Rural sourcing is the concept of service providers establishing delivery centers in low-cost regions outside of major metropolitan areas as a viable alternative to global offshoring. It provides access to relatively low-cost labor while avoiding some of the challenges of offshoring like time zone differences and cultural constraints. Impact sourcing specifically aims to provide higher-income employment opportunities to disadvantaged individuals and those who may not otherwise find work in the outsourcing sector. The Rockefeller Foundation has been researching the potential for impact sourcing to improve lives through its PRIDE initiative since 2012.

1. Rural Sourcing
Alexandre Hedayat
Director, ISG

2. It all starts with Outsourcing

3. It all starts with Outsourcing

4. It all starts with Outsourcing

5. Rural Sourcing
Brainware
SHELL: Software, Hardware, Environment, Liveware, Logistics

6. Definitions
• Rural Sourcing:
The concept of “rural sourcing,” whereby service providers establish delivery centers in
low-cost regions outside of major metropolitan areas, is gaining increasing interest and
credibility as a viable alternative to global offshoring.
Potential benefits include access to relatively low-cost labor, fewer time-zone and
cultural constraints, and, in many cases, lower transition costs. For many organizations,
especially those in the public sector, the political appeal of maintaining domestic
operations can be paramount.
• Impact sourcing:
Outsourcing that benefits disadvantaged individuals in low employment areas. It looks
beyond the common source of supply for traditional outsourcing to provide higher-
income employment and access to new income opportunities to individuals that might
not otherwise be employed in this sector.

7. The Concept

8. Impact Sourcing….
• Through its Poverty Reduction through
Information and Digital Employment (PRIDE)
work, the Rockefeller Foundation has been
learning about the potential effect of Impact
Sourcing on the lives of the poor and
vulnerable worldwide.
Dated: 2012

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