IAOP: Where are the Caribbean Players?

It’s a shame we didn’t see a Caribbean presence at this week’s IAOP meeting. The Caribbean region does not currently have its own IAOP chapter, but IAOP chairman Michael Corbett told me it’s an issue that the association’s leadership is looking at. caribbeanmap0000000000000000000000000Whether the Caribbean outsource community joins the Central America group, or goes out on its own, is an open question.
One thing is for sure: The networking, spirit of collaboration and organizational best practices were what made the IAOP meeting in Guatemala so successful. I am confident the Caribbean can develop a similar community to help the islands’ outsourcers speak as one and help better define the unique value of the region. If you’re active in Caribbean outsourcing and want to get involved in potential discussions around forming a group, drop me a line: kirk@nextcoastmedia.com

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IAOP: Corbett Sees Outsourcing Staying on Course Despite Obama Rhetoric

Michael  Corbett, chairman of IAOP, offered rich, pointed remarks about the current state of global sourcing this morning at the IAOP meeting, touching on the global economic crisis and its impact on outsourcing, Peter Drucker’s prescient views on outsourcing and the recent political debate about working with offshore organizations.  Some of his key insights:

Current Economic Crisis:

  • Corbett stresses the 'one nervous system' concept in linking providers with client partners

    Corbett stresses the 'one nervous system' concept in linking providers with client partners

    The best quote of the day so far: “Is the economic crisis an opportunity to strength the core or allow outsourcing  to be swept up under  the tyranny of immediacy of getting through the current month or current quarter?”

  • Client businesses are faced with a fundamental choice on how they look at current and future outsourcing relationships. “Am I going to view the relationship as a vendor-customer relationship, leading to pressure on lower cost?  Or is this a real opportunity to redesign and rethink the relationship in order to  produce more value for everyone?
  • In Corbett’s view: Executives with a  broad sourcing vision are the ones looking to seize the   opportunity to strengthen relationships in this time of economic turmoil.
  • Very few clients have embraced outsourcing as a profession. They tend to bring in outside executives to oversee operations.  Very few clients have incentives tied to outsourcing performance by the actual people handling the functions.
  • On the political debates about outsourcing: There’s no doubt you’re going to have the rhetoric.  But at the end of the day, from a real regulation standpoint that will tie the hands of business? I don’t see that happening.

  • Recalling Drucker: Corbett referenced an article written by Peter Drucker back in 1988 which famously asked companies to “sell the mailroom.” Although not called outsourcing at the time, the premise for taking business functions and turning them over to partners who specialize in the actual function leads to good social policy as advancement is oriented toward skills and competency-based performance.

Blogging Live from the Central America IAOP Meeting – Next Week!

Caribbean CRM Central will travel west next week – stopping in to shake hands and blog live from the Central America chapter meeting of the International Association of Outsourcing Professionals, in Guatemala City.

     Guatamala City will host the IAOP's chapter meeting on April 23-24

Guatamala City will host the IAOP's chapter meeting on April 23-24

Central America near shore BPO  is thriving and we’ll show you why. Speaking at the event will be the vice president of Guatemala, Rafael Espada, IAOP chairman Michael Corbett, as well as Chris Disher, president Chris Disher & Associates, Don Althoff, former CIO of British Petroleum, Estuardo Robles, principal advisor of Roaring Jaguar, Roger Conrado, president and CEO of GVC Partners, Lori Blackman, president of DNL Global, Steve Rudderham, president of Genpact Latin America,  Mario Lopez, director with Transactel,  Nina Kawalek, CEO of RCCSP Education Alliance and David S. Anderson, CEO of The Utopia Group.

IAOP members can register directly with Amanda Corbett at: amanda.corbett [at] outsourcingprofessionals.org

A few important  sourcing facts about Guatemala (courtesy of AMR Research’s Phil  Fersht in this recent post:

  • 4.1m of its total population is “economically active”
  • 80% of its population is under 30
  • 80% are taught English from the age of 5
  • 86% literacy rate in  Guatemala City
  • University-level population of over 200,000 students
  • Robust telecom infrastructure
  • 20 years of democracy
  • 5200 feet above sea-level and 60-85 degrees all-year-round
  • Strong base of investment from multi-national corporations – for example P&G, Walmart, Scotiabank, Capgemini and ACS
  • Investing in windfarm projects with the Mexican government
  • Manufacturing represents its major industry, but increasing exports of coffee, bananas and green tomatoes are driving economic growth