Outsourcing Customer Service Advantages And Disadvantages

Some providers of outsourcing may be providing the same service for several companies at the same time. Due to this, they will not be able to provide 100% of their attention to any of these companies and their quality may not be up to par. This can reflect negatively on the company as the customer calling may not be aware that the call center is being run by an outside source and they may directly relate it to the company. So unless the service being provided is truly top notch, it may prove to be less beneficial to the parent company than expected.

Outsourcing can be a means to perform the core functions of an organization effectively by having more time focused on the activities critical to the delivery of services to customer. The non-core activities are performed by the leaders in that area which will help to achieve better efficiencies. Outsourcing can substantially lower costs, help to access better technology and use innovative ideas etc.(Robert,2001). The advantages of outsourcing are: Cost savings:

The most populace countries in the world, China and India, seem to be the two countries tapped into most for outsourcing. I’m pretty sure everyone has called into a call center at least once and reached some Indian person on the other end. The language barrier is evident. This has an impact on the level of quality service they can provide. “India appears to be a global business nightmare. People speak dozens of different languages throughout the country. Getting around is a challenge due to a terrible infrastructure. Foreign companies must deal with tight regulations on investment, slow bureaucratic culture, and the politics of family owned big- business. UPS delivery men, for example, must often ask for directions because there are no street numbers. (Williams, 2010). This is a perfect example of what is going on in foreign countries with which we are outsourcing business too. A bit scary if you ask me.

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Providing a consistent level of customer service to customers is a top priority of companies who are considering or have already moved part of their operations offshore. The customer service aspect of outsourcing is an important topic because it is equally divided between positive and negative viewpoints (such as?). If an organization fails to properly consider and handle the potential negative aspects of outsourcing, customer service centers, their reputation with customers may be negatively affected.

In choosing the location to outsource services, the political, educational and economic culture backgrounds should be considered and looked at. Determining a location, even if it is simply a small company with nearly dozen clients service representatives, in another investment that needs to be consider the laws for employment of the individual country where the outsourced employees are localized. Working hours and days may be more limited than in the United States. Conversely, employment laws in some places are less harsh and employees may presume to put in up to 16 hours per day give or take. There are then ethical issues in the time employees are expected to work, the number of break times they are allowed and the working conditions they may work in.

Outsourcing involves the transfer of an organization’s regular business activities (functions and processes) to an outside service provider that provides the services back to the organization, as defined in a (typically) long-term contract. The core of an outsourcing arrangement is that the control and ownership of the business activities are put into the hands of the service provider. The service provider then owns and manages the business processes, including the resources that are used to provide the services to that organization. In a typical outsourcing, the people, the facilities, the equipment and the technology are transferred to the service provider. Given the magnitude and complexity involved, outsourcing relationships tend to be long-term propositions, usually in the 5 to 10 year range, and sometimes longer.

Customer service is developed by the patient’s satisfaction and the effect it has on the health care system. Customer service is the face of every business and specially the health care system which it provides leaders with an idea of how the business should look or act. The healthcare systems benefit from the opportunities made by patients. Patients should be the instrument to provide guidance while the physician advocates for the patient’s health. Customer service is a support system between the patient and the physician and without that support system then there is not guidance for a better lifestyle for patients. This is a competitive market that have a few limitations and those limitations start with customer service in healthcare and how to provide the best care for patients. These challenges that the healthcare system face will overcome those obstacles and bring out their best principles to make the system better. Patient centered care relates to customer service and should be recognized as the central focus. High- quality healthcare systems provide satisfaction to patients to show that their experience will be well worth it because their physicians care about their patient’s health.

After outsourcing, company may find it difficult to handle the offshore provider as compared to handle within the

Because of the rising cost of information systems functions in some firms, managers are finding ways on how to control these costs and are considering Information Technology as a capital expenditures/investments rather than as an operating cost of the firm. Controlling these costs by outsourcing are one of the options because some firms considered this option as cost effective than to maintain their own computer centre and information systems staff. Another concept of outsourcing IT systems is, to pay only for what it uses meaning the company will pay only the outsourcing partner according to the extent of computer processing that they needed rather than to build their own computer centre and not utilized or it is underutilized when there is no peak load. Some firms also outsourced because their information systems personnel can’t cope up with the rapid change of technology. But not all firms may have benefited from outsourcing, there are also disadvantages of outsourcing that a firm must carefully consider which may or can create serious problems for the company if they are not well understood, managed and taken for granted. Below are some of the most popular advantages and disadvantages of Computer Information Systems and Hardware

Outsourcing refers to hiring an outside, independent firm to perform a business function that internal employees might otherwise perform. Many organizations outsource jobs to specialized service companies, which frequently operate abroad. The outsourcing trend stands to continue; the latest wave of outsourcing impacts the information technology field. IT outsourcing includes data center operations, desktop and help desk support, software development, e-commerce outsourcing, software applications services, network operations and disaster recovery.2

Outsourcing can also help companies to have access to new technologies that might not be used in their company. This is mainly because the outsourcers use the latest state-of-the art technologies to serve their private sector clients. And this might also increase the change paradigm shift and rapid migration of these companies to new technology. Outsourcing also helps multi functional areas and department of a public sector providing the benefit of 24-hour operational cycles and providing necessary services to their customer.

An outsourced call center will help you with advice for any issues, and will add to the range of exchanges with clients. Large companies, however efficient they may be, have the need for service providers combining teams trained to deal professionally with any situation, the mastery of abundant technological innovations and a seamless organization combining the two as closely as possible to the needs of each client. The evolution of the call center sector is changing the paradigms.

As more companies expand their business globally, they are seeing more opportunities and an increased set of threats to the market. Threats like war, political revolutions, new currencies, and natural disasters can affect growth and political stability throughout the world, so in order to successfully compete in the international market more companies are faced with the decision of relocating part of their operation offshore. This paper will address what key elements companies in this situation need to address, such as, quality of customer service provided, security of confidential information, and the possibilities of cost savings, in order to be sure that outsourcing is the best solution for their company.

In the rapidly evolving global marketplace we live in today, companies and organization have to deliver their goods and services at faster rate and at a higher quality of service than ever before. An organization also has to be able to quickly diversify its services in order to meet the changing needs of its clients and customers. To meet these needs always requires the adaptation of new skills and abilities to provide newer and improved goods and services. In essence, organizations need to develop according to the demands of its clientele and needs the capital, talent and human resources to do so. Again, the speed at which organizations need to evolve to meet its demands often leads to the procurement of resources outside the organization. “The speed with which firms need to respond to the market and the call for diverse products are forcing businesses to invest in forming strategic business alliances” (Doz & Hamel, 1998). Almost every business organization today has enlisted the aid of an outside entity to perform one or many of its daily business function. Functions such as payroll services, health and benefit administration, talent acquisition, and human resource management that were handled in-house, are now outsources to outside specialized agencies. Additionally, companies have even sought to move their business hubs overseas for financial advantages. The factors that determine the benefits of outsourcing on either a specific project or business function as a whole