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Archive for November, 2011

Everest Group: China’s Global Services Market Projected to Grow 20-25 Percent CAGR by 2015

November 18th, 2011

Global services exports revenue in China is projected to increase to US$9.5-10 billion by 2015 at a CAGR of 20-25 percent from US$3.5 billion in 2010, according to Everest Group, an advisory and research firm on global services.

Global services exports from China increased from about US$1.2 billion in 2007 to US$3.5 billion in 2010, according to Everest Group’s study, Global Locations Compass: China. The study reports IT Outsourcing (ITO) services contribute about 65 percent towards China’s total export revenue, largely driven by the in-country presence of several top-tier global IT providers. Business Process Outsourcing (BPO) work comprises the remaining 35 percent.

“China offers a compelling regional language advantage and cost arbitrage and is thus best leveraged to serve the Asia region, which accounts for about 60 percent of China’s global sourcing revenues,” said Amneet Singh, vice president — Global Sourcing. “While lack of clear cost and English language skills translate to a limited competitive advantage over India and the Philippines for work exported to North America and Europe, these regions still account for about 40 percent of China’s global sourcing exports. China can serve as a risk diversification alternative to serve North America and Europe.”

Last year’s market growth in China prompted its reclassification as a mature offshore destination on Everest Group’s Market Vista Locations Maturity Heatmap. According to Everest Group’s Offshore Locations Survey of buyers earlier this year, China has emerged as a leading destination after India and the Philippines.

Other findings:

– More than 15 delivery centers were established or expanded across Tier-1 and Tier-2 cities during the last 12 months.

– Market growth also has been propelled by several government initiatives, development/promotion organizations and government-backed incentives.

– China offers more than 20 cities for global services delivery, some of which are Tier-2 cities that are emerging as credible alternatives to Tier-1 options.

– Cost arbitrage is expected to remain sustainable over the next 13-14 years.

“Players defining their ‘China Delivery Strategy’ should assess China’s role in their global services delivery models and understand the costs and talent pool available in context of the envisaged role for China. Cities in China offer varying levels of attractiveness across global, regional and local delivery from China,” said H Karthik, vice president — Global Sourcing. “Companies planning to enter or expand in China also need to invest in talent engagement and development, monitor progress of recent data protection guidelines and examine Tier-2 cities to lower delivery costs.”

The report provides an in-depth analysis of China’s global services landscape across captives and third-party service providers for ITO and BPO services to include market characteristics, education system and future outlook. The study also provides detailed data and perspectives on seven key cities — Shanghai, Beijing, Dalian, Guangzhou, Chengdu, Hangzhou, and Suzhou — spanning across labor pool, cost, market activity and risk analysis.

For more information about the report, Global Locations Compass: China, other Global Sourcing and Location Optimization research reports or other research services, please visit research.everestgrp.com, email info@everestgrp.com or call +1-214-451-3110.

About Everest Group

Everest Group is an advisor to business leaders on the next generation of global services with a worldwide reputation for helping Global 1000 firms dramatically improve their performance by optimizing their back- and middle-office business services. With a fact-based approach driving outcomes, Everest Group counsels organizations with complex challenges related to the use and delivery of global services in their pursuits to balance short-term needs with long-term goals. Through its practical consulting, original research and industry resource services, Everest Group helps clients maximize value from delivery strategies, talent and sourcing models, technologies and management approaches. Established in 1991, Everest Group serves users of global services, providers of services, country organizations and private equity firms, in six continents across all industry categories. For more information, please visit www.everestgrp.com and research.everestgrp.com.

Source:http://www.marketwatch.com/story/everest-group-chinas-global-services-market-projected-to-grow-20-25-percent-cagr-by-2015-2011-11-17

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Tags: Global Services

ABTO Software Announces its New Slogan “Accelerate Business Today – Outsource to ABTO!”

November 18th, 2011

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ABTO Software (www.abtosoftware.com), a global provider of offshore IT outsourcing and high-end software development services, officially announces its new slogan “Accelerate Business Today – Outsource to ABTO!”

