London, Edinburgh United Kingdom (PressExposure) January 19, 2012 -- The Financial Services (FS) industry continues to grapple with the impact of the economic crisis. In North America, the industry has witnessed a decline in both ITO and BPO outsourcing from 2008-10. In contrast, in the EMEA and Asia Pacific regions, overall outsourcing activities have continued to grow apace. However when you look closer at the North American figures it is apparent that deal volumes have held up indicating that more smaller deals are being done. This does not mean that the deals that are being done lack any ambition but merely that the smaller mid-size banks are now following what the larger US based Global players have already done. Europe's growth is coming from a wave of outsourcing of financial services specific functions while Asia is being picking up its pace on the large IT type deals, particularly in Australia.
So how are Financial Services companies changing their approach to outsourcing and offshoring to respond to these challenges? And what will the major trends be over the coming years? This second edition of Elix-IRR's report on Outsourcing Trends in the Financial Services Industry examines the key outsourcing trends within the different regions and outsourcing domains.
Service Oriented Operating Models
We examine the drivers and the operating models employed and observe that many of the mid tier or National financial services companies are looking at the best of breed service providers as 'role models' for their new service oriented operating models. The leaders are seeking to use this expertise to either build their own 'synthetic' service companies (whether as a separate company, joint venture or internal division) to leverage the service management, strategic supplier, architecture and change benefits that these well established models deliver.
Emerging Global Locations
In particular, this new report highlights how FS companies are now increasingly turning towards outsourcing as a means to leverage their vendor's capabilities beyond traditional labour cost arbitrage to help deliver process optimisation and innovation. Additionally, through our experience of working in South Africa, the report contains a special focus section on our looking at Africa as an upcoming destination for captive and outsourced BPO delivery centres.
To learn more and download the full report click here: http://www.elix-irr.com/research-and-commentary/industry-reports/