Outsourcing Successfully
OUTSOURCING
CHECKLIST OF A SUCCESSFUL OUTSOURCING
TYPES OF OUTSOURCING ARRANGEMENTS
OUTSOURCING PROCEDURES AND STEPS
DRAFTING OUTSOURCING AGREEMENTS
SETTING
UP OUTSOURCING IN INDIA
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Outsourcing is the contracting
out of a company's non-core, non-revenue producing
activities to specialists. 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
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How can internal processes be
improved? |
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Identify non-productive processes
and the time that is spent on these activities.
Could this time be directed into other more
profitable areas of your business? |
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What will be achieved by
outsourcing? |
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How will outsourcing affect the
performance of the business in practical terms? |
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Are the cost benefits both
long-term and short-term? |
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How does outsourcing compare using
internal resources (taking into consideration
factors such as employee-related costs,
technology, training and administrative support). |
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What risks are increased and what
risks are decreased? |
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Will important information still
be at management's fingertips? Will outsourcing
improve disaster-recovery capabilities? |
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What impact will outsourcing have
on internal resources? |
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Will employees' duties change? How
will existing resources be redirected? |
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What will the financial
arrangements be? |
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How is the fee structured? What
does it cover? |
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.
For more information on how to Draft Outsourcing Agreements
click here
We provide outsourcing solutions
through the following Process:
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Situation Analysis - Analyzing
the company's requirements and identifying the
"outsourceable" components.
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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.
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Contracts & Agreements -
Drafting all the outsourcing
contracts.
How to Draft an Outsourcing
Agreement, BPO Agreement, KPO Agreement?
Offshore outsourcing is a
legal minefield and many companies are not aware of the problems
it causes. Of the 18 areas in a standard contract 15 need to be
changed if the outsourcing provider is abroad. 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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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. 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
Setting up
Outsourcing operations
Madaan & Co. has helped US
companies in setting up there outsourcing operations in India
and other countries - subsidiary as well as third party
outsourcing. We can help you in setting up outsourcing to India
and other countries. We have also helped US law firms in
handling their outsourcing contracts and agreements. We can help
your law firm or company
in setting up outsourcing to India and other countries.
Contact us for
setting up outsourcing operation in India and other countries
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