Industry news

“If you always do what you’ve always done, you’ll always get what you’ve always got.” - Henry Ford.

This was once a saying thrown around repeatedly in the training world of old to help instigate changes in managerial or organisational behaviour. Whilst the sentiment still rings true, the reality now is that if you always do what you’ve always done in the modern world, you are going to get increasingly less.

Globalised trade and the advancement of technology has fundamentally changed the way we do business these days. The growth of technology like Service Delivery Automation (SDA), and the consequential changes on business operating models make the continuous adaptation of skills absolutely fundamental for organisations looking to prosper in the outsourcing market. The pace of change and the impact of digitalisation will only increase further, and so we can expect there will be a significant impact on employment and skills over the next ten years, at all levels and in all verticals.

The ability to learn new skills quickly becomes critical in adapting to disruptive change, and those that are not willing, or able to adapt, will face being left behind and their market share continuously eroded. In recognition of this, the NOA is developing new training and qualifications to help the more traditional businesses upskill, starting with our workshops and professional qualification in Robotic Process Automation (RPA).

So you’re a ‘disrupter’, but how well do you know Outsourcing?

Innovative, more agile companies may well be the flag-bearers of this new ecosystem, but whilst their technological capability is obvious, their maturity level in outsourcing best practice, in terms of relationship management, contract negotiation, risk & governance, is sometimes seriously lacking. This is a major risk for these newer organisations expecting to thrive in the market. With nearly 30 years of best practice to our name, in every stage of the outsourcing life cycle, the NOA can also help these organisations upskill in the areas where they most need it.

This is the context in which individuals and employers need to make decisions about their investment in skills. These decisions will be critical, with skills playing a fundamental role in employability and earnings potential in the new outsourcing ecosystem, and the ability to attract new business. Irrespective of the whether you are a traditional outsourcing provider or an emerging digital disrupter, if you are future-proof yourself and your business you need to upskill now!

Outsourcing as we know it is changing rapidly. Digitalisation, automation, the Internet of Things and Brexit are only a few topics accelerating its transformation, burning the existing outsourcing landscape to ruins. However, the next generation of sourcing and shared services is emerging from the ashes.

How to deal with these imminent and essential changes? Emerging Europe has published a piece on the new outsourcing world and the Rise of the Phoenix.

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Related news: Why you should be at the EOA Leadership Summit in Bulgaria in October

John Lewis Partnership has managed to increase savings by 50%, by restructuring its procurement department. This was part of the Director of Procurement’s plans and he managed to implement it without any loss of reactive capacity. Read the full article here.

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Related news: New NHS Procurement structures highly criticised by HCSA

Google has indicated its renewed focus on cloud computing with the acquisition of Orbitera, a company that provides an e-commerce platform for buying and selling software.

The company's platform enables independent software vendors, service providers and IT channel organisations to sell their software more flexibly, without being tied to expensive app stores. This presents Google with an opportunity to commoditise the software industry in a similar manner to the way that it has commoditised online advertising.

Read the full article by Computing here.

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Related news: SFW Ltd acquired by Civica

According to the Institute for Fiscal Studies (IFS) on this BBC report, maintaining the UK's membership of the EU's single market could add an extra 4% to its economy. The IFS also raised the concern between the difference of access and membership of the single market, as any other country in the world can have access to the EU single market, but not with the same benefits as a member would.

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Related news: UK manufacturing suffers with Brexit uncertainty

The Crown Commercial Service has published a tender for provision of devices and management services for organisations across the public sector.

The four-year contract includes a £25m lot for scanning services to turn physical records into digital files.

Read the full article by Public Technology here.

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Related news: Accenture contract with HMRC is extended

The Health Care Supplies Association (HCSA) thinks the planned changes to NHS procurement are confusing, are being made without consulting health service buyers and are likely to jeopardise current arrangements that are working well.

Read the full article by CIPS here.

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Related news: NHS Digital Programme to save millions

Amazon has unveiled its first branded cargo plane, to bolster its supply chain capacity as it expands its one and two-day ‘Prime’ delivery service, hoping to “ensure great delivery speeds for our Prime members for years to come”, according to Dave Clark, senior VP of worldwide operations at Amazon.

Read the full article by CIPS here.

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Related news: Amazon plans to test delivery drones in the UK are approved

The Competition and Markets Authority (CMA) concluded that new phone-based apps could show customers which banks may offer the best account. Banks will also have to set maximum monthly fees for unarranged overdrafts.

Read the full article by the BBC here.

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Related news: Tech jobs safe at Lloyds

Outsourcing is transforming; Digitalisation, Automation, the Internet of Things and the impact of Brexit are all converging to obliterate the existing sourcing landscape to ashes.

However, out of these ashes is emerging the next generation of sourcing and shared services; leaner more agile enterprises, new and improved skills, advancing RPA, better qualified workforces, new contracts that focus on innovation and value-adding services – plus newly emerging sourcing destinations with ever-increasing social progress indicators. In fact, across Europe sourcing activity is reaching new heights, with volumes in areas such as ITO ahead of those in the Unites States.

So how do you ensure your business is making the most of these opportunities?

The EOA Leadership Summit and Awards provides the European and global sourcing community with an outstanding opportunity to learn about both global and local sourcing industry trends, new operating models and the latest standards to help you further develop best practice. You will have access to the knowledge, innovation and best practice that is creating - and taking advantage of – the newly emerging ecosystem.

But that’s not all! We’ll be providing free training on Robotic Process Automation (RPA), the technology that is revolutionising the industry, and for those of you who are passionate about leveraging technology to effect a positive social or environmental outcome, you can take part in the first ever EOA Hackathon (#EOA1.0). We will also be launching our inaugural European Women in Outsourcing initiative over breakfast and delivering a masterclass on how to set up outsourcing operations in a European Region. In addition, you can also network with our speakers, sponsors, judges and NOA A-Listers, as well as other delegates from across Europe and beyond at our complimentary guided city tour and networking drinks events.

Immediately following the Summit, the great and the good in sourcing will gather together at the Awards ceremony to recognise and celebrate those judged to be best in class in sourcing services and technology, legal counsel and relationship management, automation and innovation. Plus, of course, we will also announce the Outsourcing Destination of the Year.

Out of the ashes is emerging the next generation of sourcing and shared services. Don’t just sit on the side lines and watch it happen, come to the EOA Leadership Summit and Awards in Sofia and be part of it!