South Africa has seen a resurgent in interest from foreign companies looking to offshore their call centres here. This has been stimulated by a number of factors such as Cost reduction, Government incentives, English competency, Accent acceptability, Cultural Compatibility, Data Protection Compliance and Quality of Service. However, there are some inherent business and financial risks associated with off-shoring to a new destination and CCN believes they can offer a solution to mitigating these risks.
These risks could be categorised into the following areas:
• Localisation risks including labour, political, geographical and cultural risks.
• Financial risks including contractual, financing and cost overruns.
• Business risks including focus, speed to market and legal risks.
• Initial implementation risks including resource allocation, costs and time.
• On-going operational performance risks.
The solution lies in a hybrid approach between outsourcing and establishing a captive operation, which relies on internal resources. The DBOT model provides a phased approach to implement a turnkey operation, with a highly qualified team of internal and “local” experts in order to mitigate risks.
1. It is a risk adverse localization model.
2. Requires limited, or an option for no CAPEX.
3. Provides speed to offshore markets.
4. Provides speed of implementation.
5. Provides speed to the cost savings anticipated.
6. Provides instant access to local business administration
resources and infrastructure.
7. Provides instant access to local business practices, legal
and financial resources.
8. Mitigates risks associated with all localization issues such as:
i. Labour legislations and basic conditions of employment
ii. Trade Unions
iii. Legalities around People Performance Management