Tag: talent

How GBS Organizations Can Help CEOs with Cost Optimization and Future-proofing Their Talent Strategy | Blog

Global Business Services (GBS) organizations have become essential to the enterprise as these shared service centers help to optimize costs and build talent strategies for the future. Read on to learn more about the benefits GBS offers.

In today’s rapidly changing business landscape, enterprise CEOs face unprecedented organizational pressure to cut spending across technology, operations, and talent. To achieve these goals, CEOs are turning to GBS organizations for support. Designed to provide a broad range of shared services, GBS organizations can help enterprises streamline operations and resources, reduce costs, and reach needed talent, all while driving innovation.

Learn more about our latest thinking on how GBS leaders can accelerate impact for the enterprise.

Three optimization approaches

To help bring about cost optimization for enterprises, GBS leaders are adopting the following three key approaches to drive critical transformation:

  • Increasing talent model resiliency by improving and optimizing the locations mix to expand access to skilled talent – especially for niche skills – and build a solid presence in markets, creating a stronger employee value proposition
  • Optimizing near-term costs through a mix of salary structure and delivery pyramid rationalization, automation, and productivity improvements
  • Accelerating the expansion of GBS’ scope of services across operations, technology, and corporate functions to drive cost savings and reduce the cost of talent acquisition and retention in key markets

Building talent model resiliency at the right cost in the right locations

Enterprise executives are looking beyond the obvious measures to drive structural cost takeout, and we are seeing GBS leaders leverage workforce and locations strategy to aid in this pursuit. While some are reviewing the competitiveness and sustainability of existing locations, others are carefully adding newer locations that offer lucrative cost propositions and access to diverse talent pools.

With a carefully structured locations mix, enterprises are finding that they are better positioned to balance and optimize their locations portfolios and increase offshoring to optimize costs. We’ve observed that:

  • More than 50% of new GBS center setups in 2022 were concentrated in Asia Pacific (APAC)
  • Center setups in tier-2/3 locations increased from 72 (in 2021) to 103 (in 2022)
  • 65% of GBS organizations are actively evaluating adding satellite/spoke offices

With the right approach, executives can leverage a variety of locations to find the right talent for the right cost, allowing them to drive growth, optimize cost, and stay competitive in the market.

Strategies to optimize near-term costs

Inflation is putting cost takeout pressure on businesses worldwide. In fact, cost pressure was ranked as the number one business challenge in our annual key issues survey for 2023.

Enterprises expect their GBS organizations to help alleviate some of the cost pressure by reducing operations costs or by doing more with the same, or lower, budget and

resources. With costs inflating in 2022, enterprises see opportunities now to optimize costs across the business, and GBS organizations are in a position to help lead this effort.

GBS leaders can help enterprises achieve their cost-takeout goals by deploying one or more of the following cost-saving methods:

  1. Effectively optimize the cost of talent by implementing a mix of salary structure, pyramid optimization, and improved talent acquisition and retention strategies
  2. Do more with less or the same resources by incorporating process automation, productivity enhancement measures, and providing cross- and up-skilling opportunities for employees
  3. Optimize location and sourcing strategies by leveraging tier-2/3 cities, outsourcing functions, and implementing vendor rationalization processes

Expanding GBS’ scope of services to streamline operations and lower costs  

The increased need for transformation and cost optimization initiatives among global CEOs is driving enterprises across industries to leverage the GBS model to improve services delivery and cost competitiveness. Here are a few key statistics that illustrate the growth of GBS globally:

  • The in-house delivery model share of the overall sourcing mix increased by 50% in the last ten years
  • More than 250 new GBS centers were established in 2022
  • GBS organizations are expected to create more than 360,000 new jobs from 2023 – 2025 in India, and over 500,000 jobs globally
  • More than 60% of GBS organizations are adding more work, including additional scale, new processes, and new functions

A significant push is underway by enterprises to insource and outsource more work across core operations, IT, and corporate functions. The GBS model is proving to be an effective choice to improve operations and remove unnecessary costs. By enabling enterprises to reach their budget requirements without losing competitive advantage, GBS leaders are strengthening their foothold as trusted and vital partners.

