Traditional
outsourcing
In the traditional outsourcing an entire business
process is moved offshore in order to leverage
the expertise and cost benefits offered by the
outsourcing partner. This model works well for
routine, non-core business processes. The outsourcing
company takes complete responsibility for carrying
out the business process. The company makes quality
measurements on process outcomes, but does not
directly manage the process.
Co-Managed Outsourcing
Co-managed outsourcing follows the traditional
outsourcing model; the only difference is that
a manager from the customer organization is located
at the offshore center. This approach provides
an added level of confidence because of the presence
of an experienced company manager, while it takes
full advantage of the offshore partner's knowledge
of local laws and culture.
Joint Venture
In this engagement model, the customer organization
and offshore supplier set up a joint venture entity
that will predominantly service the customer's
business. The offshore supplier brings the local
expertise and service skills while the customer
brings its knowledge of the existing business
function while maintaining greater management
control.
Assisted Build Out
The Assisted Build Out model works well for
organizations that require assistance with specific
processes associated with captive operations.
Some of the processes include recruitment, training
or quality initiatives.
Reserved Capacity
The reserved capacity model, primarily meant
for captive operations enables the purchase of
enough outsourced capability, in terms of staff
and infrastructure, to perform a certain amount
of work. This capacity is kept in place, regardless
of the workload. When this option is employed,
the captive center does not have to adjust staffing
to meet workload demands - thus avoiding the expenses
associated with constant staffing readjustments.
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