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WHAT IS OUTSOURCING?
Outsourcing is the act of one
company contracting with another
company to provide services that
might otherwise be performed by in-
house employees.
WHY TO OUTSOURCE?
Reduces costs.
Efficiency.
More affordable to outsource to
companies located in different
countries.
HOW IS IT DONE?
 Desired results such as
.
 Make a about the
applicability of the process to outsourcing.
 Choosing the
.
 Selecting the
 Multi-process outsourcing or MPO is a transaction
in which an organization
of its distinct to a third
party supplier.
 It is due to the variety of processes being
outsourced.
 Purpose : To by
outsourcing various elements of the organisation
to best possible providers, thus focussing on
 Aims at a from a true expert for
each process.
 Enjoy during the
sourcing of each aspect of the service.
 As each partner is accountable to deliver one
element of service, .
 Additional management .
 is far
than ending a whole outsourcing
ADVANTAGES
 It requires .
 Far
needed for programme and contract management
to ensure that your multiple partners deliver to your
expected objectives.
 You are still left with and
risk for delivering the combined service objectives.
DISADVANTAGES
BUILD, OPERATE
AND TRANSFER
Enterprise
Third Party
Project
Time or Buy Out
ADVANTAGES
 .


DISADVANTAGES
 are incurred to pay a profit to the
service provider.
 arise.
 results from the
“The delegation to a supplier for the
capture, imaging, conversion or creation,
production, processing, printing, mailing,
electronic transmission, and/or fulfilment
of any type of printed or electronic
document to a service provider specializing
in those services.”
- Infotrends, US
ADVANTAGES
 .
 External documentation services can
and
.
 Provides to the employees
in the main company.
DISADVANTAGES
 ―Outsourcing is .‖
 ―When I outsource documentation, I will have to
spend a lot of .‖
 ―Outsourcing makes us . What
happens if a contractor terminates service or
becomes too expensive?‖
PROJECT
MANAGEMENT
RESPONSIBILITY
OUTSOURCING
ADVANTAGES
 Outsourced project managers look at
 Consultants help
 Project management professionals will do
and will be conversant
in the .
 Clients can focus on .
 You can become for dealing
DISADVANTAGES
 You must your even
when external resources are used.
 If you don’t work the relationship properly, you
you need in-house.
 when there are
misunderstandings or poor management at the
start of the project.
 The risk of
can be high, depending on the
nature of the project.
MANAGED SERVICES
 In Managed Services Outsourcing,
is outsourced to a
third party – this is primarily based on the
between client and third party.
 For
managed services provide enterprise-class
capabilities for a —
without requiring a large, initial capital
investment.
 Eases adoption of new business processes
and network
availability without additional staff.
 Provides access to the with
.
 Provides makes
it easier to adapt to changing business
conditions enables the IT group to focus on the
ADVANTAGES
DISADVANTAGES
 are sometimes to assume
 between client and vendor
organizations.
 Vendors wont be in a position to
understand all of the client
OUT-TASKING
 Out-Tasking is a simple contract wherein the
other party agrees to complete a task i.e., a
part of your overall service, in a particular
time frame at a particular price.


 since they are
just one off tasks.
ADVANTAGES
Nothing as such, Just
DISADVANTAGE
REASONS FOR ENTERING
INDIA
 Cheap as well as –often
overqualified.
 Dell could gain by working
with third party vendors.
 .
CHALLENGES FACED
 to find the right people and
teach them about Dell’s culture.
 .
 Difficulty in .
THE DOWNFALL
 as Dell failed to plan for the
call centre in the long term.
 Did not plan for with new
additions in Dell’s technology base.
 , long delays in transfer of calls
lead to customer frustration.
 .
CASE ANALYSIS
RECOMMENDATIONS
 Investigation and .
 Training employees to
of the customer base.
 to be appointed to
mange and monitor off shore outsourcing
projects.
THANK YOU
 Akshat Merchant – 5
 Akshay Agarwal – 6
 Ankur Poddar – 8
 Prateek Bhardwaj – 31
 Prerna Gupta - 34
 Sharanam Khurana - 41
 Tanya Verma – 49
 Vatsal Bhandari – 51