To discover how GBS leaders are using these strategies for cost optimization and about our latest research, contact [email protected], [email protected], or [email protected].

Learn about the three key themes to deploy near- and medium-term strategic and operational levers to optimize cost for the enterprise.

Introducing Talent Genius™: The AI-powered Insights Platform for Workforce and Location Strategies | Blog

Making the best location and workforce decisions to optimize for risk, cost, and talent pipeline sustainability is critical in the constantly changing global services market. Having uniquely targeted, up-to-date data and insights to develop strategies and future plans are now key to success. Read on to learn about Talent Genius™, Everest Group’s new interactive, on-demand platform delivering the insights and intelligence IT and BPS organizations need today.   

Uncovering the right talent and locations amid economic uncertainty, shifts in geopolitical climates and monetary policies, inflation, attrition, and skill shortages is one of the biggest challenge Information Technology (IT) and Business Process Services (BPS) industries must overcome today.

The wrong workforce and location strategies in an unstable market could lead to suboptimal costs and waste, a lack of long-term growth and sustainability, continued challenges in acquiring and retaining talent, the inability to deliver on organization or client commitments, and overall increased risk. It is critical organizations have market visibility to build the right strategies, but they lack the data they need to make confident location and talent decisions.

That’s where Everest Group’s recently launched Talent Genius™ comes in.

This dynamic, Artificial Intelligence (AI)-powered insights platform has been purpose-built to guide IT and BPS location and workforce decisions with the most comprehensive, reliable, and current location and talent data. With Talent Genius, global IT and BPS firms can build, monitor, and optimize their location portfolio and talent hubs by staying on top of talent market trends.

With Talent Genius, business leaders can find the guidance needed to understand the latest market trends and get a step up when planning for the coming years. The interactive, on-demand platform identifies and analyzes key trends in the global labor market so leaders can quickly develop data-driven location and workforce management strategies.

Let’s take a closer look at this new solution.

How does Talent Genius work?

Everest Group is committed to creating sustained value for the IT and BPS sectors by applying practical research to specific workforce problems. Talent Genius combines Everest Group’s years of extensive location and talent insights with ongoing market research. It offers a range of data-driven insights and analytics to help global organizations understand the rapidly changing talent market and make well-informed talent and locations decisions.

Through intuitive dashboards, IT and BPS firms get a clear view into locations around the world for country and city assessments, demand hotspots and trend monitoring, salary benchmarking, language skills scalability, peer demand and hiring trends, and peer employer brand perception.

Talent Genius offers organizations the capability to be competitive, future-ready, and confident as they build their talent and location strategies with the ability to:

  • Evaluate 100-plus cities and more than 30 countries for economic, geopolitical, and competitive risk, wage inflation, attrition, and IT and BPS talent supply and demand
  • Assess talent demand as markets change by function, roles, skills, and city or country, and select from 25-plus languages to quickly identify the right markets for specific needs
  • Optimize for cost as budgets fluctuate while attracting and retaining talent by offering competitive salaries and choosing the right locations to grow
  • Detect competitive hiring opportunities and threats to determine where competitors are hiring and the functions and roles they’re hiring for
  • Understand how competitor employees perceive important factors such as compensation, benefits, and career growth and get an inside look into how employees perceive your organization compared to competitors

Using this tool, location and talent strategy leaders can easily determine where they should expand to optimize costs while improving access to talent. They also can assess if they are in the right countries and cities to maintain a robust, risk-managed portfolio.

Why you’ll get the right data and outcome with Talent Genius

As the leading research firm in the global service space, Everest Group has decades of experience partnering with global IT and BPS organizations to provide location and talent insights to enable confident decisions.

With Talent Genius, IT and BPS companies can prepare for the future with clarity and confidence. Powered by deep research and a client-first approach, Talent Genius is more than just a software platform. IT and BPS organizations can also directly engage with Everest Group analysts for further insights and support. The unique combination of on-demand data and expert insights ensures organizations have the right level of support to make the best decisions, while still providing the analyst support and guidance Everest Group is known for.

