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Ditching the term “outsourcing” is the hot topic during all the industry summits lately.
Most of the industry thinks it’s quite easy “Let’s just call it something else” and all you have to do is figuring out a new and amazing mix of super savvy words that will keep the customers in awe.
Frankly the buyers would rather stay with the current naming terminology, be it BPO, Outsourcing, ITO. Customers just don’t want to change something that works for them.
Providers on the other hand just want to swap out “outsourcing” for “services” since it doesn’t have the negative “sound” of the former (sometimes our feeble human mind interprets lower cost with lower quality). The term Global Business Services is gaining quite the following from mainly management consultants but the term would be used for all forms of sourcing services.
To be fair the outsourcing industry has a lot of work to do before it can re-brand, after the hype with ditching the “O” word dies down most higher ups will notice that “we’re starting to believe in our own shenanigans”.
The most vocal point is that people are connecting “outsourcing” with “off-shoring” but vast majority of ITO/BPO are dependent on offshore work force. The whole industry needs to stop and say “Hey, maybe lets stop pretending and use the term offshore outsourcing” (rally the angry mob and ready those pitchforks!), use the resources to expand the industry instead of wasting them on “make believe” to sleep better at night.
Everyone wants non-linear growth, value creation and innovation. But in order to get there we need to tackle all the current problems the industry as a whole is facing.
At this time, re-branding is a futile – changing how the industry is perceived instead of adding real business value. The customers know the business value the whole outsourcing industry provides, there simply is no need to change just for the sake if image. Since truth tends to be brutal; it’s like putting make up on a dead horse.