreck their companies be punished? Granted, being fired and keeping one's $20 million severance package is arguable... but right wingers usually say that hard work done right should be rewarded. Gee, so which is it to be? You lot want it both ways and only when it suits YOU. Facts are useless things to you lot. sad

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re: and yet china....
Christian_<>< 26th Apr 2009
China is polluting their country, yet they do not
comply BY any environmental laws. My point is
outsourcing will flourish with the eco-nuts
in control because with all of the regulations
in place they cannot make any money.

Also, I do NOT agree with anything Global it is
bringing everyone down in America to 3rd world
status. America was founded on Christian principles
and not on making everyone 'equal' this is
socialism PERIOD.

So everyone is equal except for the elites like
Pelosi, Oboma, Gore and the others who say one
thing yet fly around in jets, ride in Suburbans
and tell others to do without A/C?

No you are wrong, also IS IT YOUR BUSINESS TO
WHAT A CEO MAKES???

Do we need to cap salaries like a 'socialist'
country does???

So a programmer is capped at $35000 period across
America because someone is jealous they don't make
the same amount of money???

When a president can fire a CEO something is
WRONG with our country....


If a CEO makes $40 million a year who CARES, it
is a FREE country, it is not greed it is what
he worked for, who are you to say they can only
make $xx dollars a year??????

RICH people create jobs, POOR welfare people do not
go ahead put more regulations in place and watch
layoffs happen and jobs go overseas.

Free country = Rich people hiring and creating
jobs....

Government regulation = Taxes, regulations and
more unemployment and welfare checks, I see
no miracles from Oboma and his 5 Million
jobs I wonder why???

Companies are going to move to Canada and other
places, California is a great example, look at
it now in the gutter because it is so liberal
and out of control.

FACTS are put a person in office as President
with morals and Christian values not someone
who uses tax dollars to perform abortions...
0 Votes
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Bringing the jobs home
Comnenus 26th Apr 2009
Jobs will be outsourced until regulations (and more specifically, the costs of licensing and other government fees) are reduced significantly or eliminated.

After that is done, offer tax incentives to companies who hire citizens.

This won't happen though because there are too many politicians getting rich. Al Gore will keep the jobs overseas because he makes money from trading carbon credits.

Of course he's only one politician that is the problem...
0 Votes
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Yet some of these outside countries are big polluters,
HypnoToad 26th Apr 2009
China being the most obvious example.

The abuse of regulations, laws, and fees has led to big problems. Having no regulations and laws only compounds the problem.

Of course, I'd love right-wingers (and left-wingers) to explain how laws and regulations or how they're eeeeeeeeeeevil and bad. It's much more fun to point out reality in return.

True, Al Gore has gotten rich over his hype -- yet in personal action has done nothing substantial; the media (which is neither right wing nor left wing) has pointed out his own hypocrisy and not unfairly so.

But I didn't know Al had _that_ much power to keep jobs elsewhere. He's not in politics; he's been on Apple's board of directors since 2003. (In retrospect, Apple has made some green-oriented changes and I was wrong in one of my previous assertions and aggressive tone... though it's still true Apple was behind other major computer companies for some time. At least they're catching up and, in some ways, taking the next steps. Time will tell. I refuse to let cynicism be my life.)
0 Votes
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Climate change = biggest SCAM of all time
Christian_<>< 26th Apr 2009
Common-sense = Real facts....

Man made global warming err... I mean climate change
since it was debunked as a LIE.

The earth is cooling, and it is all about control
and TAXING energy period.

There are small death trap sub-compact cars for
sell right NOW and no one is buying them......

The same people who voted for Oboma drives Suv's
I don't see them trading them in for a tin can
on wheels.

It is the stupidest thing on earth, a plastic
bottle the horror of it all. Meanwhile, the
auto-makers are going out of business, millions
of jobs are gone. More people will be on the
food stamp lines, and more outsourcing of
jobs.


There is NO climate change, it is all lies and
fools who believe Al Gore that has mansions
that range from 20,000 to 25,000 square feet
in size, he has private jets, he uses the
carbon credits to get RICH.

Gore is almost a billionaire now, thanks to this
hypocrisy, I don't see anyone giving up A/C if
you are so concerned then have it removed and
swelter during the summer........

Give your car to the Gov and have it destroyed
and walk to work, why wait for the government
to do it for you.

Do without, I don't see any Environmental person
doing with A/C since it is as evil as someone
who owns a truck.

Socialism = controlling how YOU live and what
you drive, what you live in and what you can
eat, what you make, what you can make, what
you buy....

America was not founded on this and people are
not going to stand for this non-sense.

