Organizational Schemes of Offshore Outsourcing Partnership

In terms of financial relations, there are two possible types of outsourcing partnership: Customer-Contractor and Partner-Partner (Offshore Partnership).

Customer-Contractor

This is the most common way of working with the international outsourcing partner. The customer assigns a project that we complete. Once the project is completed and paid for, and the product is delivered along with the copyright.

Offshore Partnership-Sharing Success

In this Partner-Partner option our company shares the business with the outsourcing partner. Our company makes a certain investment in the partnership, for example, giving a discount for our service or investing our know-how. According to our investment, we get a share of the project's profit.

This option has proven to be highly effective in long-term outsourcing partnerships. It allows a reduction in initial expenses and gives both parties a guarantee that each partner will do their best to make the project succeed.

In terms of organization of work, there are three types of outsourcing that we practice: project-based program, time-based program, and the mixed program.

Project-Based Program-Standard Management of Outsourcing the Project

This is a basic program that we use for short-term offshore outsourcing projects: the customer places an order, the contractor performs it, and then the customer pays. The program differs in details from project to project, but there is a similar sequence of steps in management outsourcing project that is good for most cases:

1. Organization step - stating the problem, detailing the workload, making an agreement.
2. Implementation step - performing the project.
3. Support step.

Please see Working on the Outsourcing Project for more details about the steps.

Time-Based Program

In this program we create one or more workplaces for a project. The customer finances the workplaces for an agreed amount on a regular basis. Each workplace is created for a specific specialist: Developer, Project Leader, Designer, etc. We come to an agreement upon such details as, "how much time a day the person devotes to the project?", or "if the person can be involved in other projects or not?"

This program is good for long-term outsourcing projects (six months or longer). It guarantees the customer's important plans will be implemented, and there will always be an employee available for the Customer's task. The time-based program ensures the most effective execution of orders, which results in saving money.

Mixed Program

In big offshore outsourcing projects, some tasks may be reasonable to perform in project-based program other tasks - in time-based program. For example, developing a new functionality can be executed in project-based program, while system administration and further support is done in time-based program.

This approach allows combining the advantages of both programs: on the one hand, the main part of the team is constantly working on your project; on the other hand, we get a flexible structure that allows coping with irregular work flow and saves your money.

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