Globalization is ushering in a new era for organizations, where barriers to entry have never
been lower. The shift required for organizations to remain competitive in a global market,
where historical and geographical divisions are becoming increasingly irrelevant, is to look at
the components of their operations and develop strategies for how to optimally source labor,
materials and skilled services.

Outsourcing or sub-servicing: The process of contracting to a third-party.

In-sourcing: The delegation of operations or jobs from production within a business
to an internal (but 'stand-alone') entity that specializes in that operation.

Business Process Outsourcing (BPO): BPO is a subset of outsourcing that involves
the contracting of the operations and responsibilities of specific business functions
(or processes) to a third-party service provider.

Knowledge Process Outsourcing (KPO): KPO is a form of outsourcing, in which
knowledge-related and information-related work is carried out by workers in a
different company or by a subsidiary of the same organization, which may be in
the same country or in an offshore location to save cost.

Captive Center, including Hybrid Captive: A company-owned off-shore operation.
The activities are performed offshore but they are not outsourced to another
company. The staff members are employees of the parent company. The goal of
Distributed Workplaces is to advise clients on their optimal sourcing strategy,
as well as identify and engage the best service providers available.

© Copyright 2010 - Distributed Workplaces, Inc.

News bites

A look back at
Obama's India trip
24 November 2010

WASHINGTON: US President Barack
Obama's recent visits to India, Indonesia,
South Korea and Japan have been viewed
by some as exposing a new reality that
in a multi-polar world, America is ...

Read more >>