Offshore outsourcing and promises

July 22nd, 2010

As you know, we are small but growing offshore outsourcing team in Nepal. We have seen lots of similar companies rising/falling around us since 2002. All claiming to provide quality driven service on time, mostly with CMS based website production.

While the website production might be an easy job because of available tools and resources on internet. For lots of people, unfortunately handling an outsourcing business doesn’t seem to be one. I kind of agree, that possibly handling any business is not easy. As an entrepreneur you know duplicating others business doesn’t bring the success, but in an effort to capture a small un-served region an entrepreneur tends to duplicate other’s business. As there seem to be more and more people trying to outsource. There will be more and more providers emerging and competing with each other fundamentally on price. Each provider claiming to be cheap and providing excellent quality.

While low price is the most common motivation for buyers, a buyer and seller both shouldn’t forget the price is associated with value. First of all a service provider must be serious with his claims and promises he makes. The promises made on website or flyer is not just a marketing word but also some how a commitment to your customer.

When a buyer chooses a service provider typically because of less hourly price. A buyer must carefully analyze the value associated with it.
e.g. it won’t be cheap any longer if project is delayed because of mismanagement or bad management. Even if you work at fixed price per project. Similarly, it won’t be cheap if the quality expectations of the project are not met.

Though for larger outsourcing companies a legal contract may give some relief with poor performance at buyers. (But i seriously doubt because of legal barriers across the countries legislative procedures could be very complex).

I argue that for most outsourcing companies for both buyers and sellers the personal ethics and honesty is the key to their success, if you keep your promises success will come to you.

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