I am happy Oboma is destroying the economy,
he will get voted out along with the rest of
his Chicago corrupt thugs he hauled into
Washington and we are STILL waiting on the
birth certificate to PROVE he is a citizen...
0 Votes
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The rescession is 16 months old.. Hasn't this question been asked?
pumpkinko 26th Apr 2009
We started this who mess January 2008. It is April 2009... Shouldn't the article be "has the rescession increased off shore" and not "will it"...

Oh... I have an offshore team. They have 25% unemployment b/c the Euro/American companeis pulled out....
0 Votes
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Recession is nothing, the dollar will collapse
Christian_<>< 26th Apr 2009
In case no one has been paying attention we
are headed to a 1 world currency....

sad
0 Votes
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RE: Outsourcing in this recession: will it increase?
sganny 26th Apr 2009
The IT jobs are definitely going out if the following bill is passed - http://grassley.senate.gov/news/Arti...eID_1502=20327

If the big Indian consulting firms are not able to bring cheap labor on L-1 visa (which is what this bill is targetting to achieve), those jobs are going to go back to India for sure.
0 Votes
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Keep the jobs here and tax outsourced labor
Keeping Current 27th Apr 2009
Hey, Washington and states are looking for revenue. Here is an opportunity. Tax outsourced labor. We did it for the automotive industry for years. No reason it can't be done here.
0 Votes
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And that's your idea of SUCCESS?
Marty R. Milette 27th Apr 2009
Look at the US auto industry -- it is the biggest JOKE in the world.

Between the unions squeezing every drop of blood out of the business, and the workers producing the WORST quality CRAP on the planet -- nobody is buying those garbage products because they are overpriced junk.

Yes, let's REPEAT this great success with the software industry as well! Unionize everyone! Down with profits! UP with pay! Down with Quality! Yes, great plan! sad
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RE: Outsourcing in this recession: will it increase?
Vistedousa 27th Apr 2009
Outsourcing is THE BIGGEST THREAT TO THE US NATIONAL SECURITY TODAY: it is eroding US from within and much more dangerous than all terrorist networks combined. We are loosing at a rapid pace our technological advantage, industrial and innovation base, and became consumers dependent on other countries.
0 Votes
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A nation addicted to cheap products and profit...
Marty R. Milette 27th Apr 2009
The title says it all. The US is a nation addicted to cheap products and the pursuit of profit. It's called capitalism and consumerism and it isn't going away.

I don't see anyone lining up to buy products made by American workers. The price/quality (aka 'value') ratio simply stinks.

Everyone is looking out for NUMBER ONE -- which means buying products from the cheapest possible suppler that produces an acceptable level of quality.

It means that you expect a HUGE and INCREASING amount of PROFIT from companies whose shares you own and where your retirement funds are invested.

It means satisfying the 'right' to 'instant gratification' by borrowing as much as you can as fast as you can so you can have all the toys you want NOW, TODAY -- rather than doing like other people in the world do -- by saving up for them.

It means thinking that the world OWES you a good living -- regardless of education, skills, abilities or good old-fashioned hard work -- starting at the bottom and working your way towards the top.

Try visiting schools, colleges and Universities in China, India and Russia. You won't see a bunch of drunk idiots puking it up in the street every night.

I've lived in Russia for over 12 years and watch as people are COMPETING to get their kids into a good kindergarten, so that they have a chance to get into a good school, which gives the HOPE of getting into a good university.

Nobody in these other countries feels so 'entitled'. They KNOW that they'll have to WORK HARD for everything they receive.

As they say in Russia, "the fish starts to stink from the head". Get rid of the corrupt politicians, get rid of the companies robbing you blind (Haliburton et. al. with TRILLIONS in no-bid, no-performance, sole-source contracts) and wake up to the fact that there is no longer a silver spoon to suckle on from birth -- time to start EARNING things again...
0 Votes
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RE: Outsourcing in this recession: will it increase?
hms5375 27th Apr 2009
I think with all the unemployed people in this country they could hire people for customer service to work from home. I don't know much about global business, I am just a factory worker but it seems with so many citizens unemployed and eager to work, companies could work out something comparable with what they are paying for outsourcing including utilities. And I would love to be able to talk to someone I can actually understand when I need assistance. I have a hard time understanding any type of accent (could be from the years of factory noise messing with my hearing...), and trying to understand one over the phone makes it even worse.
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RE: Outsourcing in this recession: will it increase?
arobbio 6th May 2009
In my company (Belatrix Software Factory, http://www.belatrixsf.com) which provides outsourcing from Argentina we experienced a very slow Q1 of 2009, but April and May have looked extremely promising in fact we believe we might end up growing faster this year than last.

Alex

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