Offshore Outsourcing Links: Business Models | Resources

Outsourcing Road Maps

To make the best possible selection of an appropriate outsourcing model, a business must not only know what its current requirements are, but must also consider its long-term plans.

A traditional long-term outsourcing road map looks something like this:

  • Initial Pilot project
  • Follow-up project
  • Dedicated Offshore Staffing
  • Operating wholly owned subsidiary, with transitioned staff

To ensure success the selected supplier must be able to support the customer in transitioning from each phase, and manage the customer's growing requirement without problems.

The above process is impractical for smaller requirements (say around five resources), where a managed subsidiary with an incubator facility may be ideal, and can grow with them:

  • Initial Pilot project (Incubation)
  • Establish subsidiary - ongoing Incubation
  • Managed wholly or jointly owned subsidiary.

Select the wrong supplier and a company can end up with a lot of unnecessary additional effort later on. For example if the original supplier is not prepared to transfer staff, several months of parallel running may be required while new staff are recruited and trained, and the result may end up like this:

Phase I

  • Initial Pilot project
  • Follow-up project
  • Dedicated Offshore Staffing

  • Close Original contract

Phase II


  • Establish Subsidiary
  • Recruit and train staff
  • Initial pilot project
  • Transition and hand-over from existing supplier
  • Operating wholly owned subsidiary

Not all businesses will want or need to establish an offshore subsidiary; depending on their needs, a project-based relationship or Dedicated Offshore Staffing will suffice.

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Outsourcing Books

These offshore outsourcing books provide a detailed insight into the successful planning, establishment, maintaining and conducting business and projects offshore.