SlideShare a Scribd company logo
1 of 7
Why cost saving should not be the only
factor while outsourcing
Cost saving should not be the only factor while outsourcing a
business process because:
 You may end up hiring an incompetent vendor
 Inefficient performance may adversely affect your business
 Cost saving comes after the success of the outsourced process
 Preoccupation with cost saving may defeat the whole purpose of
outsourcing
You may end up hiring an incompetent vendor
 Many vendors lure clients by offering ridiculously low rates
 Instead of falling in this trap, you should go for the competency of the
vendor
 If you only go for cost saving, you are no longer able to focus on desired
results
 When desired results take a back seat, you end up hiring the wrong
vendor
Inefficient performance may adversely affect your business
 If you concentrate on cost saving, the vendor will do likewise
 The instances of inefficient performance will shoot up
 This situation is detrimental to the quality of your products and services
 As a result, your end customer is unhappy and eventually your business
suffers
Cost saving comes after the success of the outsourced process
 Cost saving is an attribute that can only be calculated after successful
completion of the project
 Cost saving does not mean anything if you do not get the desired results
 So, always concentrate on achieving the desired results before calculating
the cost savings
Preoccupation with cost saving may defeat the whole purpose
of outsourcing
 The purpose of outsourcing is to get easy access to well qualified human
resource
 So, your focus should be on the availability of skill sets and the service
delivery model
 If you focus only on cost saving, you will lose this focus
 This lack of focus on the real rewards of outsourcing may defeat the whole
purpose of the exercise
Thank You
Know more ways to get the desired results through
outsourcing

More Related Content

More from Virtual Employee Pvt Ltd - An Alternative To Hiring Employee Locally

More from Virtual Employee Pvt Ltd - An Alternative To Hiring Employee Locally (9)

Key features of remote staffing solutions in india
Key features of remote staffing solutions in indiaKey features of remote staffing solutions in india
Key features of remote staffing solutions in india
 
3 reasons why we are unique
3 reasons why we are unique3 reasons why we are unique
3 reasons why we are unique
 
How can IT Outsourcing to VirtualEmployee.com help your business?
How can IT Outsourcing to VirtualEmployee.com help your business?How can IT Outsourcing to VirtualEmployee.com help your business?
How can IT Outsourcing to VirtualEmployee.com help your business?
 
VirtualEmployee.com, the best alternative to local hiring or outsourcing
VirtualEmployee.com, the best alternative to local hiring or outsourcingVirtualEmployee.com, the best alternative to local hiring or outsourcing
VirtualEmployee.com, the best alternative to local hiring or outsourcing
 
Outsource To India With Virtualemployee.Com
Outsource To India With Virtualemployee.ComOutsource To India With Virtualemployee.Com
Outsource To India With Virtualemployee.Com
 
What is PaaS (People as a Service ) and how will you benefit from it
What is PaaS (People as a Service ) and how will you benefit from itWhat is PaaS (People as a Service ) and how will you benefit from it
What is PaaS (People as a Service ) and how will you benefit from it
 
Virtual employee vs. freelancer
Virtual employee vs. freelancerVirtual employee vs. freelancer
Virtual employee vs. freelancer
 
Virtual Employee
Virtual EmployeeVirtual Employee
Virtual Employee
 
Virtual Employee - Remote Staffing Company India
Virtual Employee - Remote Staffing Company IndiaVirtual Employee - Remote Staffing Company India
Virtual Employee - Remote Staffing Company India
 

Recently uploaded

Progress Report - Oracle Database Analyst Summit
Progress  Report - Oracle Database Analyst SummitProgress  Report - Oracle Database Analyst Summit
Progress Report - Oracle Database Analyst SummitHolger Mueller
 
Russian Faridabad Call Girls(Badarpur) : ☎ 8168257667, @4999
Russian Faridabad Call Girls(Badarpur) : ☎ 8168257667, @4999Russian Faridabad Call Girls(Badarpur) : ☎ 8168257667, @4999
Russian Faridabad Call Girls(Badarpur) : ☎ 8168257667, @4999Tina Ji
 
Sales & Marketing Alignment: How to Synergize for Success
Sales & Marketing Alignment: How to Synergize for SuccessSales & Marketing Alignment: How to Synergize for Success
Sales & Marketing Alignment: How to Synergize for SuccessAggregage
 