The familiar slogan: “We’ll scope it and build it; we’ll update and then take care of it. Solutions with integrity.” has been ABTO’s slogan since 2007, but with the course of time the company has grown, evolved and felt the need to become more visible on the global IT outsourcing services market.

This new slogan summarizes the company’s core values, reflects its corporate strategy and reveals its mission to the world. It clearly manifests that ABTO Software is aimed at helping its customers accelerate their business by providing high quality outsourcing services in a variety of areas like Custom Software Development, Mobile Solutions Secure Software, Web Design and Development, etc. and across such diverse vertical markets as Banking & Finance, Healthcare, Government, Retail & Distribution, etc (new.abtosoftware.com/category/portfolio/) .

ABTO’s goal has always been to remain a trusted provider of advanced software solutions for customers around the globe. Since its setting up ABTO Software has grown significantly. Now it employs over 60 professional software developers to catch up with the growing customers’ demands. Our software and web development experts all have Master or Bachelor’s degrees in Software Engineering and Computer Sciences, which allows them to leverage various state-of-the-art technologies to create high class IT solutions that ultimately help ABTO’s customers grow, accelerate and succeed in the highly-competitive global economy.

ABTO’s team of bright dedicated software developers using innovative technologies has recently been working on a major makeover of the company’s website to better reveal the new company’s slogan concept. The new slogan vividly displayed on the updated ABTO’s website is addressed to the company’s current and prospective customers and aimed at promoting the company as a reliable software outsourcing partner.

Oleksandr Muzychuk, the CEO at ABTO Software, notes: “ABTO Software’s uniqueness lays in its flexibility and total commitment to specific customer’s needs. So, our new slogan is designed to emphasize that our prospective clients can rely on ABTO Software as a partner aimed at our customers’ business workflows optimization, and as a result increase of their competitive advantage. We are striving for long-term mutually beneficial cooperation with our valued customers, which is sure to bring unrivaled value to their business.”
Keywords: ABTO Software, IT outsourcing services, software development services, custom software development, software developers, software outsourcing.

Source:http://www.openpr.com/news/201009/ABTO-Software-Announces-its-New-Slogan-Accelerate-Business-Today-Outsource-to-ABTO.html

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Takeover puts firms at sharp edge of IT

November 18th, 2011

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The Swindon managed services provider Excalibur has taken over Emnico Enterprises Ltd Technical Services, a private IT network management company.

Mobile communication and IT services provider Excalibur has agreed to a strategic alliance with sister company Emnico Technologies Ltd to deliver software and complete end-to-end customer solutions.

Emnico is the brainchild of Heydar Faramarzi, pictured, who started the company almost five years.

Now he has split the company with Excalibur taking over the IT side of the business and Emnico keeping the software firm.

The workforce of almost 20 has been split in two with half going to Excalibur and the rest staying with Emnico.

“This has been a win-win situation for everyone concerned with the deal,” said Heydar.

The move is the first in a series of strategic acquisitions by Excalibur aimed at accumulating skills and reinforcing its position as the leading provider of managed services to small and medium enterprises (SMEs) throughout the South West and M4 corridor. The acquisition will extend Excalibur’s technology, service and support portfolio and better equip it to deliver a complete end-to-end business service in telecommunications and technology.

Excalibur, a Microsoft Gold, Vodafone One-Net and Cisco partner and Blackberry Alliance Associate Member currently helps more than 5,000 UK SMEs to address needs relating to voice and data, business continuity, connectivity, cloud computing and IT outsourcing. Excalibur also manages over 30,000 mobile phone users.

“The Emnico Enterprises Ltd acquisition reflects Excalibur’s continued focus on repositioning the company as a complete unified communications and IT solutions provider to the SME market,” said James Phipps, managing director, Excalibur.

“The invaluable addition of a talented Emnico Enterprises Ltd team will help us to accelerate our IT services and support solutions for meeting customers’ evolving needs within these environments.”

