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What it is
Offshore Outsourcing combines two ideas: to have part of the up-to-then internal business processes executed outside of the company or organisation (business process outsourcing) and to use resources from developing countries for such activities.
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Why
To use the words of a scholar of the phenomenon, "companies start up for cost, stay on for quality, and then realise that they gain a lot on managerial initiative".
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A little of history
Offshore outsourcing is a recent tool -the first generally recognised case (outside software development) was in 1993. In spite of this short time, several trends are already clearly under way.
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Why now
Offshore outsourcing springs up today as a consequence of four phenomena which had been latent for quite some time but which experienced a strong acceleration in the '90s.
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Activities
The activities of offshore outsourcing may be grouped in two broad categories: "consolidated" and "innovative".
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Countries involved
The emerging countries supplying offshore outsourcing have several traits in common. India is the country that more than any other fulfils such characteristics and, in fact, this is the country that is developing offshore outsourcing activities the most.
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Problems
Offshore outsourcing is a young technique and as such trials and adjustments are inevitable. Such weaknesses must be taken seriously but they are neither new nor unescapable.
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Resources
Directions for consulting firms, web directories and e-marketplaces, provider associations, organisations, reasearch centres, think-thanks.
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