BSI has published BS ISO 37500 Guidance on outsourcing. The business standards company calls it the first overarching ISO standard to set out the generic principles and procedures of outsourcing. It helps businesses to access a common vocabulary on which to base their communications.
The value of outsourcing has already been noted says BSI by organisations who want to increase their efficiency and reduce their costs by sending work to external third-parties. The practice which encourages mutually beneficial collaborative working relationships, has grown over the past 20 years and is estimated to generate revenues in the region of trillions of US dollars a year. Nevertheless there are challenges and hazards. Not all outsourcing deals are a success. Some can fail dramatically – and publicly – while others simply fail to perform well. BSI says that ISO 37500 can help organizations to boost business efficiency, gain better value and help avoid costly mishaps.
BS ISO 37500 can assist and support customers, service providers and third-party advisors (such as lawyers and consultants) involved in outsourcing. In particular it will help organizations to identify the business case for outsourcing, select the most appropriate customer or provider partner, transition to the new operating model and deliver value through the relationship. It is relevant to all markets such as manufacturing, retail, financial services, public sector and facilities management.
Dan Palmer Head of Market Development for Manufacturing & Services at BSI said: “Outsourcing can apply to any business, in any industry, anywhere. By providing common practices, concepts and procedures that can be used to manage the outsourcing life cycle, BS ISO 37500 will improve the understanding of everyone involved and lead to greater success.”
