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As organizations outsource more critical business processes around the world, leadership challenges increase. Some 200 business executives highlighted the following challenges when aligning multiple locations and cultures, according to Accenture:
  1. Differing communications styles

  2. Differing approaches to completing tasks

  3. Varying approaches to conflict management

  4. Differing decision-making styles.
If you face similar challenges, consider applying these solutions:
  • Stay focused on results and values, not cost reduction alone. Apply what Accenture terms an “end-to-end” perspective by making sure all the parts of outsourcing relationships support your larger organizational goals.

  • Work hard to improve cross-cultural communications. Making a strong commitment to effective training with regard to cultural differences can help.

  • Concentrate on transition strategies. “Many companies complain about transition and tend to blame the service provider if it doesn’t go well,” explains Mindy Blodgett, a researcher with the Yankee Group, an IT and business analyst firm. “They want the service provider to provide transition guidance, but they don’t want it to cost more.”
—Adapted from “A Bold New Look for Global Sourcing,” Basilio Rueda and Keith Haviland, Accenture Outlook.

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