With a regional GDP predicted to grow at least 2.5% per year over the next 10-15 years, Latin America makes up an enticing emerging market that will soon outpace larger, more established ones. According to Americas Market Intelligence, Latin American e-commerce revenues reached $109 billion last year. The e-commerce market is already substantial, with Colombia and Argentina making up two of the top three fastest-growing e-commerce markets in the world.
How did you get into this field – was it purposeful or by accident?
Many US companies have turned to outsourcing their software development to get quality software that supports innovation, generates revenue, and grows their business while benefitting the US economy. However, current US political discussions raise concerns about offshored jobs.
Rick Sturge is EVP Business Development at Firstsource Solutions, with over two decades' experience in outsourcing and business transformation. We turned to Rick for the latest in our Life Lessons series - and received lessons aplenty...
What has been the single most significant development to impact your profession or area of business during your career, and why?
There’s a new twist on March Madness, at least in the United Kingdom's IT services world, as the UK has officially triggered Article 50 of the Lisbon Treaty advancing Britain’s separation from the European Union. This blows open the future of the EU and, among the many other oft-discussed prognostications, challenges the whole basis of IT outsourcing services delivered between the UK and the EU.
Ever since the 2016 elections, America’s outsourced manufacturing has consistently been front-page news. Now news stories are shifting towards the larger world of foreign imports, rather than just outsourcing. That means new policies and taxes that will impact, well, just about everything! That means all consumer goods, cars, electronics and a lot more. But what about... cartoons? Yeah… what about the Saturday morning ghetto, Hanna-Barbera, The Simpsons, and the Cartoon Network?
Over the last two decades I have had the opportunity to work with some of the largest (as well as mid-sized) enterprises who had outsourced their IT work to offshore based teams. The offshore teams themselves were either part of service providers who were domestic companies out of North America/Europe, or part of providers who were headquartered out of India (with largely a sales presence in North America/Europe).
Little more than a week into his presidency, and Donald Trump has already taken plenty of steps to ensure that anyone hoping or fearing that his more aggressively populist pre-election promises were merely vote-summoning rallying cries that would be forgotten were he to be elected will have their doubts dispelled.
For years, the outsourcing world has been buzzing about reshoring (or "backshoring"), taking the jobs we sent offshore years ago and bringing them back to the US and Europe. Low wages, cheap property, and favourable taxes made offshore manufacturing very attractive. But in recent years property values rose, staff turnover increased, and wages just keep heading up. Despite weakening economics, offshore still made sense. Until today!
Many people ask themselves if price should be the most important factor in the process of selecting an IT service provider. Is the cheapest option always the best one? It might be true, but there are some conditions. In this article, you will learn why many companies have ditched outsourcing for nearshoring.
From deep roots to modern outsourcing
I visited Cape Town and Durban recently as a guest of BPESA (Business Process Enabling South Africa) and attended the South Africa BPM Summit 2016. The summit featured local business leaders, industry influencers, and politicians eager to create jobs in South Africa by riding the wave of business process outsourcing (BPO).