Outsourcing and Offshoring - Our Changing World of Work

Despite promises made by politicians of all stripes from the developing nations to “preserve jobs”, it would seem that OUTSOURCING is here to stay, and a fact of working life that we need to get used to. (For those interested to learn more, William Bridges “Jobshifts” is an EXCELLENT reference on this topic. Also most of Tom Peter’s work)

Another perhaps related area of particular concern is the apparent “over-capacity” in many of our traditional industries, including not only automobiles and aircraft, but also telecommunications, construction, software and hardware development. This can only result in wrenching change, as consolidation and the inevitable retrenchment of the workforce occurs. (“Death of Demand” by Tom Osenton)

Research seems to indicate that in the very near future, most of us will not be full time workers, but will be working more or less on a part time basis, not at all unlike those in the Trade Unions of the 50’-60’s. (“The Future of Work” by Thomas W. Malone) But instead of being local in nature, it is not unreasonable to predict much the same model will be played out on a global stage.

As this “Globalization” of the workplace occurs, it is going to require an “efficient marketplace” where those looking to outsource work can meet up with those offering to do the outsourcing. This opens up some interesting opportunities for the professional organizations representing white collar occupations to provide new and more meaningful services.

One of the more successful models we can look to is the highly successful Dodge Reports (McGraw Hill) http://www.construction.com. To explain briefly, for over 30 years, McGraw Hill has published a listing of all construction projects from individual houses to mega-projects that are in various stages of development. (Conceptual, Planning, Bidding, Construction) The subscriber (member) of the network, has the option of creating a profile of the type, size, geographic location, stage and trade specialty. The subscriber is automatically notified by email of a pending project, and the appropriate contact information should he/she desire to obtain more information. As we “Go Global” a service such as that offered by the Dodge Report for Construction is starting to have appeal for Project Managers as well. The question is who is best positioned to offer that service? I for one would think it would make an ideal service to be offered by forward thinking and progressive professional organizations.

Another area of challenge is how to provide services normally associated with being a full time, permanent “employee”, in a world dominated by part-time, project based work? Again, looking to the Trade Unions as possible examples, health insurance, retirement benefits, socialization opportunities and training are all services that a professional organization could offer to the members, and at the same time, take this burden OFF the company and governments.

On the negative side, IF the professional organizations do accept this role, we need to be careful that the less desirable aspects of the trade unions are not repeated. This includes restraint of trade, “turf wars” and proliferation of mediocrity by relying on seniority rather than merit in the acceptance, promotion and professional development of members.

With the world undoubtedly changing, and professional organizations seeking better and more meaningful benefits to offer their members, looking to the construction industry for some clues may not be a bad idea. As one of our “core beliefs” as project managers is to NOT reinvent the wheel, we need to be ever vigilant as the realities of living and working in the “global village” become apparent to us. Rather than be threatened by this brave new world, and try to take refuge through government protection, why not embrace the change and see it as an opportunity rather than a threat?

To those professional organizations representing project management, here is an opportunity to provide meaningful services without competing against members or alienating one class of member from another.

Another example of new and innovative ways professional organizations can help members is evidenced by Elance (www.elance.com) or Linked In (www.linkedin.com) These “for profit” web sites have formed with the expressed purpose to help establish networks of professionals with a common interest. While the phenomena of linking like minded people together is certainly nothing new, the fact it is being done now for purpose of finding or bidding for work is something a bit different from your more traditional Monster job postings.

Whether these “virtual organizations” will end up looking a lot or not so much like the Trade Unions of the 50’s and 60’s is conjecture, but as a global entrepreneur, the winds of change are upon us, and the ability to network quickly, efficiently and effectively in response to outsourced project work is presenting interesting opportunities as well as challenges.

The organization that recognizes and anticipate those changes and can capitalize to meet the needs of their member constituencies will be well positioned, for the ability to “create the marketplace” seems to be a profitable service to be providing. Can you imagine the “Ebay of Project Management” or the “Ebay of Project Management Professional Services”? The first step in creating the future is to envision it…….

Conference Board of Canada
Third Annual Business Process Outsourcing Conference:
Realizing Business Value in Canada and Offshore

New Conference Board of Canada Research on Offshoring International Experts Chart a Course to Success at Business Process Outsourcing and Offshoring ConferenceMonday, September 27, and Tuesday, September 28, 2004 Doubletree International Plaza Hotel Toronto Airport, Toronto

Whether your goal is reducing cost, improving performance and quality, or focusing your resources on the things you do best, business process outsourcing (BPO) and offshoring can deliver real business value. To help gain a competitive edge from the opportunities they present, organizations worldwide are turning to the new concepts and practices. Learn about them at an event with an international speaker lineup that includes experts from the United States, the United Kingdom, Germany and Canada. [More]

Editor's Note: The Conference Board Webmaster has informed us that the Report "Offshoring: Concern or Opportunity" will be available for download from the Conference Board web in November 2004.

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