Whenever a company or government relocates some of its operational processes such as accounting, IT or manufacturing it is referred to as SHR Solution Offshoring Services, and it can include the transferal to a foreign source of a function previously handled by in-house departments.
Although some intermediate goods like partially completed computers may not necessarily be comprehensively covered in the scope of the term. Essentially, SHR Solution Offshoring pertains to two major contextual dimensions which are production Offshoring or services Offshoring.
Properly defined, SHR Solution Offshoring Services are the transferal of a business function carried out at a particular firm in a country to the same or alternative company in a different nation - Offshoring can be contrasted with outsourcing which principally involves the movement of internal business processes to a third party entity.
SHR Solution opting for subcontracting in the same national territory is essentially outsourcing and not necessarily Offshoring, while the transfer of an internal business unit to a distinct company in another country is both outsourcing and Offshoring. Another relevant term is known as near shoring which aptly relates to the relocation of some business functions to cost saving foreign locations, which are geographical close (regional).
For example, a United States based entity transferring processes to Canada or Mexico is actually engaging in nearshoring, while inshoring refers to selecting services within a particular national territory - and betshoring applies to the picking of the best 'shore' candidate based on relevant criteria.
SHR Solution BPO Services arrangements entail the whole operational functions of the contracting firm being passed on to another entity, be it customer service, finance or accounting.
Body shopping on the other hand utilizes offshore resources and personnel to achieve small tasks without the need to necessarily delegate whole functions or processes to an Offshoring arrangement.
Physical restructuring or production Offshoring of specific products involves relocating physical manufacturing to an operationally cheaper environment, for example, the manufacturing of electronic components in Costa Rica. Some of the factors driving this practice are the availability of raw materials in the host nation to lower human resource costs owing to lower wage regimes.
Although some intermediate goods like partially completed computers may not necessarily be comprehensively covered in the scope of the term. Essentially, SHR Solution Offshoring pertains to two major contextual dimensions which are production Offshoring or services Offshoring.
Properly defined, SHR Solution Offshoring Services are the transferal of a business function carried out at a particular firm in a country to the same or alternative company in a different nation - Offshoring can be contrasted with outsourcing which principally involves the movement of internal business processes to a third party entity.
SHR Solution opting for subcontracting in the same national territory is essentially outsourcing and not necessarily Offshoring, while the transfer of an internal business unit to a distinct company in another country is both outsourcing and Offshoring. Another relevant term is known as near shoring which aptly relates to the relocation of some business functions to cost saving foreign locations, which are geographical close (regional).
For example, a United States based entity transferring processes to Canada or Mexico is actually engaging in nearshoring, while inshoring refers to selecting services within a particular national territory - and betshoring applies to the picking of the best 'shore' candidate based on relevant criteria.
SHR Solution BPO Services arrangements entail the whole operational functions of the contracting firm being passed on to another entity, be it customer service, finance or accounting.
Body shopping on the other hand utilizes offshore resources and personnel to achieve small tasks without the need to necessarily delegate whole functions or processes to an Offshoring arrangement.
Physical restructuring or production Offshoring of specific products involves relocating physical manufacturing to an operationally cheaper environment, for example, the manufacturing of electronic components in Costa Rica. Some of the factors driving this practice are the availability of raw materials in the host nation to lower human resource costs owing to lower wage regimes.