Understanding Outsourcing

Outsourcing is the delegation of tasks or jobs from internal production to an external entity. At present standards, it has become more related to hiring the services of staff overseas where salaries are markedly low as compared to the local existing standards. It is primarily done by companies to save money, improve quality or free company resources for more important activities.

Low-cost countries such as China, India and Venezuela continue to attract companies to move things offshore and outside their own boundaries. However, outsourcing should not only be seen as a cost-cutting maneuver but also as a way to produce important strategic benefits. One thing that is slowly being recognized is that there are savings to be gained in sourcing knowledge and talent as there are cost savings in sourcing things.

The sourcing of knowledge and technology provides access to better processes or efficiencies as well as more efficient management procedures. Outsourcing opens the way to make use of specific specializations of entities that would otherwise not be available. More and more companies are starting to realize that the probability for attaining excellence is much higher if it concentrates its efforts on its core activities. Other tasks such as building of websites are better left to professionals. The good thing about the present status of building of websites is that the service can also be outsourced to offshore companies. A company can now have the benefit of a much bigger and better site for the same amount of money spent in the US for a regular site.

The forerunners of outsourcing have exhibited much competitiveness in terms of well-developed telecommunication and IT infrastructure, good business services and having a pool of qualified people. This is the very reason for the so-called India advantage. India ranks first among the most favored outsourcing destinations due to its varied inherent strengths. It has a booming IT industry which is recognized all over the world. It has the largest English speaking population after the USA and has excellent training infrastructure. India’s government is also very supportive of outsourcing activities. Not to be forgotten of course is its cost-effective manpower which caught the initial attention of companies seeking ways to reduce costs.

Outsourcing should not be construed as abdicating responsibility but rather as leveraging outside capabilities. When organizations outsource, they do so because they would want to leverage the distinct skills and resources of other organizations to the benefit of their company and their customers. The basic business philosophy underlying outsourcing is the delegation of business activities that isn’t of core competence. It is about accepting the fact that no single company can be particularly good at everything. It is about using this known fact to assess a company’s strengths and weaknesses. Once a company is clear about what it considers essential, then it will be able to focus on broader business issues while having operational details assumed by external experts. Outsourcing has long ceased to be a strategy used during bad times only as in cutting operational costs. It has also become a business strategy used during good times to focus on the company’s growth.

Building of Websites

Outsourcing has introduced teleservices to numerous organizations worldwide. It can be broadly referred to as information-based work performed at a distance from the customers. Its market can be divided into three categories namely tele-processing, software export and interactive teleservices.

The first category covers tele-processing which includes all back-office functions performed in remote information processing factories. Specific tasks such as data conversion services, remote technical staff and content management are performed by an outsourcing company. Content management would in turn include content services for websites, database maintenance and refresh, various design services and even animation. The second category includes website development and related e-business applications development while the last category provides technical support to owners of PCs and peripherals.

Website development requires a special touch that only experts in this field would know. It is not just about producing a website but ensuring proper full scale websites that incorporates web design and placement, Internet marketing and optimization to gain the right listing on search engines. A web services firm specializes in the planning, design and development of web based business-to-business sites.

Optimal website placement is crucial to the success of any website. Web services firms are expected to provide a complete, professional design that is based on a client’s specific business environment. The design and layout of text, logo and graphics is as important as the ease of navigation. Special attention is given to color, white space, type fonts, background elements and other related items as these make up the artistic elements of a website. The aim is to create a website that projects a professional image, while at the same time, pleasing to the eye. The design should also be search-engine friendly and scalable for future add-ons.

The high-quality content of websites is the leading reason for repeat visitors followed by ease of use, quickness in downloading requested information and frequent updating. One area of a corporate work load that is best outsourced is website management and maintenance handled by web professionals. A company stands to reduce costs by eliminating the need to maintain a full time website specialist, web developer, artists, designers and network administrators.

There are a lot of choices when it comes to website development providers. The important thing to consider is how well they would be able to respond to each company’s unique specifications. A company will do well with the services of a provider that guarantees proper maintenance and updating of a website for the least possible costs. Most website development firms offer affordable hourly and retainer agreement based contracts and plans.

A company may wonder what logic lies behind outsourcing the building of websites to low wage countries. Offshore outsourcing firms located in developing countries have a wide range of world-class website development services to offer at affordable prices. Generally, they are always interested in building mutually-beneficial partnerships with overseas companies. India has opened the way as it revealed its most important natural resource which is the abundance of technically skilled manpower. Cost-effective services are provided without compromising the quality. Other developing countries are making their presence felt in the industry. Common sense tells us that any company stands to gain more if it is able to access the same quality of services and products for a considerably reduced cost.

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