Transition Management Tutorial - By Vibhav Nuwal
Transition Management in BPO and outsourcing
Projects
Transition Management is one of the most important
roles in any organization involved in outsourcing or off-shoring. A
Transition Manager is responsible for migrating the function or the
process from the donor location or organization to the outsourcing
organization.
Because of the nature of the role, a Transition Manager needs to have
a variety of skills and competencies - she needs to be a good
communicator, as the role requires extensive interaction with the
clients; needs to have strong Project Management skills, as most
migrations are complex projects that require expert management skills;
she needs to be comfortable in working in a cross-cultural
environment, as most often, the donor teams are based overseas; needs
to have a very good understanding of the existing processes and
technologies as these play a critical role in the off-shorability of
any function.
Besides managing the day to day affairs of a migration, transition
Management is also about change management. A Transition Manager is
the face of Outsourcing to many people. To be successful, the
manager needs to facilitate the changes that outsourcing brings about
- by ensuring that the migrations are done in an effective manner, and
by demonstrating the transformational power of outsourcing.
The primary rationale to outsource or off-shore any function is to
benefit from the resultant cost reduction. The role of Transition
Management begins as soon as any company begins to consider
outsourcing. Initially, the Transition manager is generally involved
in creating the financial case for the project, and enabling the
decision to outsource.
While the cost reductions obtained, and the return on investment or
payback period differ from case to case, it is generally accepted that
outsourcing results in cost reduction of 20-50%.
Returns on any outsourcing initiative can be maximized by ensuring
that it is done as part of an overall strategy; there is adequate
investment in the project and is implemented well.
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