#4. Due Diligence Drive: Safeguarding Your Offshoring Venture with Informed Decision-Making.
Skipping or cutting corners during this process leads to financial loss, legal liabilities, and reputational damage. Therefore, conduct thorough due diligence to mitigate risks by allocating sufficient time and resources to conduct comprehensive research, evaluate all relevant data, and verify the accuracy of information to minimize potential risks, identify opportunities, and achieve strategic objectives.
Do not underestimate the power of vendor due diligence, especially outsourcing to a third party. Visit the sites to fully understand where the services will be provided and what security arrangements are in place. Additionally, interest from a senior level in the customer’s organization is essential to this process. It will also assist in concluding the contract negotiations to prevent fighting for small wins while the big picture gets lost, even if it delays implementation.
#5. Setting Sail for Success: Crafting a Winning Corporate Offshoring Strategy.
Offshoring requires a holistic approach to minimize risks and maximize benefits. You must look at the whole picture to get the most out of it and avoid potential issues. That’s why you should develop a plan for offshoring that works for your company. The senior management should take the lead and create a plan that outlines what to outsource, what can be moved offshore, which vendors to work with, the best locations, and the expected results. Procurement can then use this plan to find the right mix of suppliers, avoiding the complexity of multiple agreements, minimum volume commitments, and disparate terms across multiple locations.
#6. Take charge of your negotiations and keep the legal team from taking the lead.
When a company outsources work to a place where they don’t have a commercial presence, negotiations can be tricky. Usually, the legal team takes over and drives the conversation during the negotiation process. While lawyers bring valuable experience to the table, their involvement in negotiations can sometimes lead to prolonged back and forth, causing minor details to snowball into major issues, ultimately resulting in a breakdown of the partnership between the parties involved. Advisors and legal representatives need to offer their insights and opinions, but they should refrain from taking the lead in negotiations. Instead, letting the customer and vendor work together to find mutually beneficial solutions is advisable.
We believe your time and resources should be invested in your biggest assets: your people, clients and profitability.
Property Flex is Australia’s unique, specialist Business Process Outsourcing (BPO) company dedicated to the property sector.
Our focus is to assist you by taking the repetitive and rules-based tasks and decision-making, structured communication, and delivering these flawlessly at a cost point that significantly reduces your operational expenses while allowing you to focus on your core business objectives.
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