Talent Genius will become IT and BPS organizations’ competitive advantage to create a more agile, data-driven location portfolio. From workforce management strategies to global talent sourcing, Talent Genius offers the data and insights needed to make informed decisions.

“The global services market runs on the power of talent. It’s critical that organizations make the right decisions when it comes to creating and optimizing their workforce and location strategies. That is why we are excited to expand our services portfolio with this new cutting-edge location and talent intelligence tool. With Talent Genius, at the click of a button, our clients will have the highly-contextualized, expert-vetted information they need to confidentially make those decisions. With our commitment to innovation and excellence, we are certain that this new offering will provide unparalleled value to our clients. – Everest Group Vice President Sakshi Garg.

Learn more about Talent Genius or contact us to book a demo.

Nine Employee Experience Solutions Enterprises Need – Is Surviving the Recession Enough? | In the News

Macroeconomic uncertainties and the impending recession are compelling enterprises to take defensive measures such as shutting down businesses and laying off employees.

In a recent report, Everest Group examines the current economic downturn, its impact on employee expectations and experiences, and enterprise priorities in tackling these uncertainties and expectations.

Read more in Intelligent Sourcing.

UK Sees “Global Portfolio” Dividends Across the Atlantic | In the News

The CrossConnect Forum is a platform for European and United Kingdom enterprise leaders to engage partners in the Americas to overcome increasingly intense operational pressures and sustain market leadership. This first-ever forum explored a new avenue of partnership-based innovation and examined new ways to re-think and re-design the core operating systems of today’s globally-focused organizations.

Rohitashwa Aggarwal, Partner, Global Sourcing, who joined a panel at the forum, discussed how the demand for tech and business services keeps expanding in the United Kingdom and other European markets. He suggests that in spite of this growth, talent availability remains a major problem for the region.

Understanding the Effects of Mass Layoffs on the Tech Sector | In the News

The dust has mostly settled on the job cuts that kicked off 2023. With workers in the tech sector taking the biggest hits, the long-term effects on IT talent are still playing out.

“In some ways, what was happening in most of 2022 was companies outside of technology were being starved of talent because tech was throwing a lot of money at the labor pool,” said Jimit Arora, partner at Everest Group.

Read more in CIO Dive.

The Last Word: CEE’s Value Proposition Is Stronger than Ever | In the News

Rohitashwa Aggarwal, Partner at Everest Group, shared his insight in Cross Connect Forum and gave an overview of the business services sector. 

“Globally, the industry has grown by leaps and bounds over the past 30 years, reaching US$300 billion. And even in 2023, with all the macroeconomic challenges, the series of layoffs that we are seeing, there is a huge demand for talent, technology, need to outsource more from a customer experience standpoint, from operations. The growth projection looks small compared to the last few years but if compared to the last decade, it stays on point,” said Rohitashwa.

Read more in Emerging Europe

Cross Connect Forum 2023: The Case for a Diverse and Flexible Global Workforce Strategy

EVENT

Cross Connect Forum 2023: The Case for a Diverse and Flexible Global Workforce Strategy

March 8, 2023 |
11:00 AM GMT

Rohitashwa Aggarwal, Partner (Global Sourcing), Everest Group, will be a keynote power panel speaker for the Cross Connect Forum 2023: The Case for a Diverse and Flexible Global Workforce Strategy in London, England.

The resources and delivery capabilities of knowledge services partners are being scrutinized like never before. As a result, not only are geo-sourcing strategies being reconsidered, but global competitiveness is redefining the way firms leverage digital supply chains. This panel will explore how these trends will have outsized influence in a time of career and workplace disruption.

Register for the event

Where

The Loading Bay At Techspace, Shoreditch 25 Luke St, London, United Kingdom

Speaker

Rohitashwa Aggarwal
Partner, Global Sourcing
Kumar Santhosh
Aniruddha edited

How can we engage?

Please let us know how we can help you on your journey.

Contact Us

"*" indicates required fields

Please review our Privacy Notice and check the box below to consent to the use of Personal Data that you provide.