Business Recipes for Success

Outsourcing and Ana

I received two no-reply e-mails from DELL informing me that my account
was credited with the invoice value of the laptop that I ordered for my friend. What...?
I got no Dell account. So I exhausted all means to talk to a live person and not to
an automated answering system which redirects you to several options then at the end, nothing.

I got hold of one guy from Dell Preferred Account. Indian accent but with a non-Indian name. I started asking questions as to why is my account credited when I do not have one and I was not the purchaser, blahblah. I heard something like dialing up. I found out that he hung up on me when I kept on repeating my questions because he could not shed light on the issues, I brought up.I dialed again and this time, I got hold of Ana, so that's what she told me but her accent doesn't match with her given name since the people with that accent do not carry Christian names. This is the third time, I talked to A CSR whose names sounded like Filipino or Hispanic but their accents will tell you where they are really based.

Thank BPO for that. Business Processes Outsourcing for you.

For the last twelve years, offshore outsourcing contracts were awarded to two countries, China and India because the educated professionals in these two countries are willing to accept much lower wages than that of their counterparts in the US.

This was a hotly debated issue when alarmists attributed the increase of unemployment rate to the offshoring of the jobs to the less developed countries.
Many of those who are against outsourcing claimed that this business practice is depriving the locals the much needed jobs. Unemployment cause people to lose their purchasing power as consumers and therefore demand for non-basic products are
significantly affected.

Pro-outsourcing business processes however believe that it helps buoy up economy since it countributed to the GDP of the country. Industries can operate more efficiently at lower cost and therefore can flow back whatever savings are generated from offshoring businesses.

The savings are in the form of:

1. payroll and taxes not only for staff whose duties but also for administrative personnel whose functions are no longer needed
2. capital investments since companies in the developing economies take care of the necessary equipment and working capital to get the contracts.
3. reduce operating costs in the form of rent and other maintenance costs

Some reasons for offshoring business processes are:
1. gain access to the resources that are not available internally e.g.
professional ITs.

2. Transfer responsibility of functions that needed detailed attention and yet difficult to manage without needing a bigger number of employees.

3. Allow the company to focus on its main line of business.

4. Gain access to global market.

5. Share risks

5. Capital infusion

The cost- benefit analysis will only reveal the benefits quantified and qualified.
The success of the offshoring in terms of meeting the company's goal however depends on the evaluation of its effectiveness and efficiency as to the delivery of the services contracted.

As to Dell, there may be a need to evaluate the performance of the people who are handling the offshored activities. Giving them global sounding names would not help when customers would desperately demand for more efficient services via good communication.


business,financial statements ,balance sheet ,statement

posted by cathy at 3:03 PM