[9YearLurker]

Global Services is IBM’s business now and they are struggling to renew their major contracts because their offshore competitors are now viable on that scale and can usually deliver high customer satisfaction, so IBM can’t renew their contracts at their current pricing structures and they have to find savings in their delivery.

Whether they can successfully reinvent themselves yet again and in that way is still to be seen, but I think the inefficient layers of administrative overhead and effective management of offshore delivery are more of issue than their shifting to a higher ratio of offshore labor.

[tanknetter]

Global Services is IBM’s business now and they are struggling to renew their major contracts because their offshore competitors are now viable on that scale and can usually deliver high customer satisfaction, so IBM can’t renew their contracts at their current pricing structures and they have to find savings in their delivery.

In IBM's defense, they can always make a good buck - one that usually requires a US citizen-based workforce - off the Government's ineptitude.

[dljordan]

“Global Services is IBM’s business now and they are struggling to renew their major contracts because their offshore competitors are now viable on that scale and can usually deliver high customer satisfaction, so IBM can’t renew their contracts at their current pricing structures and they have to find savings in their delivery.”

They just lost some major contracts due to unresponsiveness and poor service. They shifted the customers call centers offshore and they were getting huge complaints not to mention they cut staff until they couldn't keep up with the work.