Lucknow 💋 Escorts in Lucknow - 450+ Call Girl Cash Payment 8923113531 Neha Th...
Lucknow 💋 Escorts in Lucknow - 450+ Call Girl Cash Payment 8923113531 Neha Th...Lucknow 💋 Escorts in Lucknow - 450+ Call Girl Cash Payment 8923113531 Neha Th...
Lucknow 💋 Escorts in Lucknow - 450+ Call Girl Cash Payment 8923113531 Neha Th...anilsa9823
 
Creating Low-Code Loan Applications using the Trisotech Mortgage Feature Set
Creating Low-Code Loan Applications using the Trisotech Mortgage Feature SetCreating Low-Code Loan Applications using the Trisotech Mortgage Feature Set
Creating Low-Code Loan Applications using the Trisotech Mortgage Feature SetDenis Gagné
 
Insurers' journeys to build a mastery in the IoT usage
Insurers' journeys to build a mastery in the IoT usageInsurers' journeys to build a mastery in the IoT usage
Insurers' journeys to build a mastery in the IoT usageMatteo Carbone
 
Pharma Works Profile of Karan Communications
Pharma Works Profile of Karan CommunicationsPharma Works Profile of Karan Communications
Pharma Works Profile of Karan Communicationskarancommunications
 
Grateful 7 speech thanking everyone that has helped.pdf
Grateful 7 speech thanking everyone that has helped.pdfGrateful 7 speech thanking everyone that has helped.pdf
Grateful 7 speech thanking everyone that has helped.pdfPaul Menig
 
7.pdf This presentation captures many uses and the significance of the number...
7.pdf This presentation captures many uses and the significance of the number...7.pdf This presentation captures many uses and the significance of the number...
7.pdf This presentation captures many uses and the significance of the number...Paul Menig
 
Mondelez State of Snacking and Future Trends 2023
Mondelez State of Snacking and Future Trends 2023Mondelez State of Snacking and Future Trends 2023
Mondelez State of Snacking and Future Trends 2023Neil Kimberley
 
VIP Call Girl Jamshedpur Aashi 8250192130 Independent Escort Service Jamshedpur
VIP Call Girl Jamshedpur Aashi 8250192130 Independent Escort Service JamshedpurVIP Call Girl Jamshedpur Aashi 8250192130 Independent Escort Service Jamshedpur
VIP Call Girl Jamshedpur Aashi 8250192130 Independent Escort Service JamshedpurSuhani Kapoor
 
VIP Call Girls In Saharaganj ( Lucknow ) 🔝 8923113531 🔝 Cash Payment (COD) 👒
VIP Call Girls In Saharaganj ( Lucknow  ) 🔝 8923113531 🔝  Cash Payment (COD) 👒VIP Call Girls In Saharaganj ( Lucknow  ) 🔝 8923113531 🔝  Cash Payment (COD) 👒
VIP Call Girls In Saharaganj ( Lucknow ) 🔝 8923113531 🔝 Cash Payment (COD) 👒anilsa9823
 
Keppel Ltd. 1Q 2024 Business Update Presentation Slides
Keppel Ltd. 1Q 2024 Business Update  Presentation SlidesKeppel Ltd. 1Q 2024 Business Update  Presentation Slides
Keppel Ltd. 1Q 2024 Business Update Presentation SlidesKeppelCorporation
 
Ensure the security of your HCL environment by applying the Zero Trust princi...
Ensure the security of your HCL environment by applying the Zero Trust princi...Ensure the security of your HCL environment by applying the Zero Trust princi...
Ensure the security of your HCL environment by applying the Zero Trust princi...Roland Driesen
 
Call Girls Navi Mumbai Just Call 9907093804 Top Class Call Girl Service Avail...
Call Girls Navi Mumbai Just Call 9907093804 Top Class Call Girl Service Avail...Call Girls Navi Mumbai Just Call 9907093804 Top Class Call Girl Service Avail...
Call Girls Navi Mumbai Just Call 9907093804 Top Class Call Girl Service Avail...Dipal Arora
 
0183760ssssssssssssssssssssssssssss00101011 (27).pdf
0183760ssssssssssssssssssssssssssss00101011 (27).pdf0183760ssssssssssssssssssssssssssss00101011 (27).pdf
0183760ssssssssssssssssssssssssssss00101011 (27).pdfRenandantas16
 
