Monday, July 30, 2012

Pros and Cons of Outsourcing Offshore

If you have called a major company?s customer service lately, than you know that many companies from the United States have been turning to outsourcing as a way to cut the cost of doing business. Offshore Company Experts report record numbers of businesses choosing to outsource internationally. If you are wondering about outsourcing and thinking that it may be a good option for your company, than there are many aspects to consider.

The Pros Of Outsourcing

One of the biggest pros of outsourcing is the cost. The cost of outsourcing your customer service, marketing, software or database projects can be half or even 2/3 of what you would spend for the same service in the US. You also don?t have to pay the employment taxes, training or facilities costs associated with conducting these operations stateside.

Another major advantage is that many outsourcing countries have college-educated populations. The Philippines for example, 83% of the population speaks English and 47.9% of the population has attained a Bachelor degree or higher. Other countries including India, China, and Pakistan offer the same benefits at significant cost savings to your business.

The Cons of Outsourcing

One of the biggest cons that businesses report is the loss of control. Many executives initially find it very difficult to release control of their customer service, marketing, or other services to managers in remote locations. Once the lines of communications between offshore managers and executives are well established, many businesses are very pleased with the business relationship, but the initial transition is often a difficult one.

The time difference is another issue that is often reported as a struggle. For example, if it is 11pm on Sunday in New York, it is 8 am on Monday in India. This means if you are outsourcing to India, you have to be very aware of the time difference and be willing to conduct business at unusual hours.

Making a Decision

Talking to Offshore Company Experts is a great place to start when figuring out if outsourcing is right for you. There are many pros and cons to weigh and the answer is different for every company. Talk to an expert in order to figure out if outsourcing internationally is right for you.

Source: http://cronkgames.com/pros-and-cons-of-outsourcing-offshore/

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