Call it yet another example of the gap between business and
academia. Despite making it to the headlines the world over,
outsourcing is still not a mainstream management topic. For the
management academia, outsourcing is still a trend, a good business
practice at best.
For the thousands of managers in business organizations trying to
make outsourcing work for global corporations, it is often a
challenge to get even some basic framework. As our story on the
failure of large deals in this issue tells you, many a time, people
have entered outsourcing contracts without knowing the basics.
This situation has given rise to an industry by itself.
Outsourcing consultants, who have stepped in to fill that gap,
provide some of the knowledge and experience. But engaging a
consultant is often a late step in the overall process, and deciding
on a consultant needs some basic knowledge. Many a time, companies
looking at outsourcing do a parallel evaluation of strategies and
offshore locations, while short-listing vendors, though actual vendor
selection is often the last step. Few consultants have knowledge on
all aspects.
To start with, some basic knowledge is not a bad idea for many.
But today, that is restricted to Google searches or research firms
reports. Through these sources, however, it is primarily numbers and
facts that one can get, which is of very little practical use from a
micro business perspective.
That has given rise to many how-to books on outsourcing. Many of
them are positioned as the pre-consultant stage for an outsourcing
buyer. As in any area, some of them are good in explaining the
fundamentals based on the experience of writers, some are not so
good, while others are pure nonsense.
In the Bookstores
In 2005 alone, at least four books on the topic have been
released, each one with a little different positioning. The Black
Book of Outsourcing, released earlier this year is a book that
tries to cover almost everything-from outsourcing advice for buyers,
to business advice for vendors, and even tips for job seekers. Out of
these, the most useful section is the vendor directory. It even ranks
outsourcing companies, based on the rankings done by consultants,
industry associations, and publications. It may not be a coincidence
that all the surveys by publications that it has referred to are ones
carried out by publications from CyberMedia, the publisher of
Global Outsourcing, including a survey of top Indian BPOs
carried out by bpOrbit, the predecessor of Global
Outsourcing.
The latest to hit the shelves is a book called The Offshore
Nation-by consultants Atul Vashistha and Avinash Vashistha, the
founders of the offshore consulting firm neoIT. This book is
somewhere between a how-to book and a trends book. The authors claim
that their book not only talks about how to outsource, but also tells
the reader why companies should outsource. The
Offshore Nation was written to help executives in leading
organizations better understand why they need to look at services
globalization as a strategic component of their business. Companies
that do not embrace services globalization over the next decade will
be has-beens, says Atul Vashistha, co-author of the book and
CEO of neoIT.
We also wanted the book to be insightful and useful for
business leaders, BPO and ITO services managers, educators and
students of services globalization. Readers will come away with a
greater understanding of how to leverage the strategic trends of IT
and business-process outsourcing; the impact that offshoring can have
on services delivery and cost; sources of reliable information for
developing offshoring strategies; and best practices in the
offshoring lifecycle, and best locations for offshoring.
| Take your Pick |
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The Offshore Nation: The Rise of Services Globalization by Atul
Vashistha, Avinash Vashistha (June 2005)
Outsourcing Insourcing: Can Money be Made from New Relationship Opportunities? by Per V Jenster, Henrick Stener Pedersen, Patricia Plackett, David Hussey (2005) Global Outsourcing: Executing an Onshore, Nearshore or Offshore Strategy by Marcia Robinson, et al (April 2005)
The Black Book of Outsourcing: How to Manage the Changes, Challenges, and Opportunities by Douglas Brown, Scott Wilson (2005)
Outsourcing to India by Mark Kobayashi-Hillary (April, 2004)
Whats this India Business? Offshoring, Outsourcing, and the Global Services Revolutionby Paul Davies
Offshore Outsourcing: Path to New Efficiencies in IT And Business Processes by Nandu, Dr Thondavadi, George Albert
Strategic Outsourcing: A Structured Approach to Outsourcing Decisions and Initiatives by Maurice F. Greaver
The Outsourcing Revolution: Why it Makes Sense and How to Do it Right by Michael F Corbett; Hardcover (Sep 2004)
Offshore Outsourcing: Business Models, ROI and Best Practices by Marcia Robinson, Ravi Kalakota (October 2004)
Turning Lead into Gold: The Demystification of Outsourcing by Peter Bendor-Samuel (2000, 2002)
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While the consultant in
Vashistha brothers (yes, they are brothers) made them write the book,
for a few like Mark Kobayashi-Hillary, it was the desire to fulfill a
need. Kobayashi-Hillarys book, Outsourcing to India, is
focused, as the name suggests, on the how-tos of outsourcing to
India. About six years ago, I was sent to Bangalore to help
establish a software center for the French bank SG. When I checked
the bookstores for information on India and outsourcing, I found many
books on the theory of outsourcing-particularly IT outsourcing-and
many on India. But somehow, no writer had combined the subjects in a
book, which I found strange as the India outsourcing boom was taking
off. As they say, when you want to write a book that has not
yet been written, write it.
It was probably a similar thought that drove Paul Davies to write
his book, Whats this India Business? Davies, who had spent
some time in India as head of an IT company in the country earlier,
used his knowledge and experience to address the information gaps in
that area in the West.
Not a New Phenomenon
Though
2005 has seen a number of such books hitting the market, the first book on outsourcing in our compilation was published way back in 2000. The book by Peter Bendor-Samuel, CEO of Everest Group,
Turning Lead into Gold: The Demystification of Outsourcing was a book on the basic concepts of outsourcing. Arguably, it still remains the best book for a starter, whose objective is to understand
outsourcing, and doing it right by selecting the right processes, the right metrics, and the right vendors. Many of Bendor-Samuels tips about SLAs and deliverables look so prophetic today, when many deals
have failed because of gaps that he has specifically advised to avoid.
Since then, books have been published at regular intervals.
Needless to say, not every book is equally useful.
Today, when outsourcing has become the hottest global change to
follow, books like Tom Friedmans World is Flat, Clyde
Prestowitzs The Three Billion New Capitalists, Richard
Floridas The light of the Creative Class, and Ashutosh
Seshabalayas Rising Elephant which address the broader
outsourcing phenomenon in a much fascinating manner, the how-to books
often compete with them for shelf space in bookstores. The World
is Flat, for example, is a bestseller.
The trend will only become more visible. Books targeted at
outsourcing managers will now have to focus more on the practical
side, rather than on philosophies and information. The fact that
today, many outsourcing professionals who have experience in
offshoring and outsourcing are available to hire, a consultants
business is threatened. The books will now have to change with
time.