Call Girls In DLf Gurgaon ➥99902@11544 ( Best price)100% Genuine Escort In 24...
Call Girls In DLf Gurgaon ➥99902@11544 ( Best price)100% Genuine Escort In 24...Call Girls In DLf Gurgaon ➥99902@11544 ( Best price)100% Genuine Escort In 24...
Call Girls In DLf Gurgaon ➥99902@11544 ( Best price)100% Genuine Escort In 24...lizamodels9
 
Mysore Call Girls 8617370543 WhatsApp Number 24x7 Best Services
Mysore Call Girls 8617370543 WhatsApp Number 24x7 Best ServicesMysore Call Girls 8617370543 WhatsApp Number 24x7 Best Services
Mysore Call Girls 8617370543 WhatsApp Number 24x7 Best ServicesDipal Arora
 

Recently uploaded (20)

Progress Report - Oracle Database Analyst Summit
Progress  Report - Oracle Database Analyst SummitProgress  Report - Oracle Database Analyst Summit
Progress Report - Oracle Database Analyst Summit
 
Russian Faridabad Call Girls(Badarpur) : ☎ 8168257667, @4999
Russian Faridabad Call Girls(Badarpur) : ☎ 8168257667, @4999Russian Faridabad Call Girls(Badarpur) : ☎ 8168257667, @4999
Russian Faridabad Call Girls(Badarpur) : ☎ 8168257667, @4999
 
Sales & Marketing Alignment: How to Synergize for Success
Sales & Marketing Alignment: How to Synergize for SuccessSales & Marketing Alignment: How to Synergize for Success
Sales & Marketing Alignment: How to Synergize for Success
 
Lucknow 💋 Escorts in Lucknow - 450+ Call Girl Cash Payment 8923113531 Neha Th...
Lucknow 💋 Escorts in Lucknow - 450+ Call Girl Cash Payment 8923113531 Neha Th...Lucknow 💋 Escorts in Lucknow - 450+ Call Girl Cash Payment 8923113531 Neha Th...
Lucknow 💋 Escorts in Lucknow - 450+ Call Girl Cash Payment 8923113531 Neha Th...
 
Creating Low-Code Loan Applications using the Trisotech Mortgage Feature Set
Creating Low-Code Loan Applications using the Trisotech Mortgage Feature SetCreating Low-Code Loan Applications using the Trisotech Mortgage Feature Set
Creating Low-Code Loan Applications using the Trisotech Mortgage Feature Set
 
Insurers' journeys to build a mastery in the IoT usage
Insurers' journeys to build a mastery in the IoT usageInsurers' journeys to build a mastery in the IoT usage
Insurers' journeys to build a mastery in the IoT usage
 
Pharma Works Profile of Karan Communications
Pharma Works Profile of Karan CommunicationsPharma Works Profile of Karan Communications
Pharma Works Profile of Karan Communications
 
KestrelPro Flyer Japan IT Week 2024 (English)
KestrelPro Flyer Japan IT Week 2024 (English)KestrelPro Flyer Japan IT Week 2024 (English)
KestrelPro Flyer Japan IT Week 2024 (English)
 
Grateful 7 speech thanking everyone that has helped.pdf
Grateful 7 speech thanking everyone that has helped.pdfGrateful 7 speech thanking everyone that has helped.pdf
Grateful 7 speech thanking everyone that has helped.pdf
 
7.pdf This presentation captures many uses and the significance of the number...
7.pdf This presentation captures many uses and the significance of the number...7.pdf This presentation captures many uses and the significance of the number...
7.pdf This presentation captures many uses and the significance of the number...
 
Mondelez State of Snacking and Future Trends 2023
Mondelez State of Snacking and Future Trends 2023Mondelez State of Snacking and Future Trends 2023
Mondelez State of Snacking and Future Trends 2023
 
VIP Call Girl Jamshedpur Aashi 8250192130 Independent Escort Service Jamshedpur
VIP Call Girl Jamshedpur Aashi 8250192130 Independent Escort Service JamshedpurVIP Call Girl Jamshedpur Aashi 8250192130 Independent Escort Service Jamshedpur
VIP Call Girl Jamshedpur Aashi 8250192130 Independent Escort Service Jamshedpur
 
