Offshore Outsourcing-Do not realize expected benefits

September 4, 2009

CUPERTINO, Calif.–(Business Wire)–While many companies are successful in offshore outsourcing, GDC`s research shows that a large number – better than 50% – do not realize expected benefits.
Even those companies initially successful face challenges over time. In these organizations, questions begin to surface – “It takes two to three people offshore to get the work done by one locally. Plus we have to put up with a
variety of challenges. What value are we really getting from offshore outsourcing?” Offshore vendors also become frustrated with this situation because they work long and hard.

Net result – neither the offshore vendor nor the company is happy.

GDC solution – Offshore Outsourcing Optimization

Based on experience spanning nearly 2 decades we have developed a solution. Our
offshore outsourcing optimization service will help uncover issues preventing
companies from realizing full benefits. GDC will review offshoring goals,
identify current business value, establish improvement potential, make specific
recommendations, provide a roadmap to achieve full potential and help implement
the recommendations. This approach has been successfully applied at several GDC

A Silicon Valley high tech company with $500 million in annual sales, engaged in
offshore outsourcing for 3 years, faced low offshore productivity combined with
high turnover. Many in the organization questioned the decision to offshore. GDC
conducted a comprehensive audit both in the U.S. and overseas. GDC established
that the decision to offshore was sound, but changes to offshoring model and
management processes needed to be undertaken. Company applied recommendations to
increase cost savings by 25% and achieve higher level of internal acceptance.

A software application developer with $120 million in annual sales, engaged in
offshore outsourcing for 4 years, was dissatisfied with results. GDC helped
define a new offshoring strategy, identified specific offshoring management
processes needing improvement and developed a road map to increase cost savings
by more than 200%.

For more information, visit our web site