Capterra Glossary
HR
Offshoring

Capterra Glossary

Offshoring

Offshoring means to move jobs offshore or to a different country. Many businesses may choose to do this to reduce costs. Functions that commonly get offshored include customer service, technical support, and other business operations that run primarily through a contact center.

What Small and Midsize Businesses Need to Know About Offshoring

For small businesses and startups, the advantage of offshoring is that it’s scalable. As a business grows, rather than having to buy or lease new premises, it can simply upgrade its contract with the offshore provider. The downside to offshoring is that businesses have no direct relationship with the employees who speak for their company. If a customer has a poor experience, it’s difficult for a business to deal with that directly or quickly.

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