The future of outsourcing

Founding partner Andy Palfrey was approached by Outsource magazine to share his perspective on the likely changes to the face of outsourcing in 2012. As a ‘key thought leader’ he shared his thoughts below – and it seems as if his predictions were remarkably accurate…

"We foresee 2012 as a year where continued economic uncertainty and the fear of double-dip recession will catalyse further private and public sector austerity measures, creating new opportunities – and challenges – for outsourcing.

Our first, rather grim prediction is that 2012 will see numerous ‘bad’ deals signed. The pressure to deliver rapid bottom-line benefit will see many ‘shotgun sourcing’ deals struck – those that provide immediate gratification but are unsustainable over the longer term. Sadly, we fear that many ill-advised client organisations will fall victim to the silicon-enhanced sourcing offers that will undoubtedly abound. Short-term gain: long-term pain…

On a positive note, we predict that 2012 will see the more enlightened and informed clients focussing on business value – not simply price. Consequently, we expect to see a number of highly successful outcome-based arrangements that are not hamstrung by clumsily developed, poorly understood, excessively complex contracts."

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