Rural Sourcing and the New Enterprise
Rural sourcing, popularly known as domestic sourcing, is a cost effective option to offshoring and is perhaps the way forward for new businesses. Hailed by Gartner as the model that “offers cost, marketing, language and cultural benefits, making it an attractive alternative to offshore and other onshore models for some organizations,”,rural sourcing came as the solution that the administration was looking for to provide a much needed impetus to the US economy. The idea was simple: to combine the best of onsite professional assistance with the ability to have remote development teams situated across rural areas in America. A CNN report claimed that even as “the national unemployment rate hovers near 10%, some companies are starting to eye job-hungry areas of the country as prime candidates for the kind of outsourced work that once would have gone overseas,” a clear indicator that looking inwards for sourcing work could be the trend that changes the way business is done in the United States.
Domestic outsourcing has the ability to ensure the same level of savings as offshore outsourcing. New enterprises can invest in the US heartland to provide them with better service at the same cost and with better results than offshore outsourcing. Areas in the heart of the country, such as Wisconsin and Michigan, are benefitting from this trend. Owing to rural sourcing, several new American firms are using professional services from teams located in rural areas. The added bonus of rural sourcing is that reduced operational costs and labor costs make for an attractive business model. Furthermore, rural sourcing also provides advantages that include reduced travel costs, since only domestic traveling is involved. New domestic IT enterprises who were wary of extending and outsourcing their requirements to countries like India or China can now outsource their work inwards, within the country. Of course, such enterprises must be sure of what kind of personnel they require for their enterprise and then move forward with a plan seeking the right people equipped with the requisite skills.
Rural sourcing offers new enterprises dedicated delivery centers that can offer the best results and an average of 30 percent savings owing to reduced costs for in-house or contract personnel. Also it ensures complete resource scalability and domain expertise that can be available at dramatically reduced costs. An economically viable and socially beneficial alternative to offshore outsourcing, rural sourcing can be of immense value for new enterprises that are looking for a scalable and flexible working model.