Outsourcing To Offshore Service Providers - 10 Things That You Need To Know!

Author Topic: Outsourcing To Offshore Service Providers - 10 Things That You Need To Know!  (Read 2525 times)


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Offshore outsourcing has come to become a valuable business strategy for companies and organizations to cut their expenditures and at the same time enhance the quality of their processes. In fact, in this economically handicapped business environment, offshore outsourcing has come to become an indispensable strategy for businesses. Not only does it allow to run processes at a significantly lower rates, but also offshore service providers employ their professional skills to enhance the quality of the processes.

Outsourcing is also the perfect solution for handling temporary work overloads, reduce fixed costs, speed products to market, simplify distribution, provide more or better service to customers and steer ahead of the competitors.

The key to successful outsourcing is '“ Planning. Before you start your outsourcing endeavor, you need to strategize effectively and have a clear plan of action. Also you need to find reliable and professional service providing companies for the same. Here are some tips to strategize your outsourcing project.

1. Define Clear Objectives
Your outsourcing project should have a clear goal or objective. Although offshore outsourcing provides you with a range of benefits, you at your end need to be clear about what you wish to accomplish by outsourcing the work to third party service providers. Therefore, think through the scope of the project and define clear objectives that you want to achieve through it.

2. Identify the Requisite Skills & Expertise
Identify what kind of skills and what all resources would you need to complete the project that you outsource. This will guide you in choosing the most compatible service provider.

3. Draft an Outsourcing AgreementOffshore outsourcing is no different from other business alliances. Therefore, you need to adhere to certain business policies as well, first of which is creating an outsourcing agreement. An outsourcing agreement is a contract the outlines the basic roles and responsibilities of both parties, milestones for the project, ownership rights and so on. This will not only ensure that the works get done as per the plan but also prevents any future issues and differences between the clients and service providers.

4. Set Realistic Expectations
Offshore outsourcing is a profit-minting business strategy. However, don't set unrealistic objectives for your project. Instead, evaluate the various aspects of the project and set realistic time tables for the same.

5. Maintain Regular Communication
Communication is a key aspect of any offshore outsourcing project. In fact, communication is what drives the project and ensures that everything is being done properly. So, make sure that you communicate regularly with your service providers and monitor their performance and time. Don't be over-intrusive but keep yourself informed about what is happening at their end.

6. Insist on Documentation
Ask your service providers to document their work as and when they proceed with it. This will give you a recorded information about what was accomplished and when.

7. Ask for Copyrights
If you are hiring service providers to create original work for you, make sure you ask them for all copyrights in the work. You would require unrestricted license to use and modify work that has been completed for you whether or not you remain with the same vendor.

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