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Executives From Across The Industry and Globe Gathered To Find Out How They Could Successfully Use Outsourcing to Rebuild the Global Economy. Click here to find out more about how you can get involved in IAOP’s European and Topical Chapter Network.
 



 

 


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Using Outsourcing to Rebuild the Global Economy


The 2009 European Outsourcing Summit, part of IAOP’s world-renowned Outsourcing World Summit Series, now in its 13th year, is the field’s leading global conference series for defining and shaping the future of outsourcing as a management practice. 


IAOP is pleased to have presented its European Summit with the support of its global network of more than 100,000 members and affiliates, and in association with the Copenhagen Business School — one of the world’s top academic institutions with a heritage of developing strong links between contemporary research and the active business community.


Given the global economic crisis that is affecting every corner of the business world, the ideas shared at this year’s Summit were of particular importance and enabled organizations to:
 

?    Structure, negotiate and renegotiate outsourcing, shared services and global business operations that work during both crisis and recovery

?    Create ?exible, quickly-changeable business processes that can handle today’s levels of volatility

?    Strengthen its global portfolio of capabilities and talent

?    Establish relationship governance models to ensure that all parties — customers, providers and advisors — can work together to create shared success


Attendees of IAOP’s European Outsourcing Summit, heard from and networked with the field’s best practitioners and top business, academic and government leaders, and gained insights that will give their organizations an immediate competitive advantage in these uniquely challenging times.


Participating Companies

Accenture; Allstate Insurance; American Express; AMSIT S.A.; Apple, Inc; Applied Materials; AT&T; Best Buy Company; BIPORIS; Bleum Inc; Capgemini Consulting; Capital One; CB Richard Ellis Ltd; China Talent Group; CINDE; Colliers Corporate Solutions; Computer Associates; Duke University, Fuqua School of Business; Ericsson; Fortis Bank /Insurance; Franklin; General Motors Europe; Genpact; Gorrissen Federspiel Kierkegaard; HP Services, Europe; HSBC; IBA Group; IBM UK Ltd.; IMS Health; InBev nv; Infosys; ING; Insigma Global Service; International Monetary Fund; Kirkland & Ellis International; Johnson Controls; Liberty Mutual; MDeC; Neusoft Corporation; Orange Business Services; PA Consulting; Palladium; PepsiCo; Philips International BV; PricewaterhouseCoopers; Procter & Gamble; PROCURiTAS Limited (UK); Qantas Airlines; Quint Wellington Redwood; SAP AG; SNC Lavalin-Profac-Nexacor; Softtek GDC Europe; Sun Microsystems; ULB – Solvay Business School; University of Salerno; Vodafone; WNS and Xceed; and more!
 


 



 

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The Exhibition Forum at The 2009 European Outsourcing Summit


The Summit’s Exhibition Forum is an integrated networking and social venue within an event that is, by design, educationally focused.  Delegates attend the Summit to gain insights and guidance and treat its exhibitors not as vendors, but as a valued part of their educational experience at the Summit.

 


THE PROGRAM


KEYNOTE SESSIONS
 

Welcome and Opening Comments and Results of IAOP’s Latest European Member Survey

Michael F. Corbett, Chairman, IAOP
One of outsourcing’s greatest visionaries, Mike Corbett, along with Professor Bent Petersen, Director of the PhD program at Copenhagen Business School, one of the largest business schools in Northern Europe, will welcome delegates and discuss how outsourcing will be instrumental in rebuilding the global economy. Highlighted will be recent results from IAOP’s latest European Member Survey on how companies are adjusting their current and future outsourcing programs in response to the global economic recession.
 

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Outsourcing and Offshoring: The Lego Story

Chresten Bruun, Senior Director, Lego Systems A/S
This session will feature a detailed discussion about how the world’s foremost creator of unique construction toys has successfully used outsourcing and offshoring

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Featured Client Vignettes

Chresten Bruun, Senior Director, Lego Systems A/S
Niels-J. Rishøj Nielsen, Development Manager, NKTFlexibles
Jacqui Gatehouse, Director, Outsourcing and Contract Management, Genmab A/S
Mike Corbett will welcome three leading European customer firms to the stage to share their stories, including triumphs and pitfalls.
 

