Outsourcing - Benchmarked Companies
Outsourcing
Sun Microsystems, Sony Electronics and British Petroleum have all seen significant cost savings by outsourcing or offshoring (Stopper, 2005). Now, Global Com will soon join their ranks with the recent decision to relocate the Technical Call Centers to Ireland and India. While the Global Coms business case had shown a reduced unit cost of 40%, a recent University of Colorado at Denver study had shown that of 22 companies polled, 17 had cost savings of up to 60 % (Serapio, 2005).
The Telecommunications industry has been using offshore operations for a number of years now. This is not new or unique to Global Com. While this is a difficult decision for the Management at Global Com to make, the benefits will help Global Com improve profitability. Sony Electronics had decided in 2001 to do the same with their Human Resources administration. As Sony grew they needed to consolidate their HR to process to a single point of contact. Because their new system is web-based,......
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Approximate Pages: 2 (250 words per double-spaced page)
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