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Offshored Service Cost Model as a Key Post-Transition Challenge

Kedziora, Damian and Kraslawski, Andrzej and Kärri, Timo (2016): Offshored Service Cost Model as a Key Post-Transition Challenge. Published in: Journal of International Studies , Vol. 3, No. 9 (December 2016): pp. 229-240.

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Business process offshoring has been dynamically growing worldwide in the last few years, facilitated by the corporate need for operational expenses reduction, overcoming skilled workers shortage and the potential for operations optimization. At every stage of organizational changes, there are various challenges the service offshoring managerial community constantly struggles with. Th e paper presents the offshored service cost model that can be adjusted and applied for service budgeting, valuation and control, for it has been identified as the most common challenge affecting Polish service off shoring corporations in the post-transition period. Th e need for strengthening this area of knowledge was identified through empirical research and the case study conducted in this work serves for presenting the authors’ insights on cost modelling for offshored business services.

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