The boom in sending UK back-office jobs abroad has severely stretched employers in offshoring destinations, an expert said last week.
Nikki Flanders, business values partner at energy giant Centrica, said the rapid growth in offshoring had damaged the sector’s attractiveness. She told delegates at a National Outsourcing Association (NOA) conference that a lack of management skills was a major drawback in sending jobs overseas.
“We have more than 3,000 people in India, and there is definitely a sense of false expectations among them in terms of career progression,” Flanders said. “People have been promoted very quickly and there is a lack of emotional intelligence and ability to inspire teams.”
New nations are ready to capitalise on the falling appeal of traditional low-cost countries such as India and China.
NOA offshoring director Mark Kobayashi-Hillary said: “The offshoring pie is growing, and how it is carved up is changing.”
Vietnam has been tipped to be the most desirable destination for outsourced services by 2012 by outsourcing provider Harvey Nash. Meanwhile, a South African delegation arrived in London last week to promote the country as an offshoring destination. The officials said new investment in infrastructure would allow the country to compete with India for UK back-office jobs.