Entry

How does 'Outsourcing' differ from 'Offshoring'?

Apr 7th, 2008 05:47
Maneet Puri, http://www.lexolutionit.com

Outsourcing and Offshoring are two related, but distinct topics.
Outsourcing is the movement of an internal business function to an
external company, regardless of the location of the external company in
the same country or not. Offshoring is the movement of an internal
business function to another country, regardless of whether it stays in
the same company or not. Offshore outsourcing is the combination of the
two, the movement of an internal business function to both another
company and another country. The terms are not synonymous.

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