BPO U-turn: Outsourced Procurement Seen Bucking Offshore Trend and Going Protectionist by ProQuest


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   BPO U-turn: Outsourced Procurement Seen
   Bucking Offshore Trend and Going Protectionist
     Black Book of Outsourcing finds U.S. companies                            than half of their workers employed offshore, re-
   declaring only domestic suppliers need apply for                           gardless of whether they were U.S.-headquartered,
   business process outsourcing services; public senti-                       according to Brown-Wilson.
   ment seen creeping into BPO decisions                                         Why is protectionism hitting the procurement
                                                                              outsourcing sector so hard?
     Chief financial officers and top procurement ex-                            “Procurement leaders have always been notori-
   ecutives in the United States and U.K. increasingly                        ous for having stanch watchdogs at the company
   are looking to domestic providers of procurement                           gate, and demonstrating responsible protection of
   outsourcing services, even as they seek to expand                          corporate assets is inherent in their DNA,” suggest-
   their use of business process outsourcing (BPO) to                         ed Scott Wilson, partner at Brown-Wilson. “How-
   reduce costs, according to the latest “Black Book of                       ever, national protectionism in terms of swaying
   Outsourcing” report from Brown-Wilson Group.                               decision-makers away from offshore outsourcing
     Seventy-four percent of U.S. CFOs and procure-                           is indicative of the underlying sentiments of the
   ment executives in a recent survey by Brown-                               American electorate, and it is working its way into
   Wilson said that they would have a preference for                          BPO buyer decisions.”
   domestic BPO service providers. One well-known
   American corporation went as far as to state that it                                     For more on this story, go to
   would not consider bids from vendors with more                                         http://www.sdcexec.com/10845.


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                                                             By David McClimon, ADR North America

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