Having said all that, I do expect to see more functional outsourcing in the future as some of these complexities are overcome. And as SAP moves into the small business market, we will see more outsourcing of functional roles from these smaller companies that are used to buying their solutions "out of the box" and can't afford extensive customizations. From what I've said so far, it makes sense that SAP HR would be the first area to be heavily outsourced on the functional side. Companies are used to outsourcing their HR functions, and core HR processes like payroll are hardly a key to a company's competitive advantage. I think it's also possible that some "vanilla" financial areas will be outsourced more frequently, but here we have the specter of Sarbanes-Oxley and other strict reporting requirements to consider. In terms of other functional areas, I can't foresee a situation where companies outsource their core manufacturing processes. Therefore, I expect to continue to see most of the outsourcing take place on the technical side. But that doesn't mean that all SAP consultants, technical and functional, should take outsourcing lightly. Success for an SAP consultant means staying on your toes and keeping your skills sharp. That was true before outsourcing took off and it's certainly true now.
Dig Deeper on SAP outsourcing and implementation partners
Related Q&A from Jon Reed
I'm currently a Microsoft Trainer and an Desktop Support Technician looking for a new career path. I'm looking at SAP for it's good rates of pay as ... Continue Reading
I have seven years of IT experience and 4 years in SAP Portal (java, WebDynpro, iviews). Now I would like to update my skill set with another SAP ... Continue Reading
I am an SAP systems analyst at a major insurance company in the Chicago area. I have been working with the SAP FS-CD (commissions and disbursements) ... Continue Reading
Have a question for an expert?
Please add a title for your question
Get answers from a TechTarget expert on whatever's puzzling you.