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Outsourcing 'relies on an effective partnership between companies'

3 July 2012

Successful outsourcing relationships should establish an equal and open relationship between the companies involved, according to an expert.

Charles Stoten, business development manager at back office management support provider Rushbrook and Rathbone, said it is vital that businesses ensure they view their dealings with their external provider as a partnership, rather than an adversarial relationship.

He said: "It is up to the company being contracted to mirror the ethos and beliefs of the company they are being employed by, in order to work together and appear integrated rather than an external service."

As such, companies that wish to outsource a function should ensure they properly research any potential partners, seek out testimonials and thrash out a detailed service-level agreement.

This will allow them to reap the benefits of outsourcing in future, most notably the ability to focus on core operations and thereby enhance their growth prospects.

Earlier this year, a report from Everest Group highlighted the growing level of interest in procurement outsourcing, revealing that a record amount of contract agreements and extensions were finalised in 2011.

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Categories: Functional Practices, Program & Project Management

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