Search This site

Thursday, January 15, 2009

Paradigm Shift in Offshore Outsourcing: Effective Cost Cutting + Value Added Service

Offshore outsourcing is an economic trend widely applied these days. It created a vital concern in global economy in the aspect of foreign contracting.
Offshore outsourcing is another business alternative. It has contributed in many industries making it progress even more. More companies around the world have agreed with the effective results of offshore outsourcing. That is why the most global economies have embraced its presence.
But despite of its good performance, outsourcing in generally has become a critical issue in some countries .This is particularly common in countries which is economic crisis like US and UK. But only few are hesitant by capability of outsourcing companies in diminishing actual operational costs and quality of service it provide to clients.
Effective Cost Cutting
Generally, cost reduction is the only factor that propels companies to outsource. Most of them consider offshore outsourcing as an effective cost- cutting solution. However, let us not exaggerate the facility of offshore outsourcing to be an effective cost reduction facility. These service providers have operational expenses too.
Great aptitude and data analysis is engaged in offshore outsourcing. The parties considering offshore outsourcing an option should conduct benefit-cost analysis. It’s the first thing any businessman would do before engaging in outsourcing, especially in offshore. It is a critical point in decision making for the company.
Value Added Service
Outsourcing companies around the world find ways to innovate in strengthening their competitive advantage. Offshore outsourcing has more to offer the world. It is about value adding and providing effective solutions to attain productivity and quality. It’s one thing some company who outsource is unaware of.
Paradigm Shift
Effective Resource Utilization is actually the utmost goal of the offshore outsourcing. It means quality and value addition at a reduced cost. The shift anticipates it may produce efficient and effective results for market. Undeniably, many companies continue to outsource is a result of trust and satisfaction the services provided.
This shift in outsourcing implies that success is the result of harnessing human potentials to be effective faculties while inculcating them mindset of ownership. Thus, stability of commitment to excellence of the business is achieved.
When processes are offshored, companies not only get the advantage of low cost but also experience improvement in productivity and quality. Offshore outsourcing has to shift in paradigm to become more beneficial to its client and to the world.

blog comments powered by Disqus

  © THE DEVELOPMENT CATALYST Development Catalyst is a SEO and News Media Site Website Policy 2014

Back to TOP