Outsourcing Facts and
Controversies
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Thoughts on the new OECD report on offshoring
'The share of employment potentially affected by offshoring - An empirical investigation' is a detailed study of how offshoring could affect the global service industry, including analysis on how many jobs might be offshored, and what's really happening to services in those countries that are welcoming offshoring (and those that are not). Surprisingly, there has been almost no media coverage of the report.
Back in August 2003, the McKinsey Global Institute (MGI) published their oft-quoted report 'Offshoring: Is it a win-win game?' This report made the claim that every dollar spent on offshoring by US companies would create $1.45 - $1.47 of value to the global economy; with the US capturing $1.12 - $1.14 and the receiving country capturing on average 33 cents. In other words, the US captures 78 per cent of the total value - generating more for the US than the initial dollar spent.
This report was a watershed in the argument for offshoring, as politicians, economists, and business leaders all argued that further engagement with the wider global economy can only be a good thing for any society.
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Outsourcing News and Top
Outsourcing deals
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Verizon’s Outsourcing Debut
Verizon, the U.S. second-largest carrier,
announced on Wednesday it is entering the managed services business, an
IT support area that is owned by domestic consulting firms and low-cost offshore
outsourcers India..
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CSC Signs $235 Million IT Infrastructure Outsourcing Contract Renewal With
Schroders
Computer Sciences Corporation today announced that Schroders, a global asset management company, has renewed its existing information technology (IT) outsourcing contract with CSC for an additional seven years and 10 months.The renewal is valued at approximately $235 million..
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Fuji Xerox wins EDS
outsourcing deal
Fuji Xerox Global Services (FXGS) has won a five-year, $4.8 million outsourcing contract with EDS to streamline its print hardware and software infrastructure..
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Perot Systems Acquires Leading Engineering Outsourcing Firm, eServ
Perot Systems Corporation has acquired eServ, LLC ", a leading provider of high-end product engineering outsourcing services, for $21 million in cash, plus up to $7 million more if certain performance targets are met....
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Nokia, Ericsson and IEMC’s Indian Operations
IEMC from the US is scouting for a suitable location in India and is talking to several states, including Tamil Nadu. As in the case of SEM India, IEMC intends to invest $3-billion in its facility...
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Indian Firm GenPact Triples Staff in China
With 1,800, mostly Chinese staff in the north eastern city of Dalian, India’s largest BPO group is recruiting 3,500 people for new units anticipating a higher demand for off-shore services from Japan and companies within China. ...
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