HR, Finance, and Accounting Business Functions to be Outsourcing Together

Here is one to pay attention to. I ran an article earlier this week saying that corporate headquarters could be headed abroad. Here is a sign of this movement.

Companies are outsourcing business processes on an application-by-application basis, for the moment, but as they grow more used to the thought of outsourcing their back-office operations, that is likely to change.

As BPO becomes more mainstream, companies will outsource processes that traditionally have not been linked -- such as human resources, and finance and accounting, says a new report by IDC. "Over the next three to five years, we are forecasting that the outsourced transaction-processing and administration services supporting HR and F&A will become more closely aligned and will, in fact, ultimately converge," says Marc Pramuk, program manager for IDC's HR management and staffing services research. Here to read more.