Collaboration in Outsourcing


The story of outsourcing is one of enigma. The business of outsourcing has witnessed paramount changes and has, over the period of time, undergone immense metamorphosis. Frankly stating, outsourcing was conceived as a way of saving costs and shrugging off the peripheral and secondary processes of one’s shoulder. As the adoption gained momentum, the entire approach towards outsourcing underwent momentous change. What earlier started with the cost-effective way of deriving business support became a crucial and strategic business decision. The new mantra is to outsource core business services. For example- enterprises offering financial services are readily outsourcing their sales and marketing to a third party. Now sales and marketing is undoubtedly is a critical aspect of any business and therefore, it needs to be handled by a team whose expertise revolves around this marketing function.

The businesses no longer remain as watertight compartments. They have allowed a good level of flexibility to creep in to survive in the dynamic market. Enterprises have realized that to be successful in the cutthroat competitive ecosystem, it is important for them to forge partnerships that are profitable and value generating in multiple ways. A new collaborative mechanism called the global collaboration has emerged in the arena of outsourcing. It is a step ahead of just collaborating with an outsourcing agency. The difference between traditional outsourcing and global collaboration lies in the approach towards creating value.  Traditional outsourcing mainly focuses on reducing costs and leveraging the technical expertise of the outsourcing partner. On contrary, the global collaboration mechanism focuses more on generating greater revenue and leveraging not only the technical expertise but also the business knowledge, process leadership, on-demand scalability and market appropriateness. On traditional grounds, outsourcing involves delegating the maintenance, quality and data processing chores. Global collaboration, on the other hand, focuses on innovation and new developments. This is a very holistic approach for tackling the changing terrains in the business landscape wherein an enterprise focuses on ROI generation, innovation and effective partnering. The most important challenges in molding to this approach is the need for qualified work force, increased knowledge of open source technologies and development of powerful technology architectures. The key aspects of global collaboration are strategy development, organizational design, product development, platform selection, and IPR management. The whole idea is to involve the outsourcing partners as strategic partners who deliver value. Outsourcing becomes one of global collaboration when the enterprise and the outsourcing partner approach the partnerships with the new approach. This is how both simultaneously act as an enabler to help each other realize own goals.


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