Thinktel - Outsourcing Advantages
Why Outsource
Outsourcing has evolved from a tactical, cost control mechanism to a strategy that can assist in changing or evolving a company's market position.
As companies face a more challenging and unpredictable business environment, the need to develop a clearly defined outsourcing strategy that is aligned with a business strategy therefore enhancing business execution becomes imperative. The decision to outsource therefore is moving into the boardroom and is becoming the key strategy to improve or transform business.
The benefits of outsourcing in today's business environment are clear:
Cost Savings
• Cost Reduction
Through scale and best practices, Thinktel can typically
provide services Less expensively than internal or shared service
units.
• Variable vs. Fixed Cost Structure
Allowing organizations to match activity (business volume) levels with cost significantly reduces cost associated with highly cyclical business patterns.
• Greater Cost Predictability
Fixed term transaction based pricing provides increased budget certainty while mitigating risk associated with uncontrolled cost increases.
World Class Competencies
• Access to New Technology and Skills
Our work processes and technology platforms are flexible and scalable ensuring
long-term solution viability.
• Enhanced Service Levels
Strict contractual service level commitments typically increase customer satisfaction to end customers.
• Leverage Best Practices
Varied experience across many industries and service lines drives innovation
Speed and Flexibility
• Mergers and Acquisitions
Outsourcing allows organizations the ability to focus on integrating the Value Adding strategic units and not bother about the specifics of units that are outsourced.
• Economic Uncertainty
Outsourcing allows the flexibility to ramp up or down quickly.
Core Competency Focus
• Drive Shareholder Value
When competitive differentiation is essential, outsourcing allows for companies to deploy internal resources, management talent and capital for mission-critical functions.
While these traditional benefits are important, outsourcing itself is undergoing an evolutionary change. The increasing complexity and volatility of the business environment has compelled companies to evaluate their strategies, competencies and resources and are now migrating to a more complete "end-to-end" outsourcing delivery
model that involves long-term relationships that focus on total "one point accountability" to managing essential business results. This approach provides both parties greater flexibility to meet the changing market dynamics.
Because pressure for return on investment is high, outsourcing with world-class providers is critical for companies as they move forward in these volatile times. Additionally, the investment community is scrutinizing corporate performance at an unprecedented level of detail. All this is requiring fundamental changes in the ways companies approach the economy. Through Thinktel's outsourcing solutions, we are able to partner with our clients to meet these complex market demands.
India Advantage
Thinktel follows a corporate policy of providing customers optimal global resources. Our India-based facilities offer universally trained associates who allow our customers to derive substantial gains in metrics like cost, quality, turnaround time and overall customer satisfaction.
It is not just cost savings but better quality and quicker turnaround time that have led to the success of BPOs.
India is fast emerging as the destination of choice for global corporations looking to improve service levels and derive quantum gains in their bottom-line. Leading companies that use India-based services include Amazon.com, Aetna, American Express, AXA, Bank of America, British Airways, Citigroup, Conseco, Dell, Ford, GE, Guardian, HSBC, Microsoft, Sprint, etc. Large corporations have setup their own captive
operations to outsource their back-office processes to India. This has resulted in the creation of a vast talent pool. Medium and small organizations are outsourcing to business partners in India through either one of the following relationships:-
• Traditional outsourcing relationship
• Joint Venture
• BOT (Build-Operate-Transfer)
• Strategic investment
India is uniquely positioned to be the ideal offshore BPO location because:
• Large English Speaking Population - India has over 100 million English-speaking people with over 2 million English-speaking Graduates joining the talent pool annually.
• Skilled Manpower - India has a large number of universities and graduate institutions, which provide skilled resources. In addition to that, the critical mass of global players operating in India provides a vast pool of experienced managers.
• Cost savings - Using India based resources results in 40% to 60% cost savings. This is not only due to labor arbitrage, but also due to productivity improvements.
• Time Zone Advantage – We work while you sleep resulting in a unique “follow the-sun” approach and 24/7 operational uptime.
• Supportive Government - The sector enjoys 100% tax exemption, in addition to supportive infrastructure, investment and employment policies.
• Revenue Enhancement - India-based teams also capture new revenues e.g.- processing small claims is economically viable at a lower Indian cost base.
Advantage India is more clearly reflected in the country-wise comparison below:
| Country | Workforce | Market Access | Local Market | Infrastructure | Cosmopolitan | Cost Base |
| Phlippines Kualalampur China Hong Kong India |
2 1 2 1 3 |
2 2 1 2 2 |
- - 3 2 2 |
2 2 2 2 2 |
3 2 1 2 3 |
2 2 1 2 1 |
1 denotes low, 2 denotes average, 3 denotes high |
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