ACS News ![]() August 2005, Vol 12, Issue 6 |
||
|
|
||
| [Bookstore] [Business Partners] [Case Studies] [Membership] [Newsletters] [Rates] [VA Directory]
If you received this newsletter by regular mail, have an email address and would like to receive this online, please either subscribe at our website, or contact our office with your email address. Feel free to pass this newsletter onto a friend!
How to get on or off this list:
Ph: +613 9585 5780 |
Outsourcing or Offshoring? There has been a lot of talk and many articles printed about the benefits of Offshoring as opposed to Outsourcing locally. There has also been great debate about whether the cheaper costs of Offshoring are outweighed by the benefits of Outsourcing locally. Within a space of a few short years it has become evident that not all cases of offshoring have been beneficial with the end user (the consumer) becoming disgruntled with trying to communicate with telemarketers who do not understand the local customs, language terminologies and usability of items, let alone the geographics and demographics of a country not their own. Add to that the troubles that some financial institutions have experienced with the unscrupulous activities of offshore operators and the difficulties involved in charging them for their criminal acts, and outsourcing locally begins to look considerably more attractive. Where there may have been an initial $$ saving, it appears this has really only been a short-term saving – long-term it sometimes tells a different story. For the larger organisation managing costs was the original motivation for outsourcing to offshore companies. After all with the changes of technology and the wider spread use of the Internet, this seemed a natural progressional path. It had been thought that savings could amount to over 50% in some cases and the justification for going this way seemed ‘proven’. And it was thought that as services improved the savings would become more significant. A study had been performed which highlighted improved efficiencies, internal control, risk management and access to technology and skills – previously not available due to cost or size restrictions. Whilst there is evidence that offshoring may not work well for some industry categories, it doesn’t mean it won’t work well for others. It has been proven over time that both outsourcing and offshoring can help much smaller organisations and sole proprietor businesses to match performance of larger organisations because of the ability to increase their manpower and resources through these mediums. There is one particular industry which has a capacity to work well in both offshoring and outsourcing mediums and that is the Virtual Assistant industry – an industry that was birthed because of the Internet and technological changes that have taken place over the past 10 or so years. A Virtual Assistant is generally a service provider that operates on your behalf for your business on a virtual basis. They generally do not work in your office (in most cases) but are still as close to you as your computer. Whilst initially a virtual assistant was a personal assistant of a secretarial and/or administrative background, their serviceability has grown considerably. Research of the various Virtual Assistant (VA) and Virtual Business Operator (VBO) Networks globally show that services provided are frequently additional to secretarial services, and include many of the following: bookkeeping, graphic design, events management, association management, phone answering services, copywriting, ghost-writing, real estate support, database development and management, website development and management, internet research, PowerPoint presentations, troubleshooting, concierge services, travel arrangements, risk management, and the list goes on. If it can be done on a computer, chances are there is someone who provides this service virtually. And depending on the service required, it won’t always be necessary to have someone in the same city or state, let alone the same country, to perform those activities for you. In fact, the time zones around the world can work to your favour if timing is short for your project. Digital transcriptions are an ideal example. If you have a recording that can be converted, or already is, in digital format, sending this file via email, or making it available online to be downloaded by a Virtual Assistant means that the transcription can be typed whilst you’re in bed at night. This means you can use timing differences around the world to your advantage. It also means that depending on the country the transcriber is in, there could be considerable cost savings in what you pay for the finished work. Many business operators still think in terms of engaging an employee when the administrative work gets too much for them but, slowly and surely, many are beginning to realise the benefits of outsourcing and/or offshoring. Gone are those additional costs of taxation, workcover, superannuation and insurances – these are all looked after by the person the work is outsourced to – because they are business operators themselves. It is in their interests to look after your business as their own – after all, you become their client. Gone also is the need to ensure you have suitable equipment, software, furniture and space for this operator – they work in their own office. Things you need to think about when outsourcing or offshoring:
|
|
|
|
Melb +613 9585 5780 Fax: +613 9585 3785 Tollfree (ex Melb) 1800 033 355 "A Clayton's Secretary"® ABN 76 809 078 624 Updated:
August 15, 2005
|