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Business
Process Outsourcing
- Overview of Types
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The following provides a
quick overview of
the major types of Business Process Outsourcing:
SINGLE
FUNCTION, FULL OUTSOURCING
(SFFO)
DEFINITION:
An
organization (usually large) outsources 100% of a Single Function to
a separate support company. (This category can be sub-categorized
into Domestic and Foreign SFFO's).
| Example: Domestic and
Foreign Outsourcers who completely
assume responsibility for Computer Services or Customer Service Call Centers for very large
companies or government agencies.
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RESULTS:
Studies indicate that large-scale SFFO efforts have
had mixed results and some costly consequences. The biggest problems include:
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Outsourcer's
staff are not a part of the Client's organizational
culture -
yet they are completely providing one of its major functions.
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Total Costs of SFFO's are
often more than the in-house services they
replaced.
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Foreign outsourcings seldom
produce projected savings and
often experience difficulties
with Management,
Language, Culture, and Poor
End-User Integration.
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PRIVATE CONTRACTOR REFERRAL
(PCR)
DEFINITION:
PCR's
are only referral
services for small, Independent Contractors who are looking for
work. These Referral companies maintain
lists (categorized by work specialty) of private contractors who have registered with
them. No guarantee of fitness for work is made by
the Referral company.
RESULTS:
You choose one off of the list and take your chances; there are no
guarantees.
Hiring from a PCR is like hiring employees
"off the street" or renting Temps. This arrangement often requires more
management time.
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SINGLE
FUNCTION, LIMITED OUTSOURCING (SFLO)
DEFINITION:
SFLO's
are usually very small,
local outsourcers specializing in just one or two things
- 'bookkeeping',
'answering service', or
'typing', for
example.
RESULTS:
When a local person is required,
a SFLO (if chosen
carefully) can provide good help for limited
functions.
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TEMPORARY PERSONNEL
EMPLOYMENT AGENCIES (TPEA)
DEFINITION:
TPEA's
can supply local, on-site help in a short-notice situation
and have been around for many years.
RESULTS:
TPEA's can be helpful
in situations when you
temporarily need a person to be physically on-site.
You get who they send you and you're buying their time - not
results; so, again - you take your chances.
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T-21.com:
IN A CLASS BY ITSELF
DEFINITION:
T-21 provides
services that mix most of the generic types (above) plus other
21st Century innovations for
unmatched economy and efficiency.
Your organization can use our services to an optimum degree for your needs.
T-21 offers flexibility as well as guaranteed work and
rates.
RESULTS:
T-21 extends Support Services to many types of customers.
Advantages include:
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Services
for ANY SIZE Of ORGANIZATION - ANYWHERE.
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Extremely FLEXIBLE
Arrangements.
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Access
to a WIDE ARRAY OF PROFESSIONAL EXPERTISE.
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You
PAY FOR ONLY WHAT YOU USE.
T-21
Gives You AS MUCH as You Need, WHEN
You Need It, for AS LONG as You Want.
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