The offshore outsourcing of services ad manufacturing can have its pros economically and financially if a company manages correctly. In order for offshore outsourcing to be successful, a company must go deeper than numbers and efficiently manage productions and operations. The production and operations management will ultimately determine the productivity, the creation and delivery, efficiency, cost, and impact on the bottom line of the offshore outsourced service or manufactured product.
             By offshore outsourcing services a company establishes a competitive advantage over other companies in their niche or market. They are able to offer a new innovative service many competing companies do not have. Through offshore outsourcing to countries overseas a company can offer services such as a 24 hour customer service help line or human resources center for the company you work at. One area of competitive advantage a company that outsources services can achieve is dependability. By introducing these new service features and company is insuring its customers and other employees the reliance that there will always be a person to contact if a problem arises.
             In order to implement this competitive advantage the company must first develop an operations strategy. An operations strategy is the "developing of a long term plan for determining how to best utilize the resources of the organization to implement the firm's long term corporate strategy." The operations strategy should include the positions and tasks that will be outsourced, what purpose and goals are to be met by outsourcing and where they are to be outsourced from. "This is not as easy as it sounds. Companies taking a long-term approach to outsourcing face a volatile market which is likely to change across the time period of the project. Structuring flexibility into the contract is therefore important." A company that chooses to outsource offsho...