Offsourcing - A Kaytek Viewpoint

Offsourcing - A Kaytek Viewpoint

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What is Offshoring ? A Kaytek Business Consulting Perspective

Down Arrow What is Offsourcing ?

It is a Kaytek Coined Word formed by merging the two words 'Offshore' & 'Outsourcing'.

It refers to the Sourcing of Both Goods and Services from External Entities (Organizations or Persons) from Locations Outside the Country.

'OffSourcing' can either be of manufactured goods or professional / other Services.

This offsourced Work ( activity, task or process ) can be either tightly integrated with or independent of other work.

Obviously, the less tightly integrated the work ( activity, task or process) is with other work components, it is easier to offsource.

Like any other business initiative, offsourcing too has some promising positives & potential pitfalls.

Down Arrow Why is OffSourcing done ?

Three key reasons drive OffSourcing.

Primarily lower costs due to currency rates arbitrage between developed & developing countries.

The availability of large numbers Of manpower with specialized skills.

Near zero communication costs across the globe.

As the CEO Of Sun Microsystems had once said, " The smartest people in the world do not work for you." OffSourcing enables you to leverage external skillsets & low cost resources for your benefit.

It also gives you first hand cross cultural experiences with individuals & organizations in fast growing economies.

Down Arrow Offsourcing helps you achieve your 3 business objectives of

Kaytek Cut CostsCutting Costs

Kaytek Satisfy Stakeholders Satisfying Stakeholders

Kaytek Raise Revenues Raising Revenues.

Gray Arrow Related - What is Outsourcing ? Offshoring ?

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