Global Outsourcing News 
August 2009
No. 47

BPO global volume seen as positive sign

As most industries continue enduring economic twists and turns, it's often challenging to keep a steady eye on the horizon. In this environment, reliable data analyzed by independent researchers can provide perspective and early signs of change. That's why we're encouraged by confirmation of increases in outsourcing volume globally during the second quarter of 2009.

"BPO activity rebounded strongly with a 27 percent increase in transaction volume," according to an August analysis by the Everest Research Institute,  a U.S. business advisory firm focusing on outsourcing and offshoring. It also reports that "financial services sector global transaction volume grew 25 percent."

A BPO specialist at Everest balances this growth news with caution. "We believe that the market is starting to turn, but the timeframe for full recovery remains uncertain,” says Eric Simonson, a managing principal at the institute in Dallas, Texas. "We believe we’re seeing stabilization within organizations that is allowing buyers to refocus on sourcing as a lever to gain operational and financial efficiencies and other benefits.”

A similarly upbeat outlook  by the IDC global advisory firm, also based in the U.S., is summarized in the  news link directly below. We welcome these new justifications for optimism and innovation as companies increasingly position themselves for post-recession growth.           

Michael Liu
President, CPI
mliu@compupacific.com

Trends in Outsourcing
Asian firms riding BPO bandwagon
July 28, 2009, Computerworld

Asia Pacific organizations are implementing significant business transformations, including seeking new BPO business models and services, an IDC report says. The major reason is an expected market recovery in 2010.

BPO providers are adjusting platform-based offerings to suit demand for scalable, pay-as-you-use services, notes the study by the firm based near Boston, Massachusetts. IDC expects long-term growth in the region's BPO market, starting next year. More >>