{"id":828,"date":"2007-12-11T01:00:57","date_gmt":"2007-12-11T09:00:57","guid":{"rendered":"https:\/\/systematichr.com\/?p=828"},"modified":"2007-12-11T01:02:33","modified_gmt":"2007-12-11T09:02:33","slug":"outsourcing-20","status":"publish","type":"post","link":"https:\/\/systematichr.com\/?p=828","title":{"rendered":"Outsourcing 2.0"},"content":{"rendered":"<p>Hopping on the 2.0 bandwagon, the <a href=\"http:\/\/www.outsourcing.com\" target=\"_blank\">Outsourcing Institute<\/a> put out their Outsourcing 2.0 whitepaper, much to my entertainment.<\/p>\n<blockquote><p>How do we know when we\u2019ve reached an Outsourcing 2.0 environment? Web 2.0 capabilities will have brought an entirely new mindset to the outsourcing community that will become just as contagious as the technology tools themselves. We will see that through Outsourcing 2.0 the buyers, sellers and influencers will now have access to data that in the past was difficult to obtain. That data will only get richer as more people use it because the users themselves will be considered co-developers. The long tail of market penetration will be leveraged through the existence of central platforms, aggregating and harnessing the collective wisdom of all segments of the industry.\u00a0 ((Casale, Frank.\u00a0 2007, The Outsourcing Institute.\u00a0 \u201cOutsourcing 2.0.\u00a0 The New Outsourcing and What it Means to You.\u201d))<\/p><\/blockquote>\n<p>In other words, Mr Casale can\u2019t think of a good definition for Outsourcing 2.0, but feels the need to be a 2.0 like everyone else, so he\u2019s just going to tie outsourcing to Web 2.0.\u00a0 We\u2019ll have outsourcing 2.0 when the outsourcers adopt Web 2.0.\u00a0 I find this hilarious and annoying at the same time.<\/p>\n<p>Let me give you my take.\u00a0 We don\u2019t all have to be 2.0\u2019s, but there\u2019s a good possibility that outsourcing already became a 2.0 in the 1990\u2019s when nobody knew what 2.0\u2019s were.\u00a0 Not to make this too convoluted, but the real transformation in outsourcing came when people started to realize that they could get rid of not only the payroll and benefit administrative transactions, but they could outsource broader business processes.\u00a0 Yes, you heard me right, the major shift in outsourcing happened a long time ago with HR BPO (or HRO).\u00a0 Traditional outsourcing was just the guys like ADP taking over transactions, check printing, running gross to net against a rules engine and filing the taxes.\u00a0 While not terribly complex, this was taking a major burden away from the businesses.\u00a0 When Exalt (now Hewitt) got in the business of outsourcing business processes, there was a fundamental shift in what could be outsourced and that the scope could be much broader than just the administrative transactions.<\/p>\n<p>Let me be clear on my opinion.\u00a0 There is no \u201c3.0\u201d coming around the corner any time soon.\u00a0 We\u2019ve all read the stories about HRO customers being dissatisfied and we\u2019ve heard about the high costs and lack of vendor profitability.\u00a0 If there is a transformation in the HRO space, it\u2019s not going to be a major leap or redefining.\u00a0 It will simply be a streamlining of fees and profitability, an increase in processing efficiencies, and a major increase in service delivery and customer satisfaction.\u00a0 These are not real enhancements \u2013 they should exist today.\u00a0 It\u2019s just that the industry is too immature to have figured out the optimum model yet.\u00a0 Just because they figure out the model does not mean there has been a major transformation of the industry.<\/p>\n<p>I for one, am not expecting a new outsourcing \u201cversioning.\u201d\u00a0 They have a lot of improvements to make in the current \u201cversion\u201d and I\u2019m not about to give the industry an excuse for their current problems.\u00a0 Let\u2019s hope they fix themselves soon though.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Hopping on the 2.0 bandwagon, the Outsourcing Institute put out their Outsourcing 2.0 whitepaper, much to my entertainment. How do we know when we\u2019ve reached an Outsourcing 2.0 environment? Web 2.0 capabilities will have brought an entirely new mindset to&#8230;<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_coblocks_attr":"","_coblocks_dimensions":"","_coblocks_responsive_height":"","_coblocks_accordion_ie_support":"","footnotes":""},"categories":[31,46],"tags":[],"class_list":["post-828","post","type-post","status-publish","format-standard","hentry","category-outsourcing","category-web-20"],"_links":{"self":[{"href":"https:\/\/systematichr.com\/index.php?rest_route=\/wp\/v2\/posts\/828","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/systematichr.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/systematichr.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/systematichr.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/systematichr.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=828"}],"version-history":[{"count":0,"href":"https:\/\/systematichr.com\/index.php?rest_route=\/wp\/v2\/posts\/828\/revisions"}],"wp:attachment":[{"href":"https:\/\/systematichr.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=828"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/systematichr.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=828"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/systematichr.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=828"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}