With the current market downturn, the external sources is high on the list of ways to shed costs and better access to the kind of service provision as industry 150 billion dollars on outsourcing attests. However, this drive to cut costs must be balanced with clarity about the strategic imperatives are based sourcing decisions. Sson spoke with global advisory and consulting firm Ovum Jens Butler, principal analyst at Sydney, Australia office. “What we’re seeing a lot of at the moment is that customers going back to their existing suppliers and ask for a better deal” says Butler.Dado that many of these vendors are second or third generation, this is not necessarily bad for the seller, or the relationship, Butler believes. There is some underlying expectation that vendors are able to satisfy customers halfway, but within 12 or 18 months of the shoe is on the other foot as the benefits of a vendor to improve the business environment general.Sin But there is a more important issue at stake. “By failing to align with the long-term, potentially putting the health of the organization on the line,” says Butler. “We’ve seen commitments, for example, where initial reductions constrained short-term price path for future growth of the organization and ultimately damaged the relationship of long-term suppliers. The worst thing someone can do is make a call a big name provider with a list of pre-determined actions. You really need to do their homework by carefully evaluating the selection process and ensuring that the first question to answer is: “What we’re really trying to accomplish? Without being clear about why and where you are trying to reduce costs, we run the risk of operating disconnected from the main organization. In the short term, costs can be saved, but long term you can pay for it through if payments constraints of sanctions was not planned or bonds. “Another movement has witnessed Ovum is towards the management of risk profiles more actively. A year or so ago, maybe too much for granted. But the scandal of Satyam and the potential effect of the crisis of the vendors have made customers more cautious about the viability of suppliers. There is a tendency for customers to flee to the safety of the big names, Butler admits. And yet, the smallest sector is still going strong. With smaller companies are more agile, more aggressive, and able to offer more flexible conditions, shorter contracts and more control from the client perspective, Butler has seen cases of large holders lose to smaller vendors, “Once more: a matter of getting a market foot in the door and demonstrating its value in these markets. And maybe they are counting on the renegotiation of a year or so down the line, once they have recovered. “In the past, several factors may have worked at least against small vendors, not the risk of being acquired and the existing conditions may not be respected. At this time, these contracts are written so that agreements are guaranteed in case of a purchase. “With a number of large organizations, such as Oracle, IBM and Fujitsu goes shopping, it is important that such guarantees are made,” says Butler.Tanto vendors big or small, Indian and Korean are increasingly aggressive and are expanding in the areas of Australia and the Middle East services. “We’re seeing more of these types of companies bidding for business. Many are linked to the telecommunications industry, as relatively rich in cash. This is certainly part of this drive, “says Butler. Ovum acts as a source of industry data, knowledge and experience on the commercial impact of technology, regulatory and market changes. The company engages in continuous research and industry analysis to determine market dynamics in their areas of expertise. Ovum is part of the Group of Datamonitor._________________________________________________________________________Este article first published in Shared Services and Outsourcing network (sson) – Read here: http:/ / www. ssonetwork. com / topic_detail. aspx? id = 4754 & ekfrm = 6 & utm_source = ssonetwork. com & DIRECTORIES utm_medium = SMO and utm_campaign = & mac = SSON_External_Listing_2036Acerca of shared services and outsourcing network (sson ) sson is the largest and most established community of shared services and outsourcing professionals, with more than 25,000 miembros.Sson provides the roof under which key industry experts and organizations to share their experiences, knowledge and tools, and practitioner colleagues connect with others around the world, both face to face and línea.Sson focuses on the development of its members through providing training, tools and networking opportunities. sson personal works of international offices in New York, London, Singapore , Sydney, Berlin and Dubai to research current trends and developments in information services compartidos.Más visit the Shared Services and Outsourcing Network (sson) website. 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