Transitioning Service Delivery to Offshore Delivery Centers: Its Not About Financial Incentives
In the realm of professional services, the establishment of offshore delivery centers is often misconceived as a strategy primarily driven by financial incentives. However, experience and emerging trends indicate that the mere allure of cost savings is insufficient for the long-term success of these centers. Instead, the true value of offshore centers lies in their ability to seamlessly integrate with onshore teams and to commoditize services that ensure uniformity and predictability in delivery quality.
Aligning Offshore and Onshore Teams
The first step towards operational excellence in offshore delivery is fostering a strong alignment between the offshore center team and the onshore delivery team. This integration is pivotal, not just for the seamless execution of tasks, but for the cultivation of a unified corporate culture that transcends geographical boundaries. Strategies to achieve this include:
Regular Training and Knowledge Exchange: Implement comprehensive training programs that are consistent across locations to ensure that all team members are equipped with the same skills and understanding of company standards.
Unified Communication Platforms: Leverage modern technology to facilitate constant and open communication channels. Regular video calls, shared digital workspaces, and real-time collaboration tools can help simulate a co-located environment.
Cultural Exchange Initiatives: Encourage inter-location visits and team-building activities that help bridge cultural gaps and build empathy among team members.
Commoditizing Professional Services
The commoditization of services—transforming bespoke professional services into standardized, repeatable offerings—is critical for the effective utilization of offshore centers. This approach not only enhances scalability and efficiency but also ensures consistency in the quality of service delivered across global markets. The process involves:
Standardization of Processes: Develop clear, detailed process documentation that can be replicated across various teams and locations. This includes standardized training materials, workflows, and quality benchmarks.
Automation of Services: Identify areas within service lines that can be automated to reduce dependency on human intervention, thus increasing efficiency and reducing the scope for errors.
Quality Control Systems: Implement robust quality control measures that ensure all services meet set standards before they are delivered to clients. Regular audits and feedback loops are essential for continuous improvement.
Mandating Offshore Delivery
Once professional services are effectively commoditized, they should be mandated to be delivered through the offshore center. This directive should not be seen as a downgrade but as a strategic move to leverage specialized expertise and technological capabilities that the offshore center develops over time. Implementing such mandates involves:
Clear Communication of Benefits: Articulate the benefits of this strategic shift to both internal stakeholders and clients to garner support and reduce resistance.
Gradual Transition Plans: Provide a clear roadmap for the transition of services from onshore to offshore centers. This includes timelines, expected challenges, and mitigation strategies to ensure a smooth transition.
Client Involvement and Transparency: Keep clients in the loop about how services are being standardized and the benefits it brings to them, such as greater scalability, cost efficiency, and consistency in service quality.
Running an offshore delivery center in the professional services sector transcends financial motivations and requires a strategic focus on integration, standardization, and quality control. By aligning offshore and onshore teams, commoditizing professional services, and clearly mandating the use of offshore delivery centers, companies can not only enhance their operational efficiencies but also improve service delivery consistency. This strategic approach ensures that the offshore centers are not just cost centers, but valuable hubs of expertise that contribute significantly to the global objectives of the company.
