The outsourcing boom is over

Posted on Saturday, Jul 15 2006 @ 11:19 CEST by Thomas De Maesschalck
A study from consulting firm DiamndCluster International in Chicago found that the outsourcing boom has passed and maturity is now setting in:
The leveling off is due in part to experienced customers becoming more savvy and more picky about the work they hand to outsourcing providers.

The reticence on the part of some customers is due to disappointment with the performance of their outsourcing providers, the study found.

"I expected the abnormal termination trends to go down, but they remained pretty high," said Tom Weakland, leader of the outsourcing advisory services practice at DiamondCluster. Abnormal terminations occur when customers scrap a contract before its scheduled completion date.

Premature contract terminations, particularly with onshore providers, continue to be a prevalent trend, he noted.
Read more over at eWeek.

About the Author

Thomas De Maesschalck

Thomas has been messing with computer since early childhood and firmly believes the Internet is the best thing since sliced bread. Enjoys playing with new tech, is fascinated by science, and passionate about financial markets. When not behind a computer, he can be found with running shoes on or lifting heavy weights in the weight room.

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