On April 24-25, 2012, many of the outsourcing industry power brokers gathered in New York for a defining two-day working session called the "HfS Sourcing Blueprint Sessions."

This was the largest-ever gathering of senior outsourcing customer executives (buyers) without providers or consultants present. The sessions culminated with a "buyer/provider face off", where six of the leading service providers were invited to meet the HfS 50 Council Members to debate the key issues of the outsourcing industry.

With insight from recent research provided by HfS Research and input from 41 of the HfS 50 Executive Council members, as well as six of the leading service providers during the HfS Sourcing Blueprint Sessions, the group collectively authored this Blueprint report for the sourcing industry. It focuses on the following four major challenges facing all industry participants:

Challenge #1: Overcoming this singular focus on cost that strips the industry of its value;

Challenge #2: Leveraging outsourcing as one of a variety of vehicles to achieve business objectives;

Challenge #3: Service providers need to invest smarter in their account management teams; and

Challenge #4: Buyers and providers need to partner to foster innovations into business and IT process outcomes.

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