This Presentation will explain you the exact meaning of outsourcing.

1. Knowledge Process
Outsourcing

2. SECTION 1
INTRODUCTION

3. Contracting with another company or person to do a particular function.
Almost every organization outsources in some way
Typically, the function being outsourced is considered non-core to the business
For example:
Most of the Banks are outsourcing security by doing contract with a company who manage “security Services”
Another example, Some companies such as Insurance, schools, supermarkets outsource its janitorial and
landscaping operations to firms that specialized in those types of work.
Thus, the outside firms that are providing outsourcing services are third-party providers or “Service providers”

4. No longer a business, buzzword or jargon
Outsourcing is nothing but a useful business tool
Globally outsourcing is seen as a viable solution to many operational issues in small and big companies.

6. Doing outsourcing right gives you maximum flexibility
to focus on your core competence. You also get
to use your in-house resources to address priorities. Essentially
this allows your organization to more effectively and
efficientlyuse your resources(e.g., financial,
human and management). Outsourcing your non-core
functions clears your path to address mission critical issues vital
to your operational success.
1.OUTSOURCING
ALLOWS TO FOCUS ON CORE VALUES

7. Startups and small businesses do not immediately have
accessto skilledworkforce. Or when the company is
big, shortage of skilled and experienced staff as a
problem is not remote. Even if staff may be existing, however,
the workforce do not always havethe required skills
to keep pace with a rapidly evolving technology.
Outsourcing offers the best solution to access skills and recruit
staff that are difficult to recruit and retain. With tactical
outsourcing, there is an immediate solution
available to fill the need for new staff when opening up
new services.
2.OUTSOURCING
GIVES YOU ACCESS TO HIGH VALUE
TALENTS & SKILLS

8. When budget is short, your company may not
be able to broaden your market, expand, and focus on
core competencies to the fullest. With outsourcing, your
company get the flexibility to decide which of
your functions or operations you can perform in-house and
which ones to outsource. With outsourcing,
you also reap the benefit of capital and recurring cost
reduction.
3.OUTSOURCING
GIVES YOU ABILITY TO CUT COST

9. Outsourcing gives you the abilityto make sound
decisions about how to conduct your business, even on
how best to approach your delivery of your company’s services
to all your stakeholders.
During peak loads, outsourcing is highly helpful in
filling in the gapsto the level of equipment and
needed staff. Meeting normal demand but still maintaining
good customer service can be supplied by
outsourcing staff during peak periods. Outsourcing
comes in handyin such situations, when demand
for flexibility is needed.
4.OUTSOURCING
IMPROVES SERVICE QUALITY

10. To keep up with fast pace changes in
technology, start-ups and small companies can
lookupto outsourcing for help. Besides the cost of
outsourcing, it is your outsourcing partnerwho
usually investand requirednew technological
resources to match clientele's operational needs. Sometimes
too it is the outsourcing partner who even surpasses his
customers in keeping pace with and implementing new
technology.
5.OUTSOURCING
GIVES ACCESS TO TECHNOLOGY

11. Just five benefits are not all, there is to inspect new
sign. An outsourcing contract, when done right, successful
outsourcing can be an effective resource saving
and jouous endeavor .
Together we can help make youbecome that prompted
and hope to see you become that happy and satisfied Partner.
JUST 5 BENEFITS OF
OUTSOURCING
?

12. SECTION 2TYPES OF OUTSOURCING

13. TYPES OF
OUTSOURCING
Outsourcing
can be divided
into two
broad
categories.
BPO
KPO

14. BUSINESS PROCESS
OUTSOURCING
BPO
In BPO (Business Process Outsourcing), a particular process
task is outsourced. An example would be payroll. BPO work
could be either back office related or front office work. By
front office functions we mean customer oriented work like
marketing, answering calls, technical support and so on,
whereas internal work like billing and purchase come in the
back office category.
Multimedia/ animation, book keeping, business consultancy,
CAD/ CAM, call center, DTP, data entry, proof reading and
editing, typesetting, handwriting services, marketing, medical
billing and transcription, web design and development etc
are all services that could be put under the BPO category.

15. KNOWLEDGE PROCESS
OUTSOURCING
KPO
As is evident from the description, BPO activities involve
carrying out standardized processes for the client. KPO or
Knowledge Process Outsourcing typically calls for work that
needs higher levels of involvement from the worker. The
worker has to employ advanced levels of research, analytical
and technical skills and has to make decisions of a higher
order than BPO work. Examples are pharmaceutical research
and development, patent/ intellectual property research,
animation and simulation. Data research and analysis, legal
services, content writing and development and database
development services. KPO industry is less older and mature
than the BPO sector.
Apart from BPO and KPO, ITO or Information Technology Outsourcing is another major category. ITO is
usually overseen by the CIO of an organization. However the CIO is often called in to manage BPO and
KPO operations where no significant IT skills are involved. This is due to the expertise the CIOs would
have developed in outsourcing negotiations.

16. KPO
Segments
Legal Services
Financial
Services
Engineering
and R&D
Market
Research and
Analytics
Writing and
Content
Development
Pharma and
Biotech R&D
Healthcare
Services
Education
and Training
SEGMENTS OF KPO
OUTSOURCING

17. TOP
OUTSOURCING DESTINATIONS
Rank
2014
Rank
2013 Movement Region Country City
1 1 - South Asia India Bangalore
2 3 +1 Southeast Asia Philippines Manila (NCR)
3 2 -1 South Asia India Mumbai
4 4 - South Asia India Delhi (NCR)
5 5 - South Asia India Chennai
6 6 - South Asia India Hyderabad
7 7 - South Asia India Pune
8 8 - Southeast Asia Philippines Cebu City
9 10 +1 Eastern Europe Poland Kraków
10 9 -1 Western Europe Ireland Dublin
11 11 - East Asia China Shanghai
12 12 - East Asia China Beijing
13 13 - Central America Costa Rica San José
14 15 +1 East Asia China Dalian (Dairen)
15 14 -1 East Asia China Shenzhen
16 17 +1 Eastern Europe Czech Republic Prague
17 16 -1 Southeast Asia Vietnam Ho Chi Minh City
18 19 +1 Southeast Asia Malaysia Kuala Lumpur
19 20 +1 South Asia Sri Lanka Colombo
20 18 -2 South America Brazil São Paulo
21 22 +1 Middle East and Africa South Africa Johannesburg
22 23 +1 Southeast Asia Vietnam Hanoi
23 25 +2 South Asia India Chandigarh
24 21 -3 South America Chile Santiago
25 26 +1 South Asia India Kolkata
Source: 1.http://www.tholons.com/Whitepaper_December_2013.pdf
2. http://www.ranker.com/list/the-top-ten-countries-for-outsourcing-business/mcorn310
3. https://clutch.co/top-outsourcing-countries
The global services market is highly dynamic environment and
selecting the best outsourcing location for your operation can have a
significant long-term impact on your business growth. From various
sources, we can summarize top 5 destinations( cities).
1.India Bangalore
2.Philippines Manila (NCR)
3.India Mumbai
4.India Delhi (NCR)
5.India Chennai
Key statistics Areas for ranking consideration
Cost Competitiveness
Resources & Skills
Business & Economic Environment.