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ID Number: BPOT-WW-DP-0008



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Business Process Outsourcing in the U.S. Communications Industry: A Demand Analysis
28 August 2000
 
Norbert J. Scholz  

The U.S. communications industry is one of the fastest-growing industries for business process outsourcing. A highly competitive environment and the forces of deregulation make business process outsourcing an attractive option for both established and emerging communications providers. This Perspective demonstrates that U.S. communications providers will continue to rely on business process outsourcing, but that outsourcers will have to adjust their services to new service delivery models in order to ensure continued client satisfaction. Findings are based on interviews with key decision-makers at 19 communications providers.




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Table of Contents
      Study Objectives
      Methodology
      Demographics
      Major Findings
      Dataquest's Business Process Outsourcing Model
      IT Spending on Outsourcing
      Outsourcing Practices and Trends
        Outsourcing Trends
      Business Process Outsourcing
        Business Processes Outsourced
        Business Process Outsourcing Drivers
        Obstacles to Business Process Outsourcing
        Key Decision Makers
      Contract Management
        Preferred Payment Schemes in Business Process Outsourcing
      Vendor Perceptions and Preferences
        Criteria for Choosing Business Process Outsourcing Vendors
        Service Providers' Wish List to Outsourcers
        Full Service or Best of Breed?
        Local or Global Reach?
      New Outsourcing Models: Business Process Outsourcing or IT Utility?
      Dataquest Perspective
        Dataquest Recommendations
List of Figures
Figure 1: Dataquest's Business Process Outsourcing Market Model
Figure 2: Business Process Outsourcing and Desktop Outsourcing as a Percentage of Total IT Budget
Figure 3: Which of These Services Does Your Company Currently Outsource or Have Plans to Outsource in the Next 24 Months?
Figure 4: Which Trend Will Cause the Increase of IT or Business Process Outsourcing?
Figure 5: Business Processes Outsourced
Figure 6: Outsourcing Drivers
Figure 7: Top Obstacles to Outsourcing
Figure 8: Key Decision-Makers in Business Process Outsourcing
Figure 9: Reasons for Cancellation and Renegotiation of Business Process Outsourcing and IT Outsourcing Contracts
Figure 10: How Receptive Would Your Company Be to the Following Alternative Payment Schemes?
Figure 11: What Are the Top Vendor Criteria You Consider When Choosing an Outsourcing Provider?
Figure 12: In Addition to Business Process Services, What Other Services Would You Like Your Outsourcer to Provide?
Figure 13: Which Outsourcing Arrangements Do You Prefer?
Figure 14: In Terms of the Geographic Scope of an Outsourcer's Service Offerings, Which Do You Prefer?
Figure 15: What Do You Consider the Most Attractive Characteristics of the Application Service Provider Model?



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Business Process Outsourcing




This document is published in the following Dataquest Market Insights:
 
Consulting & Solution Implementation Services Worldwide
Industry Market Strategies Worldwide




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Resource Id: 308184