
Off-shore outsourcing is here to stay. Beyond call centers, outsourcing also includes off-shore accounting, programming, engineering, HR benefits administration, AR/AP Processing, etc.
Off-shore Call Centers are one of the biggest shifts in the industry of the past decade. At first, the difficulty and cost of the transmission of voice across the globe was a major obstacle, but that is now not generally an issue. The quality of the voice of the agent is still an issue, but there are more and more agents who speak great English with little or no accent.
The largest expense in a call center is the agent labor cost. Agents off-shore will earn $2-$4 per hour at a off-shore call center, compared to $7-$12 per hour at a US based call center. This savings translates to lower costs in the hourly rate, per minute charges, or price per close fee they may charge. You may see hourly rates of $7-$16 per hour from off-shore firms, where US rates are more in the range of $20-$26 per hour.
This means that a client would pay 1/4th to half of what they might pay for a US based call center. That savings for a large program can be significant and help overcome some of the obstacles of outsourcing off-shore.
Some of the challenges faced by firms using off-shore call centers include the time zone hurdle, the difficulty of working with and communicating with account managers who are based off-shore, and the difficulty of travelling for several days to get to the call center if you need to do on-site monitoring.
India is the dominant off-shore player, but the Philippines are coming on strong.






I think the best idea so far is hiring at-home workers like www.willowcsn.com
For companies they are keeping much needed jobs here in the USA and at a cheaper rate since they hire contractors and therefore are not responsible for things like insurance, benefits packages, ect.
It is beneficial to workers because disabled or parents with young children can work from home and not have to rely on welfare from the gov't.
Posted by: Mariela | December 20, 2005 3:14 PM | Permalink to Comment