Security risks, higher-than-expected costs and productivity losses -- as well as management, communications and coordination problems -- have led some outsourcers to reconsider their decisions and even pull some processes back in-house. Moreover, as the outsourcing market matures, cost inflation has pushed executives to take a harder look at outsourcing, offshoring and near-shoring.
Outsourcing continues to grow at a healthy rate. As the market expands to include a wider range of business processes, competitive cost opportunities in emerging markets are pressuring management decision-making.
Currents counter to this trend are in evidence, however, as Part 1 of this two-part series observes. Part 2 delves a bit further into the challenges associated with outsourcing, identifying some of the business processes that -- for a variety of reasons -- are proving resistant to being farmed out.
