Tuesday, October 25, 2005


Offshore outsourcing is the practice of hiring an external organization to perform some or all business functions in a country other than the one where the product will be sold or consumed. The biggest advantage that can be derived from Offshore Outsourcing is drastic cut in costs while simultaneously retaining the quality. The criteria generally considered for a job to be offshore-able is:
•The job does not require direct customer interaction;
•the job can be telework;
•The work has a high information content;
•The work is easy to set up;
•There is a high wage difference between the original and offshore countries;
•The work is repeatable.
Benefits of Outsourcing
Diminish outlay, free up assets
Shun capital expenditure
Perk up effectiveness
Divest non-core functions (menial jobs like data entry, telecalling, etc.)
Get admittance to specific expert skills
Accumulate on manpower and training costs
Trim down operating overheads
institute lasting, tactical associations with outstanding service providers.
Divide and spread your risks
Evade the charge of chasing technology
Control the supplier’s far-reaching investments in technology, methodologies and HR
Gain from the source’s proficiency in resolving problems for a multiplicity of clients with like necessities.
Acquire needed project management and execution consulting expertise, along with access to best practices and verified methodologies
Keep pace and minimize the impact of rapid changes in applications and standards
Reduce the overall IT management burden while retaining control of strategic decision making. Diminish the peril of technological obsolescence and increase efficiency by consolidating and centralizing purpose
Alacrity to deploy technology solutions
By bumping up your business with selective skills or professionals in remote locations, technology solutions are implemented faster.
You grasp your benefits earlier.
Primary reason for choosing offshore option
–expenses diminution: 53%
–HR limitation: 22%
–Time to market: 16%
–Particular skill know-how: 7%
–Others: 2%

The article sponsored by A-1 Technology Inc, dealing in offshore outsourcing and offshore software development.