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Outsourcing methods ppt

  • 1.
  • 2. WHAT IS OUTSOURCING? Outsourcing is the act of one company contracting with another company to provide services that might otherwise be performed by in- house employees.
  • 3. WHY TO OUTSOURCE? Reduces costs. Efficiency. More affordable to outsource to companies located in different countries.
  • 4. HOW IS IT DONE?  Desired results such as .  Make a about the applicability of the process to outsourcing.  Choosing the .  Selecting the
  • 5.
  • 6.  Multi-process outsourcing or MPO is a transaction in which an organization of its distinct to a third party supplier.  It is due to the variety of processes being outsourced.  Purpose : To by outsourcing various elements of the organisation to best possible providers, thus focussing on
  • 7.  Aims at a from a true expert for each process.  Enjoy during the sourcing of each aspect of the service.  As each partner is accountable to deliver one element of service, .  Additional management .  is far than ending a whole outsourcing ADVANTAGES
  • 8.  It requires .  Far needed for programme and contract management to ensure that your multiple partners deliver to your expected objectives.  You are still left with and risk for delivering the combined service objectives. DISADVANTAGES
  • 12. DISADVANTAGES  are incurred to pay a profit to the service provider.  arise.  results from the
  • 13.
  • 14. “The delegation to a supplier for the capture, imaging, conversion or creation, production, processing, printing, mailing, electronic transmission, and/or fulfilment of any type of printed or electronic document to a service provider specializing in those services.” - Infotrends, US
  • 15. ADVANTAGES  .  External documentation services can and .  Provides to the employees in the main company.
  • 16. DISADVANTAGES  ―Outsourcing is .‖  ―When I outsource documentation, I will have to spend a lot of .‖  ―Outsourcing makes us . What happens if a contractor terminates service or becomes too expensive?‖
  • 18. ADVANTAGES  Outsourced project managers look at  Consultants help  Project management professionals will do and will be conversant in the .  Clients can focus on .  You can become for dealing
  • 19. DISADVANTAGES  You must your even when external resources are used.  If you don’t work the relationship properly, you you need in-house.  when there are misunderstandings or poor management at the start of the project.  The risk of can be high, depending on the nature of the project.
  • 21.  In Managed Services Outsourcing, is outsourced to a third party – this is primarily based on the between client and third party.  For managed services provide enterprise-class capabilities for a — without requiring a large, initial capital investment.
  • 22.  Eases adoption of new business processes and network availability without additional staff.  Provides access to the with .  Provides makes it easier to adapt to changing business conditions enables the IT group to focus on the ADVANTAGES
  • 23. DISADVANTAGES  are sometimes to assume  between client and vendor organizations.  Vendors wont be in a position to understand all of the client
  • 25.  Out-Tasking is a simple contract wherein the other party agrees to complete a task i.e., a part of your overall service, in a particular time frame at a particular price.  
  • 26.  since they are just one off tasks. ADVANTAGES
  • 27. Nothing as such, Just DISADVANTAGE
  • 28.
  • 29. REASONS FOR ENTERING INDIA  Cheap as well as –often overqualified.  Dell could gain by working with third party vendors.  .
  • 30. CHALLENGES FACED  to find the right people and teach them about Dell’s culture.  .  Difficulty in .
  • 32.  as Dell failed to plan for the call centre in the long term.  Did not plan for with new additions in Dell’s technology base.  , long delays in transfer of calls lead to customer frustration.  . CASE ANALYSIS
  • 33. RECOMMENDATIONS  Investigation and .  Training employees to of the customer base.  to be appointed to mange and monitor off shore outsourcing projects.
  • 34. THANK YOU  Akshat Merchant – 5  Akshay Agarwal – 6  Ankur Poddar – 8  Prateek Bhardwaj – 31  Prerna Gupta - 34  Sharanam Khurana - 41  Tanya Verma – 49  Vatsal Bhandari – 51