Difference between OFFSHORING and OUTSOURCING


Outsourcing and offshoring are two different things and the majority of these terms are using. In business in outsourcing companies or organizations hire different workforce related to different professions. And the main purpose of outsourcing is to reduce the cost of products or services. When a company starts outsourcing on a mass scale then they don’t need mega infrastructures. And other resources like food for workers, transport service, sitting area, and other kinds of accommodation companies become assets fly models. In outsourcing has many disadvantages also the main problem is. Quality control and time management because you have not to control over your worker or employer but the company outsources any task when they have time issue labor issue or there is no employee according to that particular skill.

Difference between OFFSHORING and OUTSOURCING

Offshoring is a totally different debate from outsourcing. In offshoring company shift the whole plant to another country and usually mega-company shift their plant. In low economy country because in that type of country the cost of the final product is too low labor daily wages in that type of particular country are very low.



If you have some mega or small project then you hire other people for doing that task or project its called. Outsourcing basically you work as a middle man you charge more your client and pay less to your employee.



When a company shifts the whole plant to another country is called the offshore company and the main benefit or cause of an offshore company is a decrease in the price of the product. And hide from the tax because in the modern country you have to pay a lot of taxes.


The main difference between OFFSHORING and OUTSOURCING:

The following are some of the major differences between OFFSHORING and OUTSOURCING:

  • Work as a middle man is called outsourcing or if you win any project that not includes in your domain then you hire an expert in that particular field.
  • In an offshore company, you transfer the whole company to another country.

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