Outsourcing Consultants
WHY OUTSOURCING CONSULTANTS ARE REQUIRED?
WHAT IS
OUTSOURCING
TYPES OF OUTSOURCING ARRANGEMENTS
OUTSOURCING CONSULTING STEPS
DRAFTING OUTSOURCING AGREEMENTS
SETTING
UP OUTSOURCING IN INDIA
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Why do companies need Offshore Outsourcing
consultants? Some benefits, that make hiring a consultant a
perfect business sense, are given below.
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They are objective to Customer Operations but
out of their Corporate Power Games. Very rarely we will find an
organizational power center in a consultant.
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They have been there done that and can
replicate it again for their customers and just as the customers
want it.
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They are clued in and can transfer skimmed
information and best practices.
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If moving offshore, they can behave as a
one-stop shop for entire Project Management.
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Local knowledge is yet another key that they
hold.
Evolving as they are, consultants have grown from simple
business sourcing companies for their centers in India to
companies that can provide end to end solutions for your needs
should you are headed offshore to India. There is a paradigm
shift here - a giant leap from Business Development Consulting
to Turnkey Project Management. The roles have changed the
following being prominent:
1. Facilitative: These guys are strong facilitators and
experienced practitioners who bring methodologies and local
knowledge with them. Will empower the group to level where
decision making is a snap. A facilitative consultant can easily
assist customers in getting work done for you.
2. Contributive: Normally a consulting team member. This entity
can be an objective and unbiased contributor to the solution;
may fill a gap in your team that cannot be filled from within
the organization; should be someone knowledgeable in your
industry. Will fill the group in with what's good, what's not
and what can be done. Mild. A contributive consultant will
generate enough information for customers to know what needs to
be done if you are going offshore.
3. Consultative: A subject matter expert with knowledge of
performance levels and best practices of similar organizations
and processes; able to perform specific tasks for the team. Will
take decisions in the perimeter drawn around their tasks. These
guys get a little cheesed off when other process loops from
other departments overlap and start having a bearing on their
area of expertise. Customers can expect this person to consult
objectively but in silos, for example, technology only.
4. Project Consultative: A consulting organization which can
source out end to end solutions for you, from regulatory, real
estate to stabilization of business operations. This breed can
be fearfully strong when it comes to negotiations. These are the
guys you need to look for if you are looking offshore to setup
your operations. This is technically a Project Management
interface which integrates various experts and function specific
executioners to ensure that customers are up and running as they
like it and as soon as possible.
Selection of a consultant will vary depending upon what your
objective is. If you are looking at outsourcing to a company
offshore, then you need someone who is capable of being a
facilitator. In case you want to create an offshore presence
then you need a turnkey project management consultant.
Outsourcing is the
contracting out of a company's non-core, non-revenue producing
activities to specialists.
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S uccess
in outsourcing can be expected when Outsourcing Agreements, Service Level
Agreements & Contracts are set up right and the parties know their duties
well.
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It differs from contracting in
that outsourcing is a strategic management tool that
involves the restructuring of an organization around what
it does best - its core competencies.
Two common types of outsourcing are Information
Technology (IT) outsourcing and Business Process
Outsourcing (BPO). BPO includes outsourcing related to
accounting, human resources, benefits, payroll, and
finance functions and activities. Knowledge Process outsourcing (KPO)
includes outsourcing related to legal, paralegal, and other
highly skilled activities.
For more information on how to Draft Outsourcing Agreements
click here
Outsourcing arranges may
range from sub-contracting to joint ventures to co-opetition and
a long range in between. It depends on the needs of a company to
see what kind of arrangement bests suits it. An outsourcing
consultant can walk you through various options and help you set
up optimal outsourcing for your company in a cost-effective
manner.
How to Draft an Outsourcing
Agreement, BPO Agreement, KPO Agreement?
A good outsourcing
agreement is one which provides a comprehensive road map of the
duties and obligations of both the parties - outsourcer and
service provider. It minimizes complications when a dispute
arise. However, many a times people neglect to pay attention
while drafting an outsourcing agreement.
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O utsourcing
Agreements, Service Level Agreements & Contracts are a must. Lawyers who
understanding the work culture and legal environment of both the jurisdictions
should be involved in drafting Outsourcing Agreements.
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Before
finalizing an outsourcing agreement, the terms
should be thoroughly discussed and negotiated to
avoid any misunderstanding at a later stage.
Lawyers from all applicable jurisdictions must be
consulted before finalizing any outsourcing agreement.
Before
signing an Outsourcing Agreement
the following must be properly addressed:
Duties and
obligations of Outsourcer
Duties and
obligations of service provider
Applicable law to
outsourcing agreement
Term of the
Agreement
Events of Defaults
and Addressing
Dispute Resolution
Mechanism them
Time limits
Location of
Arbitration
Number of
Arbitrators
Interim
measures/Provisional Remedies
Privacy
Agreement
Non-compete
Agreement
Confidentiality
Agreement
Rules Applicable
Appeal &
Enforcement
Be aware of local
peculiarities
Survival after Termination
of the main agreement.
Every outsourcing agreement should be
modified as applicable under different circumstances. One brush
should not paint all the painting.
For more information on how to Draft Outsourcing Agreements
click here
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We provide outsourcing solutions
including the following:
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Match Making -
Bringing parties together.
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Outsourcing Options & Planning -
Analyzing various options ranging from sub-contracting to co-opetiton
and planning
outsourcing model which is most appropriate in
the circumstances, including setting up subsidiary or joint
venture.
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Contracts & Agreements -
Drafting all the outsourcing
contracts and agreements.
Setting up
Outsourcing
in India
Madaan & Co. has helped USA
companies in setting up there outsourcing operations in India
and other countries - subsidiary as well as third party
outsourcing. We have also helped USA law firms in
handling their outsourcing contracts and agreements, and setting up outsourcing to India and other countries.
Contact us for
setting up outsourcing operation in India and other countries
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