International Association of Outsourcing Professionals’ Leadership Discusses Impact of Economy and Politics on Outsourcing
POUGHKEEPSIE, N.Y., April 8, 2009 – The economy and political landscape has not dramatically impacted outsourcing plans, the leadership of the International Association of Outsourcing Professionals (IAOP) reported to professionals across the Asia Pacific region during its first Global Tour.
Despite the fact that the economy has affected the majority of companies’ financial performance, nearly 75 percent of organizations will do the same or more outsourcing in response to the financial crisis, according to an online IAOP survey of members.
IAOP Chairman Michael Corbett shared the results of the survey completed by about 120 respondents who represent outsourcing customers in January during a seven-stop IAOP Global Tour last month.
“The economy has caused companies to push down price points and volumes but, in total, they are expanding programs,” he said. “Outsourcing customers also are looking for flexibility and risk aversion. The impact of the political environment has not been too dramatic. Companies recognize that outsourcing is one of the most important strategic tools available today to make them healthy and sustainable.”
Corbett delivered keynote addresses on “Outsourcing and The Global Economy: Learnings from the 2009 Outsourcing World Summit®” at chapter meetings in Australia, Singapore, Malaysia, Philippines, Hong Kong, Dubai and Egypt, addressing the impact of the economy and political changes, and sharing other findings from the association’s annual conference this February in California.
Key highlights of the IAOP Global Tour included:
Ø Sydney, Australia: From the Outsourcing World Summit® in Carlsbad, Calif., the IAOP Global Tour kicked off on Feb. 23 with Corbett joining the chapter meeting chaired by Zia Qureshi, chief executive and chairman of Business Catalyst International, at Tattersalls Club. The meeting also was hosted by the Australian Institute of Company Directors.
Ø Singapore: With a signing ceremony on Feb. 27, Singapore infocomm Technology Federation (SiTF) joined IAOP as an affiliate member and launched a new chapter. The agreement was signed by SiTF’s Best Sourcing Chapter (BSC) Chairman Charles Fan and Corbett. Fan said the membership was a significant milestone for the SiTF BSC Chapter and that the partnership would greatly benefit its members.
Ø Kuala Lumpur, Malaysia: Joining Corbett in a panel discussion on March 2 moderated by chapter Chairman Bobby Varanasi of Outsourcing Malaysia (OM) were David Wong, Chairman OM and PIKOM; Dato’ Badlisham Ghazali, CEO of MDeC; and Woon Tai Hai, Director of KPMG Business Advisory.
The outsourcing leaders provided their individual insights on the outsourcing industry, impact of the financial crisis and how to leverage hidden opportunities and enhance visibility of Malaysian competencies in the global marketplace. Malaysia will play host to another upcoming IAOP event: the Asia Pacific Outsourcing Summit, co-hosted with Outsourcing Malaysia/PIKOM, on May 12-13, 2009, at the Kuala Lumpur Convention Center.
Ø Manilla, Philippines: The tour continued with a meeting on March 4 with the chapter chaired by Peter Maquera, president and CEO of SPi, at the SPi Building, where participants also learned more about the IAOP Asia Pacific Outsourcing Summit.
Ø Hong Kong, China: Corbett reported to members here on March 6 that outsourcing services is the next stage in China’s economic growth and that the growth rate for outsourcing in the country will be higher than the expected global growth of 10-plus percent. He was joined at the meeting by Sidney Yuen, chairman of IAOP’s Hong Kong chapter and the director of consulting, Asia Pacific, for Convergys Corporation.
Ø Dubai: At the first meeting of this new chapter on March 9, attendees expressed strong interest in better understanding how their companies can both take advantage of and play a larger role as a hub for outsourcing in the Arab world.
Ø Cairo, Egypt: The IAOP World Tour wrapped up March 12 at the largest turnout of all the stops with some 100 people attending. Ossama Nazmi, the North Africa chapter chair and Xceed vice president of marketing and business development, introduced IAOP, the chapters and the North Africa Chapter goals.
The meeting program included a panel made up of Nazmi; Corbett; Magda El Sabae, chairman from Orascom Technology Solutions; and Sherif Kamel, dean from American University in Cairo. Discussion included: Predictions for the current economic crisis, the current position of Egypt within the outsourcing industry, risks and opportunities of outsourcing and partnership between providers, in addition to the future of outsourcing in light of the U.S. Administration led by President Obama, as well as the criteria for the local companies to stand out.
The meeting was held in collaboration with the American Chamber of Commerce in Egypt and included attendees from the largest corporations in Egypt such as: Orascom, Procter & Gamble, Xerox, Agora, Smart Villages Company and others.
About IAOP
The International Association of Outsourcing Professionals (IAOP) is the global, standard-setting organization and advocate for the outsourcing profession. With more than 100,000 members and affiliates worldwide, IAOP helps companies increase their outsourcing success rate, improve their outsourcing ROI, and expand the opportunities for outsourcing across their businesses. To learn more, visit www.outsourcingprofessional.org.
Media Contact:
Michael Forbes
IAOP Communications Manager
(845) 452-0600, ext. 118
mike.forbes@outsourcingprofessional.org