Thursday, January 26, 2006

Careful planning is must in Offshore Outsourcing

In the process of Offshore Outsourcing careful planning is the most important thing which is required for the success of the overall process. It is true that lots of benefits are associated with it but at the same time lots of risks are also there in the process. The main reason to adopt the overseas services is the overall cost advantage of the project. Many countries are there which are providing the same services with the lower cost which you might find with the higher price rate from the local companies. So the process is now taking more and more places in almost all the industries. Still most important thing in Offshore Outsourcing is careful planning.

As more and more Offshore Outsourcing is coming in to picture frauds are also increasing in the market. So to avoid such issues there are lots of things which are to be planned very carefully for the companies who want to gain the advantage of these overseas services. It will definitely help them in securing the overall project. As mentioned above the process is taking place to cut the cost of the project as well as to improve the productivity. There might be some kind of hike up in the overseas investment but in might be possible that the story couldn’t be same about the success of the process. There are lots of pitfalls which are to be taken care off by the companies who want to make a successful deal in Offshore Outsourcing. Some of the issues are…

Organizational readiness

Productivity

Communication

Culture

Cost

Offshore Outsourcing

The company should have the clear cut idea about what to be outsourced and what not to be. There are some basic things regarding the company which should be kept in-house. Once it is decided what is not to be outsourced, company should put all other things on the desk for the Offshore Development purpose. It is also important to define the limits that up to what extant the company wants to take the advantage for the Offshore Outsourcing services.

While starting the overall process of Offshore Outsourcing it is important to analyze the overall costs of the project. Additional costs like traveling, training, communication, and many more should also be taken under the consideration while the overall calculation of the project cost. Cost should also be considered and examined at different stages of the overall project. It is fact that the expectation of profit in the early stages of the Offshore Outsourcing process could be a mistake. It is also important to be realistic about the productivity levels offered by the service provider. It is not always possible that the productivity level of the service provider will match the level of the company also. So in the initial stages keep yourself prepared for some lower productivity or the improper result. If all these and many more aspects are not taken care off than the additional cost or the poor productivity may happen in the deal of the Offshore Outsourcing.

In short one should consider all the aspects while entering into the Offshore Outsourcing deals. He also should be prepare for the worst possible result if something goes wrong. Still careful planning may help company to reduce the overall risks of the project.