In this episode, the speakers discuss what tasks PE is outsourcing across business functions such as finance, IT, HR and customer service to create value.
According to Deloitte’s 2021 Global Shared Services and Outsourcing Survey, four key outsourcing trends include:
- Prioritization of cost reduction
- Cloud and robotic process automation (RPA) becoming “table stakes”
- A need for clients to invest in building supplier management capabilities
- Increased need for service providers to be agile
The path to successful value creation in private equity (PE) today goes beyond levers such as G&A cost-cutting, sales force effectiveness and strategic sourcing. It’s about an approach that leverages tools including automation, strategic outsourcing and advanced analytics.
Going forward, PE-owned companies of all sizes can consider outsourcing as a way to access technologies and capabilities that can lead to revenue growth opportunities, in addition to reducing costs.
Companies of all sizes may need to consider outsourcing areas that are not core value-creating activities and those where the company lags in technology or cost efficiency.
For your convenience, full text transcript of this podcast is also available. Read the transcript.
Presenters
Winna Brown
EY Americas ESG Private Equity Leader; Partner, Private Equity Client Service, Ernst & Young LLPPodcast
Episode 46
Duration 20m 33s
In this series
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