Excalibur has acquired Emnico Enterprises Ltd’s assets with the aim to drive growth and increase turnover by £750,000.

The company has doubled revenue over the past three years and expects to contribute to fiscal 2012 growth by broadening its IT services and support portfolio and ultimately increase its E-bitda to £1.7m.

Excalibur provides an end-to-end business consulting service that offers expertise in communications and technology. Based locally with over 15 years’ experience, it employs 60 people.

Its dedicated account management and partnerships with industry leaders ensure that customers can benefit from reliable and flexible, business solutions.

Source:http://www.wiltshirebusinessonline.co.uk/news/9370702.Takeover_puts_firms_at_sharp_edge_of_IT/

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Infosys BPO Launches an ‘Alternative Delivery Model’ as Part of its BPO Strategy

November 17th, 2011

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Infosys BPO Ltd. today announced the launch of its ‘Alternative Delivery Model’ BPO strategy at Kaup in Karnataka. Kris Gopalakrishnan, Executive Co-Chairman, Infosys Ltd. and Swami Swaminathan, CEO and MD, Infosys BPO, launched the Alternative Delivery Model and inaugurated the HR shared services operation in collaboration with Infosys BPO’s service partner, Desicrew.

The focus areas of this Alternative Delivery Model include providing the next frontier in flexibility & competitiveness for clients, enhancing the ability to create a competitive model for outsourcing and creating a sustainable model to access and provide long term career options for BPO talent in India.

Kris Gopalakrishnan, Executive Co-Chairman, Infosys Ltd. said, “We are pleased to announce the launch of the ‘Alternative Delivery Model’, an important component of our strategy, wherein we are constantly looking for the next wave of differentiation and benefits for our clients. Our success in establishing and commencing live service from a Tier 4 town in India, based on a model of collaboration with an outsourced service provider, reiterates our long-term vision and commitment to rural BPO.”

“Over the last few years, Infosys BPO has invested extensive time and effort towards continually evolving our operating models. Subsequent to constant introspection on our delivery model, and regular analysis of the business landscape of our clients, we decided to enhance our delivery capabilities in Tier 3 and Tier 4 towns through partnerships with service providers. We expect this model to play a huge role in accessing and retaining BPO talent in India. We have established a network of partnerships with service providers such as Desicrew and other firms to enable us to do the same,” said Swami Swaminathan, CEO and MD, Infosys BPO.

In the coming months, Infosys BPO expects this model to play an important role in delivering value to its clients based on their changing needs. The company also expects this model to significantly accelerate access to talent that may not be geographically mobile. Besides, the talent pool in these towns will hugely benefit by learning about and working on world-class processes and technologies, enabling them to build a ‘Career for Life’ in the BPO industry.

Source:http://www.4-traders.com/INFOSYS-LTD-9058861/news/INFOSYS-LTD-Infosys-BPO-Launches-an-Alternative-Delivery-Model-as-Part-of-its-BPO-Strategy-13895615/

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The Rise of Socially Responsible Outsourcing

November 17th, 2011

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Within some IT circles, Indian outsourcing firms have become the poster child for everything that’s wrong with globalization and the H-1B visa program.

But blaming a certain set of companies for taking advantage of business opportunities created by the American companies that use the services of these firms to lower their IT costs seems a little hypocritical. There’s no doubt that these Indian firms enjoy a cost advantage by primarily leveraging labor resources in India, but that’s not all that much different from all the manufacturing jobs that U.S. companies outsourced to China. Businesses shift work to where costs are lower unless other outside pressures are brought to bear.

According to HCL Technologies CEO Vineet Nayar, that’s exactly what’s starting to happen. At the company’s Global Meet 2011 conference this week, Nayar noted that the Indian outsourcing provider has created 1,200 jobs in the U.S. The company has been working in cooperation with local universities and state governments to ensure that there is a supply of IT talent for those projects. The reason for this, Nayar says, is that “socially responsible” companies in the U.S. want to make sure that IT work performed on their behalf is done in the U.S., so even though HCL Technologies is not sure how profitable these projects will ultimately prove to be, customer requirements are driving the company to invest more in U.S.-based IT talent. That effort, notes Nayar, is also part of a larger effort to have greater local presence in the U.S. market because HCL Technologies is getting involved in more complex projects that require more than just the availability of low-cost IT skills. In fact, the goal is to have 10,000 employees outside of India by 2015.

