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As the debates continue on the merits and ethics of getting work done for lower wages than those of local counterparts. But meanwhile, the practice of offshoring has not only become more widespread, it has also begun to grow.
Call it Offshoring the overall view is evolving from the relatively simple idea of moving commodity work from the U.S. to other countries with the hope of reaping cost savings. These include putting variable staffing capacity, freeing internal resources, finding the best talent, increasing speed to market and support.
In the process, offshoring has become a success. In the initial days, only very few companies would dare to send highly sophisticated work to overseas service providers. At this stage, there is less mystery, and the benefits and pain points are better known. This enables companies with some experience to approach offshoring as part of a broader strategic sourcing strategy rather than in a tactical, one-off way.
With budgets coming down and requirements growing to improve quality and deadlines, theres a lot of pressure on IT management to really rethink how they source for technology projects."
It reached the point, where clients feel that it does not matter if the people come from Chennai, Shanghai, Poland or the Ukraine thats irrelevant. As long as its a high-performance work team that gets the job done at a price that is affordable to all. Client believes that it the job of the service provider where ever it is based -- to provide him with the best and the brightest offshore.
Another term for OffshoringIndeed, name like global sourcing and strategic sourcing are starting to find its way to substitute the term Offshoring. And now offshoring is no longer all about cost saving. For instance, clients occasionally requested that his outsource provider assign specific developers from other countries to a given project because hes gotten to know and respect their work on other projects.
These are the companies, which came up through the ranks and ended up being real stars with functional experience. A decade ago, this would have never happened because it took time for them to obtain the needed knowledge and make headway. This has made the clients to move beyond the cost-only factor when selecting services provider.
It reflects a change of approach from sourcing as a tactical commodity to a much more leveraged global perspective. Its about the best way to get business done, whether its offshoring, outsourcing, resourcing or insourcing, as well as a broader view than just, Whats the lowest price that I can pay for a service or commodity?
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