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Industries in
BPO
1. Offshore Outsourcing
– is outsourcing contracted outside a
company's home country. This is done when
high-volume, low-complexity tasks are
processed in a country with a significantly
lower cost base than where the service has
become more sophisticated
For example, the UK: traditionally India, but
more recently China, the Philippines,
Malaysia and some South American countries.
2. Nearshore Outsourcing - BPO that is
contracted to a company's neighboring
country. The cost base of these countries is
still lower, but geographical proximity and
cultural similarities can create an easier
working relationship
A good relationship, cultural similarities and
absence of communication gap can result in
a more complex work being transferred
easily. For Western Europe, this is to Eastern
Europe. For the United States this is to
Canada and Mexico.
3. Onshore
- is an entirely different scheme. It is the
practice of obtaining business-critical, high-
level services from someone not employed by
the company, but within the same country.
Onshore services are unique for each
company.
(e.g., When Burger King Corporation, a US-based
chain of restaurants, lost its laboratories in the
havoc created by Hurricane Andrew in1992, the
company was forced to outsource its quality
assurance functions to other companies in the US.
Burger King still outsources its quality assurance
functions onshore even after rebuilding its
laboratories because it allows the company to
make productive use of its internal resources.)
(e.g., When Burger King Corporation, a US-based
chain of restaurants, lost its laboratories in the
havoc created by Hurricane Andrew in1992, the
company was forced to outsource its quality
assurance functions to other companies in the US.
Burger King still outsources its quality assurance
functions onshore even after rebuilding its
laboratories because it allows the company to
make productive use of its internal resources.)
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