Latin America outsourcing survey
I ran across an interesting piece today on CIOinsight.com that listed 12 things you didn’t know about IT outsourcing in Latin America. The piece broke down the outsourcing sector in each of the six major players in the Latin American outsourcing market.
We’ve listed below a paraphrased version of the article, and the key things you need to know should you consider an outsourcing expenditure in Latin America.
- While over 70 percent of respondents rated personal safety in Argentina as “high” or “very high,” more than a third of respondents “disagreed” or “strongly disagree” that Argentina’s government is actively trying to create a safe business environment
- Eighty-four percent ranked Brazil’s political stability as “high” or “very high,” but again, over 40 percent of respondents think that the country is actively trying to promote a safe business climate
- About three-quarters of those surveyed ranked civil unrest and street crime as “low” or “very low” in Chile, with about the same amount of respondents ranking Chile’s political stability as “high.” This would make Chile a safe play when outsourcing to South America
- Despite recent threats from Columbia’s revolutionary guerilla group FARC, 94.3 percent of respondents rank government stability as “high” or “very high”
- There’s a fair amount of unrest in Costa Rica, so outsourcing here should be cautioned. Over 75 percent surveyed answered that petty theft and street crime are of some concern when outsourcing in the nation
- Like Costa Rica, Mexico’s civil unrest makes it an undesirable outsourcing location at the moment. However, if you do choose to outsource to Mexico, avoid the north, where most of the drug war violence is concentrated
Click here to view the full slideshow.
Pandora and IBM digitise jewellery supply chain
Pandora has overhauled its global supply chain in partnership with IBM amid an ecommerce sales boom for its hand-finished jewellery.
The company found international success offering customisable charm bracelets and other personalised jewellery though its chain of bricks and mortar retail destinations. But in 2020, as the COVID-19 outbreak forced physical stores to close, Pandora strengthened its omnichannel operations and doubled online sales.
A focus on customer experience included deploying IBM’s Sterling Order Management, increasing supply chain resiliency and safeguarding against disruption across the global value chain.
Pandora leverages IBM Sterling Order Management as the backbone it its omnichannel fulfilment, with Salesforce Commerce Cloud powering its ecommerce. Greater automation across its channels has boosted the jeweller’s sustainability credentials, IBM said, streamlining processes for more efficient delivery. It has also given in-store staff and virtual customer service representatives superior end-to-end visibility to better meet consumer needs.
Jim Cruickshank, VP of Digital Development & Retail Technology, Pandora, said the digital transformation journey has brought “digital and store technology closer together and closer to the customer”, highlighting how important the customer journey remains, even during unprecedented disruption.
"Our mission is about creating a personal experience and we've instituted massive platform changes with IBM Sterling and Salesforce to enable new digital-first capabilities that are much more individualised, localised and connected across channels and markets,” he added.
Pandora’s pivot to digital
The pandemic forced the doors closed at most of Pandora’s 2,700 retail locations. To remain competitive, it pivoted to online retail. Virtual queuing for stores and virtual product trials via augmented reality (AR) technology went someway to emulating the in-store experience and retail theatre that is the brand’s hallmark. Meanwhile digital investments in supply chain efficiency was central to delivering on consumer demand.
“Consumer behaviour has significantly shifted and will continue to evolve with businesses needing to quickly adapt to new preferences and needs,” said Kareem Yusuf, General Manager, AI Applications and Blockchain, IBM. “To address this shift, leading retailers like Pandora rely on innovation to increase their business agility by enabling and scaling sustainable supply chain operations using AI and cloud.”
Yusuf said Pandora’s success was indicative of how to remain competitive by “finding new ways to create differentiated customer experiences that protect their enterprises from disruptions to help mitigate risk and accelerate growth”.