Impact of Global Sourcing on E-skills

Hanne  Shapiro

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Impact of Global Sourcing on E-skills

Danish Technological Institute has completed a major study for the European Commission, DG Enterprise and Industry, on the impact of global sourcing of ICT software and services. The analysis clearly showed that cost cutting was no longer the only reason for outsourcing - a number of other factors were at play too. Figures that had appeared in the public dialogue did not build on robust data and they were vastly exaggerated in most instances compared to the effects of automation. The analysis comprised a review of existing literature from around the world and a number of interviews and in-depth case studies.

Based on the review, interviews and case studies we developed an economic assessment model as the basis for the elaboration of three distinct future scenarios. The three scenarios aimed at providing a platform for forward-looking policy dialogue. The key findings were presented to 250 high-level industry representatives and policy makers at a European event and in Denmark together with ITEK, the Danish ICT and electronics federation for IT, telecommunications, electronics, and communication enterprises.

Some of the conclusions from various debates indicated that e-skills play a much wider role in our society than previously perceived. Therefore, e-skills are not just about reform of education and training systems and curriculum for ICT practitioners.

There was an imminent risk that the financial crisis could have led Europe astray from a strategic focus on the role of e-skills in growth, competitiveness, and innovation as expressed in the EU Commission’s communication on e-skills for the 21st Century. E-skills were at the very heart of this vision, because they were central to the efficiency in business processes, to innovation in business models as well as to innovation in products and services, in ways we never even imagined.

You can find further information in the  brochure prepared in relation to the study 

 for the European Commission in 2008.