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The Scandinavian Way of Offshoring: Does it Differ From Other Ways of Offshoring?

Arie Lewin, Professor, Duke University, Fuqua School of Business

Torben Pedersen, Professor, Center for Strategic Management & Globalization, Copenhagen Business School

An up-to-the-moment study conducted by the Duke Center for International Business Education and Research (CIBER) will provide the framework for an interactive session comparing the pattern of outsourcing in Scandinavian
firms versus the rest of Europe and the USA. 

 

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Bundled Outsourcing
Anoop Sagoo, Global Offering Lead for F&A Outsourcing, Accenture

Dr. Leslie P. Willcocks, Professor of Technology Work and Globalization, London School of Economics and Political Science

Accenture and the London School of Economics will be presenting the findings of a major new research study by Dr. Willcocks on the growing trend towards “bundled” or “multi-tower” outsourcing. 
 

 

New Outsourcing Models for a New Global Economy: A Panel Discussion

Moderated by Jules Smeets, Director Shared Services & Outsourcing, PricewaterhouseCoopers                                               

Few believe that the “new normal” coming out of the current economic slowdown will look anything like the past.  Companies increasingly are exploring new forms of ?exible sourcing.  Ideas like crowdsourcing, reverse build-operate-transfer models, and technology that creates shared “nervous systems” will integrate customer and provider operations in ways never before imagined. Hear what the leading companies are thinking about and doing as they prepare for next wave of globalization. Joining Jules will be Richard J. Sykes, sole partner, Dr. Richard Sykes; Katie Gove, founder, principal consultant, Trellis; Arno IJmker, managing partner, Quint Wellington Redwood; and René Herlaar, head of network, Vodafone Netherlands.
 

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The New Face of Globalization: A Panel Discussion

Facilitated by Jagdish Dalal, COP, Managing Director, Thought Leadership, IAOP                                    

New political, social and legal issues related to globalization will require a re-examination of all that we have learned from the industry’s Outsourcing Professional Body of Knowledge (OPBOK) — from being able to communicate the value of outsourcing internally and externally, to structuring, negotiating and renegotiating agreements that will work for the company during crisis and recovery, to setting up proper high-level governance models to ensure that all sides of the outsourcing equation — customers, vendors and advisors — are working together toward goals that will make them successful. Joining Jagdish Dalal will be Pierre-André Dubois, partner, Kirkland & Ellis International and Bill Hefley, associate teaching professor, Carnegie Mellon University. This panel of experts, each drawing their experience from a different perspective, will discuss and debate the issues.

 


Educational Track Sessions

Track One: Real World Case Studies


 

 

 

Midcourse Corrections in Outsourcing Relationships: How to Capture Additional Value Throughout the  Deal

René Herlaar, Head of Network, Vodafone Netherlands

The first years of an outsourcing contract are focused on making the deal work. But what happens half way through the deal? Expectations on what the contract has to deliver often go out of sync, the relationship is hampered by commercial discussions and both supplier and customer claim the contract is not delivering the value expected. In order to maximize the value of the contract and strengthen the relationship between supplier and buyer, the Dutch mobile operator Vodafone Netherlands and their supplier Ericsson engaged US Boston-based Vantage Partners to execute a health check on the outsourcing contract and relationship to identify what went well and what could be even better. In this case study, René Herlaar will focus on what health checks can be and what they are not; what should be assessed; the process; and tangible outcomes and lessons learned.

 

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Building Competitive Advantage through Strategic Outsourcing
Santi Ribas, Director Business Change, COLT           

Apoorva Singh, Head of Infrastructure Management Services Business in Europe, Infosys Technologies Ltd
COLT, a leading European provider of business communications, has implemented a complex transformation program to offer comprehensive managed services solutions. Based on Cloud and virtualization technologies, these services give enterprises the ability to rapidly scale IT infrastructure up or down in a secure and 24X7 available environment. To realize this, COLT has built a strategic outsourcing partnership with Infosys Technologies, a leading IT services company with strong remote management capabilities. By marrying the complementary strengths of COLT and Infosys, COLT is able to offer the entire stack of IT services within its managed services portfolio at a competitive price point and build strategic differentiation. This presentation will discuss the challenges and key takeaways around building the right outsourcing framework and relationship with the strategic partner chosen for this complex transformational program.
 

