Present and future of outsourcing and business services in new EU member states

• Journal: Global Academic Society Journal: Social Science Insight, Vol. 1, No. 1, year 2008, pp. 31-47.
• Author(s): Ivana Holubcová, Valeria Michalová
• Category: Social Science Insight III
• Keywords: services, business services, outsourcing, new EU members, Slovakia, off shoring, A.T. Kearney Global Services Location Index, trends of outsourcing

Abstract

The paper is focused on the business services and outsourcing trend. As a start it is important to clarify terms such as business services, outsourcing and types of outsourcing. There are defined several reasons and benefits flowing from outsourcing. The main elements relevant in the decision of firms to outsource have a different level of significance in each company. If a company wants to outsource part of its activities to any other country, it has to decide which activities and where to outsource.
Authors of the paper present situation of off shoring in the second part of the paper. There is considerable position of new EU members including Slovakia as well. A.T. Kearney Global Services Location Index is used to indicate the most attractive countries to outsource. Some current trends in outsourcing are discussed in the paper too.