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More companies have invested in outsourcing this fiscal than in 2005-2006, and the trend will continue.

Origins of outsourcing : 38 percent of the companies that outsource began to do so more than five years ago. 50 percent of BPO companies and 42 percent of manufacturing companies began to send out work at that time. Outsourcing among telcos began only two years ago. Among the organisations that have invested in outsourcing in the past, 94 percent outsource IT services. All companies in the telecom, oil/power and services sectors outsource their IT requirements. The IS 2005-06 survey reports that of the companies that are resorting to third-party support, only 19 percent believe in total outsourcing, while majority outsource partially.

Planned outsourcing : In FY 2005-06, the areas that companies want to outsource the most are PC management (59 percent) and network communications (44 percent). However, all companies in telecom and govt/PSU want to outsource application development or management activities. All telcos and 79 percent of pharmaceutical/ chemical and BPO companies want to outsource PC management. Process management and disaster recovery are activities that are expected to head the outsourcing agenda this fiscal. Among companies in BFSI, the activity to be outsourced the most is help-desk management.

to be continued ...

    Network Magazine Recommends
  • Outsourcing is a business decision that should be taken with the involvement of functional heads.
  • Companies should consider outsourcing more IT-related activities.
  • Companies should give more importance to the vendor's ability to understand its strategy needs, when selecting the outsourcing partner.

Organisations which are expanding their business, as well as businesses setting up remote offices are adopting the MPLS technology. IT/ITES is one of the verticals that could see an increased adoption as customer demand grows, and as they add locations where MPLS economies would be better
source: Network Magazine,Telescope 2006

 
 
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