"Ruralsourcing" is the new outsourcing.
Forget India, outsource to Arkansas -- As the national unemployment rate hovers near 10%, some companies are starting to eye job-hungry areas of the country as prime candidates for the kind of outsourced work that once would have gone overseas. Dubbed "ruralsourcing," "rural outsourcing" and "onshoring," the practice relies on two simple premises: Smaller towns need jobs, and they offer a cheaper cost of living than urban centers. So businesses that outsource work to these areas can expect to pay less -- rates are often as much as 25% to 50% lower -- than if they were hiring urbanites with comparable skills.
Perhaps outsourcing will become a trend of the past?
But if you do still want to outsource...do it right.
Outsourcing without Compromising Total Involvement and Control -- Information technology and customer service often are outsourced as strategic partnerships, but the distinction between outsourcing and forming a strategic partnership can be opaque depending on how the buyer organization defines its core competencies. Regardless, whether it is called outsourcing or a strategic partnership, the buyer organization is using outside resources to perform activities traditionally handled by internal staff with internal resources.
Look for an upcoming Spend Matters Report that touches on this in the next week or so. There might even be a connected webinar in the works as well!
Emptoris adds some new bigwigs.
Emptoris Expands Market-Leading Services Procurement Team -- Emptoris, Inc., the provider of the world's most widely-used services procurement solution, today announced the expansion of the company's services procurement team with the appointment of four new executives. The appointments are the latest investment by Emptoris in its services procurement team and technology, as the company expands to help its customers meet the challenges and opportunities associated with the growing use of outsourced contingent and professional services.
And the wheels keep a' turnin'.
Risk Aversion Keeps Economy in Slow Lane -- The Federal Reserve has put its foot on the gas for the past two years. But the wheels that drive the economy are still stuck in the mud. Further proof of this is expected Thursday with the Fed's weekly release of figures on the nation's money supply, whose growth is likely to remain anemic. That doesn't bode well for the economy's rebound prospects in the second half, especially in terms of job growth, even if it isn't necessarily heralding a much-feared double dip.