Outsourcing stunted by cross-cultural misunderstandings
In a study of 200 business executives in the US, global management company Accenture found that two thirds of respondents had experienced miscommunication issues within their outsourcing operations.
Among the companies in the US that offer cross-cultural training, however, this figure was marginally lower at 60 per cent.
Accenture questioned the executives on the main factors causing problems in the outsourcing relationship and the vast majority pointed to different communication styles between onshore and offshore workers.
Around half also cited different approaches to completing tasks while a significant number had encountered different attitudes towards conflict and decision-making.
Kris Wadia, a senior executive with Accenture, said: "The soft issues, particularly cross-cultural communication, will continue to present the main challenges to realising global sourcing’s full potential for the foreseeable future."
While offshore outsourcing remains a popular strategy with large corporations, a growing number of small and medium-sized businesses are instead choosing to outsource IT support and other business processes to onshore providers.
© Adfero Ltd
Among the companies in the US that offer cross-cultural training, however, this figure was marginally lower at 60 per cent.
Accenture questioned the executives on the main factors causing problems in the outsourcing relationship and the vast majority pointed to different communication styles between onshore and offshore workers.
Around half also cited different approaches to completing tasks while a significant number had encountered different attitudes towards conflict and decision-making.
Kris Wadia, a senior executive with Accenture, said: "The soft issues, particularly cross-cultural communication, will continue to present the main challenges to realising global sourcing’s full potential for the foreseeable future."
While offshore outsourcing remains a popular strategy with large corporations, a growing number of small and medium-sized businesses are instead choosing to outsource IT support and other business processes to onshore providers.
© Adfero Ltd