IT jobs are, of course, a hot-button issue. But Nayar says that between companies in the U.S. insisting that jobs be performed in the U.S., and the fact that more than half of all H-1B visa requests are being rejected, fundamental change in the way IT projects on a global basis are being managed is starting to take place.

Long term, the real question shouldn’t be so much about rolling back globalization as much as it should be about advancing the skills of the entire IT community in a way that promotes enough work for all concerned. But in the meantime, forces other than pure economics are starting to have an impact on where IT jobs are being distributed.

Source:http://www.itbusinessedge.com/cm/blogs/vizard/the-rise-of-socially-responsible-outsourcing/?cs=49109

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Luton Borough Council Agrees 10-year ICT Outsourcing Partnership with Civica

November 17th, 2011

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Luton Borough Council is to outsource its ICT services through a partnership agreement set up with the Luton Learning and Community Partnership (LLCP) through which, Civica, a market leader in specialist IT systems and business process services, will provide ongoing support to the Council. The 10-year agreement, worth more than £34 million to the company, is part of a broader programme to deliver cost savings in total of £12.6 million.

Effective from 14 November 2011 ‘Project Genesis’ will see LLCP, for which Civica is an IT partner, deliver all core ICT operations for the council in order to achieve savings and enhance services including ICT-based innovation to change access to and use of local services. The partners will also set up a new programme management office to support and focus Luton’s transformation initiatives in order to secure further savings.

Councillor Robin Harris, Deputy Leader Luton Borough Council, said, “This programme will enable us to improve front line services without additional cost. The transfer of Luton’s ICT service to the partnership provides a strong basis for creating IT-based savings and at the same time seeking improved service delivery to meet local residents’ current and future needs.

“We’re particularly excited that the partnership’s service centre model will concentrate work in the town to help support the local economy and jobs.”

Source:http://www.sourcingfocus.com/site/newsitem/4479/

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MCS Expands Its Litigation Support Outsourcing Solutions

November 17th, 2011

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MCS Management Services, a leading nationwide provider of on-site business support, is proud to announce the expansion of its litigation support services. MCS will now offer its in-house litigation support services as a managed service, virtual cloud service, or a combination of the two to help streamline data management for law firms and corporate legal departments.

MCS Management Services’ proven track record as a managed service provider, combined with its expertise in the fields of computer forensics, early case assessment (ECA), electronically stored information (ESI) productions, and repository services, provides a unique and cost effective service delivery unmatched by other providers.

The concentrated effort of deploying both on-site personnel and off-site technology resources greatly reduces the investment in company infrastructure and alleviates the resources associated with qualifying and staffing these necessary roles. Organizations can leverage MCS’ qualified on-site personnel, who will operate cloud-based technology resources which are very costly for individual firms to own and operate.

Organizations that don’t necessarily require MCS personnel on-site, or need an extension of their current department’s function, can take advantage of other MCS cloud services. Off-site MCS teams that consist of dedicated data analysts and project managers remotely manage case data, from collections to trial, without having to operate within the firm’s walls. Additional elements of MCS cloud resources include shared use of popular e-Discovery tools, such as Catalyst and kCura Relativity® for repository hosting, Venio FPR™ for early data assessment and first pass review, and IPRO eCapture for processing ESI data.

Both models are fit for firms and legal departments of all sizes, and provide budgetary certainly in two options: an on-demand, pay-for-what-you-use model associated with the MCS cloud resources, or a contract for the complete managed service.

Source:http://www.sacbee.com/2011/11/16/4059005/mcs-expands-its-litigation-support.html

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