Threats and Opportunities:.

Global teams for EVERY project

Scott Linden Jones

What do you know aboutthe biggest shift in human labour that

the planet has ever seen?

Why is offshoring increasing rapidly?

1. Technology, English and Education is making it easy.

2. Drive Costs Down / Profit Up / Outsource non-core

Why is offshoring increasing rapidly?

1. Technology, English and Education is making it easy.

2. Drive Costs Down / Profit Up / Outsource non-core

3. Push Service Levels Up

4. Lower Risk for Directors

5. Difficulty with finding talent

6. Competitors compressing prices

7. Governments buying on price

Why might you need to become an expert on

offshore teams?

(Global teams for EVERY project)

The scale and rate of adoption of offshore teams

Case Studies

Case StudiesSurvival / Profit Optimisation Strategy

Large Business - Contract Labouring

•Business was failing post GFC. Rapid turn-around needed.

• First moved 10 sales/admin roles to Philippines ($500k pa). This saved the business & saved 300 Australian jobs.

• Next moved 10 more positions (admin, marketing, finance, sales) – added another $500k to their bottom line.

•Added 10 new positions (marketing, sales/service) and created a new marketing team.

•36 month transition

•Added $1.2M to bottom line.

Case StudiesCustomer Service Strategy

SME IT Services

•Customer feedback was they wanted faster service.

•Goal was to increase service speed and keep costs static.

•Added offshore Support Coordinator, plus ten IT Engineers.

•Gradually got this team integrated and working direct with clients.

•Next added sales support roles and finance roles, to speed up sales response time and invoicing speed & accuracy.

•Eventually settled on optimal 30:70 staffing ratio (30%AU).

Case StudiesBottleneck Strategy

SME Construction Company

•Team of 10 office staff, bottleneck for growth was in tendering – a new Australian Estimator would cost $120k pa

•Moved just 1 admin role offshore, saved $40k pa

•Added 1 Estimator in Philippines for $35k including overheads, working under existing Australian Estimator.

•Doubled tender responses.

•Increased sales by 20% for zero net cost.

Case StudiesMarket Disruption Strategy

IT Services

• Began experimenting by delivering transparent onshore/offshore pricing model on corporate projects.

Ie: Our normal price is $xxxxx, OR we can do 80% of this project with the offshore team, with a saving of $zzzzzzzz.

• Won significant new projects as a result of the pricing and transparency.

• Launched a low cost IT support brand with labour price at A$50 /hr (about 30% of local avg)

Case StudiesLeverage Key Staff Strategy

Property Rental Management

• High quality rental property managers are hard to find & keep.This business was looking for a way to leverage their best PMs

• One good Property Manager could manage 50 properties effectively.

• They setup a Philippines support team to property managers, and identified every task which could be removed from the PMs, to free up as much of their time as possible.

• Now one good Property Manager manages 150 properties comfortably, tripled productivity! AND response time to customer enquiries has also reduced.

Case Studies

Questions on the Case Studies?

Coming up Next:

Opportunities for Project Managers

Opportunities for PMs

Opportunities for PMs1. Emerging SME market for Project Management

2. Increase in M&A and IPOs

Opportunities for PMs1. Emerging SME market for Project Management

2. Increase in M&A and IPOs

3. Significant failure rate offshoring – save the day

Opportunities for PMs1. Emerging SME market for Project Management

2. Increase in M&A and IPOs

3. Significant failure rate offshoring – save the day

4. Tap the talent of the world

Opportunities for PMs1. Emerging SME market for Project Management

2. Increase in M&A and IPOs

3. Significant failure rate offshoring – save the day

4. Tap the talent of the world

5. Fix budget problems by reducing costs (carefully)

Failure / Success Factors!1. Choose the right model for housing your team.

2. Choose the right providers for staff leasing, infrastruct, legal, accounting etc.

3. Effective recruitment processes (don’t rely on third parties, follow our system.)

4. Understand what your staff are being paid, & good salary package method.

5. Pay slightly above market, and remember your jobs are seen as premium.

6. Understand the key cultural differences. Manage appropriately. 7. Do the internal sell well with the Australian team. Pitch the benefits.

8. Make sure your team locations can communicate effectively - technology.

9. Start with something easy and build successes. DOCUMENT PROCESSES.

10. Otherwise: treat it just like another Australian team.

Opportunities for PMs1. Emerging SME market for Project Management

2. Increase in M&A and IPOs

3. Significant failure rate offshoring – save the day

4. Tap the talent of the world

5. Fix budget problems by reducing costs (carefully)

6. Fix project timelines – add more people

Opportunities for PMs1. Emerging SME market for Project Management

2. Increase in M&A and IPOs

3. Significant failure rate offshoring – save the day

4. Tap the talent of the world

5. Fix budget problems by reducing costs (carefully)

6. Fix project timelines – add more people

7. Add low-cost, low-tech quality checking systems

Want to Learn More?• Master Class Seminar $290 : in capital cities

• 3 hours of content-heavy practical advice on offshoring, including global trends, ethics, security, staffing models provider details & comparisons, how to find and keep great staff, culture differences, management techniques, selling the concept to your Australian/NZ team and more.

• Consulting :• 2 hour session, implementation report & delivery session

OR• First 90 Days - Implementation Package

OR• Customised consulting:

Includes fact find, tailored workshop, Philippines tour for exec team / board, Analysis & strategy session, 3-6 month implementation assistance.

Want to Learn More?• Philippines Guided Group Strategy Tour: $3870 + flights

(Under $5k total)

• Fully guided, all transport, meals, drinks & five star accommodation included.

• See the booming offshoring industry, see what works & what others are doing.

• Visit about 10-12 of the best facilities and meet the owners/managers.

• Pre-tour strategy focus session to get you focused on what answers you need to collate during the tour, and your customised scoring system for facilities.

• A wealth of additional offshore experience sharing by Scott and others.

Resources:.

Easy Offshore: www.easyoffshore.com.au

IT Services for Offshoring: www.itleaders.com.au

The Third Wave book: www.amazon.com (search on “Scott Linden Jones”)

Contact Scott onLinked In

Phone: 0414502228 Email: SLJ@easyoffshore.com.au