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R&D Outsourcing and New Product Development
Niels-J. Rishøj, Development Manager, NKTFlexibles
Despite the present economic recession, it is of the utmost importance that companies can maintain their critical competency, which will allow them to react when the market starts to recover. It is important to emphasize that in every challenge there will also be opportunities. For example, the implementation of a strategy with special focus on using outsourcing to support the research and development activities within a company can be the secret to staying on the winning team on a long-term basis. This presentation will present examples of such R&D-supporting outsourcing strategies within the offshore oil and gas industry.
 

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The Global Financial Crisis Impact on Outsourcing Strategies       

Jacqui Gatehouse, Director, Outsourcing and Contract Management, Genmab A/S

The financial crisis has exerted dramatic pressure on the biotechnology industry. Evaporating IPO possibilities and desperation to raise cash have changed the face of the industry, reduced spending power and affected outsourcing strategy for clinical trials of new drugs. The focus has tightened significantly on financial value — how much money can be spent, when should it be spent and how can the best value be achieved. The current situation means that biotechs need to think outside the box and apply their creativity to develop outsourcing models that fit the new environment, but for many of them the clock is ticking.


Track Two: Sustaining the Value: Crisis to Recover

 

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How to Optimize Outsourcing Value Through Advanced Tools and Technologies                             

Matthew P. Shocklee, COP, President and CEO, Global Sourcing Optimization Services and Chair, IAOP’s Outsourcing Tools & Technology Innovation Chapter

IAOP’s Tools and Technology Innovation Chapter will address how tools and technology assist in improving the value that organizations get worldwide from their outsourcing initiatives. The Chapter will share its emerging tools such as ToolsMAP and the Value Health Check Survey (VHCS), as well as select members’ experiences on how the use of advanced tools and technologies can improve outsourcing results.
 

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The Specifics of Second Generation Transitions

Roel Straetemans, Managing Director, Gitco BV
The current transition models used for offshoring IT tasks are often modeled for first generation outsourcing deals. This presentation provides insight into offshoring a second generation deal, based on a real life case. Second generation offshoring has very specific elements to it, since it involves moving business away from an incumbent vendor that might still continue to have a relationship with the customer in other areas of the multivendor landscape. Not taking these elements into account significantly increases the risk of missing transition deadlines, exceeding the transition budget and creating gaps in the knowledge transition. These elements include an impact analysis made by the incumbent vendor: what are the elements; financial consequences and consequences for the transition planning; a governance model during transition; risk management aspects; claims on intellectual property by the incumbent vendor (i.e., in tooling, documents, processes, etc.); availability of key staff during and immediately after transition; cultural differences between the incumbent vendor and the receiving vendor; differences in the delivery models between the two vendors; and other specifics to be taken into account during the knowledge transfer.
 

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Using BPO to Survive and Thrive                                                                 

Eric Selvadurai, Managing Director of Europe, WNS Global Services
Overengineering any change in business model such as BPO is a recipe for disappointment. This session will focus on the use of BPO in terms of scope, function, pace and scale in order to deliver results fast. The session will also discuss dos and don’ts relative to facilitation of the program.

 

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Enforceable Outsourcing Contracts – New Approaches to Drafting Complex Outsourcing Contracts  

Ole Horsfeldt, Partner, LL.M., Gorrissen Federspiel

Outsourcing contracts have attempted to come to terms with the ever increasing complexity of modern outsourcing. Today, outsourcing contracts for global transactions are highly detailed 100 page plus documents. Based on team experiences and studies of complex transactions we have participated in over the last 10 years, it has become clear that the modern outsourcing contract has become unmanageable for customers and that the size and complexity of the deal documentation in itself is an important contributing factor to failed contracts. This presentation will provide insights into the drafting concept of “trackability,” which is a methodology – or tool – designed to identify customer objectives; test whether such objectives (or the fulfillment thereof) can be measured through KPIs or service levels; test for enforceability an dependencies; and then develop relevant contract mechanisms and provisions that support the objectives. The presentation will take a hands-on approach and discuss a number of key and frequent customer objectives such as cost savings and efficiencies, reliable performance, flexibility, etc. and show how effective provisions can be developed and tracked through the drafting and the negotiation process.
 

