Offshoring Services
Offshoring refers to the practice of relocating certain business operations, processes, or functions to another country. This strategy is primarily adopted to capitalise on lower labour costs, access specialised skills, and enhance operational efficiency. Companies often choose to offshore functions such as manufacturing, customer service, and IT support to remain competitive in a global market.
Benefits of Offshoring with RAEORA South Africa
COST SAVINGS
We save RAEORA clients between 30-60% on operational expenses. We do this by leveraging favourable exchange rates and lower employment costs.
ACCESS TO SPECIALISED SKILLS
Offshoring allows businesses to tap into a global talent pool. RAEORA’s clients access highly skilled professionals whose talents may not be available locally. The result is improved product quality and innovation.
INCREASED EFFICIENCY AND EFFECTIVENESS
By delegating specific tasks to locations where they can be performed more efficiently, our clients can streamline their operations and boost productivity. Additionally, South Africa has a neutral accent that facilitates effective communication with global clients.
ROBUST INFRASTRUCTURE
South Africa has invested heavily in its technological infrastructure, ensuring reliable internet and telecommunications services. This robust framework supports seamless communication and efficient operations.
GOVERNMENT SUPPORT
The South African government actively promotes outsourcing through various incentives and support programs. Organisations like the Department of Trade, Industry, and Competition (DTIC) and Business Process Enabling South Africa (BPESA) offer resources such as subsidised office space and grants to encourage foreign investment. RAEORA works in partnership with local companies to ensure our clients can take advantage of this.
CULTURAL AFFINITY
South Africans have a natural rapport with Western cultures, particularly those of the UK and Ireland. This cultural alignment minimises misunderstandings and enhances collaboration, making it easier for international companies to integrate their operations.
TIME ZONE ADVANTAGE
Positioned in the GMT+2 time zone, South Africa is ideally situated for European businesses, allowing for real-time collaboration and support. This time zone compatibility is particularly beneficial for companies looking to provide 24/7 customer service.
GEOGRAPHIC PROXIMITY TO RESOURCES
For some of our clients, offshoring enables them to be closer to essential resources, such as raw materials.
CULTURAL DIVERSITY
While cultural differences can pose challenges, when employees match company culture they can also foster innovation. Through our careful selection process, RAEORA brings a diversity of perspectives to clients which often results in creative solutions and new approaches to business challenges.
EXPERIENCED IN-COUNTRY PARTNERS
RAEORA and Key Recruitment have over 45 years of experience in the recruitment and management of top talent. Through our EOR services we ensure that each of our client’s unique needs is continually met and their costs remain contained.
Different Types of Offshoring
CONTRACT OFFSHORING
A company outsources specific functions to a third-party service provider located in another country. This approach is often more flexible and costeffective, allowing businesses to focus on core activities.
EOR services fall under this category, as they involve outsourcing employment responsibilities to a third party.
CAPTIVE
OFFSHORING
A company establishes its own subsidiary in a foreign country, maintaining full control over operations and management. This model allows for direct oversight but requires significant investment.
MULTINATIONAL OFFSHORING
Large corporations operate in multiple countries, leveraging local resources and labour markets.
This type often involves a mix of captive and contract offshoring strategies.
PROJECT-BASED
OFFSHORING
Companies hire external teams for specific projects or tasks, such as software development or market research. This model is ideal for short-term needs and specialised skills.
BUSINESS PROCESS OUTSOURCING (BPO)
A form of offshoring where entire business processes, such as customer service or accounting, are outsourced to external providers. This allows companies to reduce costs and improve efficiency.
