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Can Big Blue Succeed In BPO?
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******************************** Can Big Blue Succeed In BPO? http://knowledge.wharton.upenn.edu/index.cfm?fa=viewfeature&id=1083 After decades of specializing as a computer manufacturer and provider of computer-related services, Big Blue in the past year or two has been heading into some not-terribly-technical fields. Today's IBM processes thousands of insurance claims, ensures that Procter & Gamble employees get paid, and takes charge of repairing televisions and CD players sold by Philips Consumer Electronics. This is part of a broader shift among traditional information technology companies to get into what's often called business process outsourcing (BPO), a fertile market that is expected to grow from about $405 billion last year to $682.5 billion in 2008. Does IBM's strategy - as revealed in part by its acquisition of India's Daksh earlier this year - make sense? According to experts at Wharton and elsewhere, the going will hardly be easy.
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