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The Outsourcing Institute Joins Carnegie Mellon University Consortium Dedicated to Pioneering Outsourcing Certification
for information:

Jane Siegel
Director, ITSqc
(412) 268-6764
(email)

Pittsburgh, PA , December 3, 2004 - The Outsourcing Institute is pleased to announce that it has joined an elite group of outsourcing leaders as an Affiliate Member of Carnegie Mellon University’s IT Services Qualification Center (ITsqc) Research Consortium.

As the number of outsourcing service providers grows from hundreds to thousands, it has become a real challenge for buying organizations to differentiate between seasoned experts and those organizations which are relatively new and still developing their skills and processes. Additionally, buying organizations are in need of an industry-recognized-and-developed program that will ensure best practices. Carnegie Mellon University’s sourcing Capability Model for Service Providers (eSCM-SP) directly addresses both of these challenges.

Carnegie Mellon’s IT Services Qualification Center (ITsqc) developed the eSourcing Capability Model for Service Providers (eSCM-SP) to help IT-enabled sourcing service providers, focused on ITO and BPO, appraise and improve their ability to provide high quality sourcing services. Additionally, the eSCM-SP gives service providers a way to differentiate themselves from the competition. Prospective clients can evaluate service providers based on their eSCM-SP level of certification and Practice Satisfaction Profile. The ITsqc has also embarked upon a similar program for IT-enabled sourcing clients.

As a gateway to the marketplace for the eSCM-SP, OI will serve as an effective and efficient conduit to introduce, inform and educate the marketplace about this new initiative. OI will also provide advisory services to eSCM-SP participants needing assistance with the certification process. As the final facet of their role with the Consortium, OI will collaborate with Carnegie Mellon University in research that will help to benefit the eSCM efforts and the marketplace as a whole.

Comments Frank Casale, founder and CEO of The Outsourcing Institute, “Outsourcing has completed the transformation from an infant idea to a proven method of conducting business. With billions of dollars of resources, responsibilities and risk residing outside of corporate boundaries, the stakes have become very high for both sourcing providers and buyers. Both parties want to see the outsourcing relationship honed and standardization methods put into place. The work that Dr. Siegel and her colleagues have conducted is timely and significant. The impact of the eSCM program will be felt across industries and around the globe. I cannot think of a more important initiative for OI to support at this time.”

OI joins other industry leaders in the Consortium, including Accenture, EDS, IBM Global Services, Mellon Financial Services, and Satyam Computer Services Limited, among others. Jane Siegel, PhD, Director of the ITsqc offers, “The Outsourcing Institute was a natural choice to fill this unique role within the initiative because of their industry recognition and outreach to in the outsourcing community.”

Carnegie Mellon’s revolutionary ITsqc will help to solve many long-standing unknowns in the outsourcing industry, including standardization of quality measures. “OI is helping Carnegie Mellon bring this model to market so that both clients and service providers can start benefiting immediately,” comments Mitch Goldstein, Director of Consulting Services for OI. “We will be offering training and consulting services directly to all outsourcing providers and buyers. We believe that providers and buyers alike will see the cost of providing outsourcing services decrease as a result of the ITsqc programs, and it will further encourage the professionalization of the industry. The standardization and qualification process will allow providers to offer better services and conversely, service providers will find that dealing with certified client side will ultimately result in the ability to offer services at lower price point,” continued Goldstein.

About ITSqc
The ITSqc in Carnegie Mellon's School of Computer Science has a mission to address the emerging need for capability models and qualification methods for organizations involved in the evolving Internet economy. ITSqc's Research Consortium involves leading international corporate, government and academic entities in the development of the Capability Models.

About Carnegie Mellon
Carnegie Mellon is a private research university with a distinctive mix of programs in engineering, computer science, robotics, business, public policy, fine arts, and the humanities. More than 10,000 undergraduate and graduate students receive an education characterized by its focus on creating and implementing solutions for real problems, interdisciplinary collaboration, and innovation. Carnegie Mellon has contributed to the development and use of several quality standards, such as eSCM-SP, eSCM-CL, CMMI®, SW-CMM® and People CMM®. For more information, see www.cmu.edu.

® Capability Maturity Model, Carnegie Mellon, CMM and CMMI are registered in the U.S. Patent and Trademark Office by Carnegie Mellon University.