Continued Growth for Offshore Outsourcing
The offshore outsourcing industry is continuing to expand according to the latest quarterly index from sourcing advisory company TPI.
Jul 24, 2006
Despite a spate of bad press for offshore outsourcing, TPI claims that a record number of outsourcing transactions are currently under negotiation, although there is no accurate breakdown on the balance between onshore and offshore.
But TPI, which is currently advising a quarter of the commercial outsourcing market, believes that 47 per cent of all transactions involve offshoring or "global service delivery".
At the same time last year, offshoring accounted for just 28 per cent of all transactions and the current level appears to represent a new high.
Duncan Aitchison, managing director of TPI, commented: "Contrary to speculation about rising levels of dissatisfaction with offshore outsourcing, our data predicts further growth in the value of work being moved offshore."
"In our experience, the approach of many companies to outsourcing has now matured to the extent that it is now no longer a question of whether to offshore, but rather which elements and to what degree."
But the onshore outsourcing market has also matured in recent years, becoming central to IT support for many companies in London and throughout the UK.
But TPI, which is currently advising a quarter of the commercial outsourcing market, believes that 47 per cent of all transactions involve offshoring or "global service delivery".
At the same time last year, offshoring accounted for just 28 per cent of all transactions and the current level appears to represent a new high.
Duncan Aitchison, managing director of TPI, commented: "Contrary to speculation about rising levels of dissatisfaction with offshore outsourcing, our data predicts further growth in the value of work being moved offshore."
"In our experience, the approach of many companies to outsourcing has now matured to the extent that it is now no longer a question of whether to offshore, but rather which elements and to what degree."
But the onshore outsourcing market has also matured in recent years, becoming central to IT support for many companies in London and throughout the UK.