Track Three: New Ideas for a New World
 

 

 

Using Outsourcing to Support the Business Strategy In the Economic Downturn and Preparing For the Upturn

Jens Nielsen, Head of Outsourcing & Analysts Nordea Bank Danmark A/S

This session explores the outsourcing and contract management mechanisms that the Nordea Group has put in place to support business strategy and capture the opportunities in the economic downturn while at the same time preparing for the upturn.
 

Outsourcing 2.0:  A Consumer Oriented Delivery Model with a Geographic Twist

Morten Munk, Managing Partner, Consul, Munk, Anderen & Feilberg
The global recession is forcing companies to fully review their delivery models. The customer, as opposed to manufacturing, is put in the center of all activities. National borders and corporate origin are becoming irrelevant and all functions, positions and divisions are subject to change. Outsourcing 2.0 is a way to adapt to the post crisis situation, where quality products are delivered to cash stripped and informed consumers by companies totally unbound by national borders and considerations. Once the current economic crisis has subsided, companies will have to compete in very different conditions than those of today. Lean production and lean consumption will meet, and, as a result, the costs will be driven down to a new level, far from the standards of today. This new operational efficiency can only be achieved by freeing the organization from socially constructed borders — internal as well as external — and by utilizing the embedded opportunities of geography and time zones in combination with a reconfiguration of the internal value chain. Join Morten Munk as he walks you through the implications of this changing economic landscape and shares his ideas concerning the new global delivery model.
 

 

The Challenge from Local to Global Development – SimCorp A/S

Jens Brinksten, CEO, SimCorp Ukraine LLC
With 20 years of experience in globalization, Jens Brinksten will share practical, hands-on knowledge of the processes of globalization — where theory and practices meet — which was the base for the establishment of SimCorp A/S’s first development unit outside of Denmark.
 
 

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How to Accelerate IT and Telecom Transformation Through Selective Outsourcing at a Global Level
Mark Wigington, Vice President – Large Projects, Orange Business Services

Large companies are looking ahead to the numerous challenges facing them in the next two to three years in IT and telecom transformation management. They must evaluate numerous technology and product pathways in this era of IT and telecom convergence, virtualization and mobility, and define coherent return on investment policies regarding the roll out of these technologies. Today’s CxOs clearly want the competitive advantages of the best solutions and innovation available as they continue to compete in the demanding global market.   As a consequence, a growing number of large enterprises are considering selective outsourcing as the most advantageous approach to achieve their IT and telecom transformation goals over the coming years.  In this session you will learn from Orange Business Services the latest trends and best practices in selective outsourcing, illustrated through customer cases.
 

 

Achieving Operational Excellence and Aligning Strategy: Benefits and Impacts of the eSourcing Capability Models – A Panel Discussion

Moderated by Dr. Bill Hefley, Associate Teaching Professor, Carnegie Mellon University

The eSourcing Capability Models — for service providers (eSCM-SP) and clients (eSCM-CL)  — help sourcing organizations manage and reduce risk and improve their capabilities across the entire sourcing lifecycle. A panel of executives from across the industry, led by Dr. Bill Hefley, share their experiences, anticipated benefits, and results to date from applying eSCM to their businesses. This panel highlights results in Europe. Marie-Noelle Gibon, director of innovation, will share the experiences at La Poste in supporting IT strategic plan objectives related to sourcing policy by implementing eSCM best practices frameworks. She will also address activities to support eSCM adoption in France (and Europe) through the French association, the A-eSCM. Infosys BPO will address their significant business results achieved and benefits realized as an eSCM-SP certified organization.

 

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