Recently we have seen a trend where offshore IT service providers  are seeking ITIL certifications much like the wave of CMM that was seen earlier and is still prevalent. In the case of ITIL though it seems a more recent phenomenon since the adoption of ITIL is still limited.

Earlier fewer offshore providers provided end-to-end services since most of the offshore arrangements leaned towards off-shoring commodity processes rather than seeking shared delivery centers in the true sense. However, this trend is fast changing. As quoted by Chuck Pol, President of BT-Americas, "trends indicate that, although cost is still a major driver for outsourcing, companies are more focused now on using outsourcing to create strategic advantage and value creation for their businesses.”

The changed mind-set and desire to establish a mutually beneficial and effective relationship necessiates having a governance structure in place for outsourcing, especially in the case of off-shoring. To enable an effective and efficient transition to the off-shore provider it becomes necessary to have a governance framework that clearly outlines the service delivery repercussions. Having a governance framework in place also facilitates better alignment with the business and takes into account the cultural changes associated with offloading business processes. Another contributing factor is to account for change, particularly as the relationship extends over time.

In other words, to move to a truly integrated model of off-shoring where the services provided are aligned with business and IT provides desired value and support to the business, it is necessary to have a governance framework like ITIL in place.

References:

http://www.outsourcing-best-practices.com/2007-risks.html

http://www.cioupdate.com/budgets/article.php/3631091

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