VIP Call Girls In Saharaganj ( Lucknow ) 🔝 8923113531 🔝 Cash Payment (COD) 👒
VIP Call Girls In Saharaganj ( Lucknow  ) 🔝 8923113531 🔝  Cash Payment (COD) 👒VIP Call Girls In Saharaganj ( Lucknow  ) 🔝 8923113531 🔝  Cash Payment (COD) 👒
VIP Call Girls In Saharaganj ( Lucknow ) 🔝 8923113531 🔝 Cash Payment (COD) 👒
 
Keppel Ltd. 1Q 2024 Business Update Presentation Slides
Keppel Ltd. 1Q 2024 Business Update  Presentation SlidesKeppel Ltd. 1Q 2024 Business Update  Presentation Slides
Keppel Ltd. 1Q 2024 Business Update Presentation Slides
 
Ensure the security of your HCL environment by applying the Zero Trust princi...
Ensure the security of your HCL environment by applying the Zero Trust princi...Ensure the security of your HCL environment by applying the Zero Trust princi...
Ensure the security of your HCL environment by applying the Zero Trust princi...
 
Call Girls Navi Mumbai Just Call 9907093804 Top Class Call Girl Service Avail...
Call Girls Navi Mumbai Just Call 9907093804 Top Class Call Girl Service Avail...Call Girls Navi Mumbai Just Call 9907093804 Top Class Call Girl Service Avail...
Call Girls Navi Mumbai Just Call 9907093804 Top Class Call Girl Service Avail...
 
Best Practices for Implementing an External Recruiting Partnership
Best Practices for Implementing an External Recruiting PartnershipBest Practices for Implementing an External Recruiting Partnership
Best Practices for Implementing an External Recruiting Partnership
 
0183760ssssssssssssssssssssssssssss00101011 (27).pdf
0183760ssssssssssssssssssssssssssss00101011 (27).pdf0183760ssssssssssssssssssssssssssss00101011 (27).pdf
0183760ssssssssssssssssssssssssssss00101011 (27).pdf
 
Call Girls In DLf Gurgaon ➥99902@11544 ( Best price)100% Genuine Escort In 24...
Call Girls In DLf Gurgaon ➥99902@11544 ( Best price)100% Genuine Escort In 24...Call Girls In DLf Gurgaon ➥99902@11544 ( Best price)100% Genuine Escort In 24...
Call Girls In DLf Gurgaon ➥99902@11544 ( Best price)100% Genuine Escort In 24...
 
Mysore Call Girls 8617370543 WhatsApp Number 24x7 Best Services
Mysore Call Girls 8617370543 WhatsApp Number 24x7 Best ServicesMysore Call Girls 8617370543 WhatsApp Number 24x7 Best Services
Mysore Call Girls 8617370543 WhatsApp Number 24x7 Best Services
 

Why cost saving should not be the only factor while outsourcing

  • 1. Why cost saving should not be the only factor while outsourcing
  • 2. Cost saving should not be the only factor while outsourcing a business process because:  You may end up hiring an incompetent vendor  Inefficient performance may adversely affect your business  Cost saving comes after the success of the outsourced process  Preoccupation with cost saving may defeat the whole purpose of outsourcing
  • 3. You may end up hiring an incompetent vendor  Many vendors lure clients by offering ridiculously low rates  Instead of falling in this trap, you should go for the competency of the vendor  If you only go for cost saving, you are no longer able to focus on desired results  When desired results take a back seat, you end up hiring the wrong vendor
  • 4. Inefficient performance may adversely affect your business  If you concentrate on cost saving, the vendor will do likewise  The instances of inefficient performance will shoot up  This situation is detrimental to the quality of your products and services  As a result, your end customer is unhappy and eventually your business suffers
  • 5. Cost saving comes after the success of the outsourced process  Cost saving is an attribute that can only be calculated after successful completion of the project  Cost saving does not mean anything if you do not get the desired results  So, always concentrate on achieving the desired results before calculating the cost savings
  • 6. Preoccupation with cost saving may defeat the whole purpose of outsourcing  The purpose of outsourcing is to get easy access to well qualified human resource  So, your focus should be on the availability of skill sets and the service delivery model  If you focus only on cost saving, you will lose this focus  This lack of focus on the real rewards of outsourcing may defeat the whole purpose of the exercise
  • 7. Thank You Know more ways to get the desired results through outsourcing