What is the difference between the different remote workforce models?
Previously, the three different remote workforce models were discussed. Each of these models represents a different way in which a business can access a remote workforce, dependent on their business requirements, goals and objectives.
The characteristics of each model provide insight into their suitability for businesses considering a remote workforce, the different models and their characteristics are:
|Freelancing||– Short term
– One project at a time
– Deal directly with the remote worker dealing with the project
– Can use a platform like Freelancer/Upwork/Fiver
– Very transactional
– Not a strategic decision
|Outsourcing||– Engage with an outsourcing provider to provide a service
– No involvement in the recruitment process
– No direct managerial control over remote workforce
– Outsourcing provider retains full control over staff, even when project ends.
– Project and schedule based – can be time critical or task driven
– Not integrated into local workforce
– Short to mid-term focus
|Offshoring||– Offshore service provider assists to implement a fully integrated offshore team
– Maintain direct managerial control
– Direct involvement in recruitment activities
– Organic growth of offshore team promoted
– Long-term strategic decision to offshore specific functions (not just a project or task)
The above table provides a hit of insight into the characteristics of each model, it certainly is not exhaustive. The noticeable difference in each model targets the strategic objectives of any business considering a remote workforce. This is particularly relevant in terms of the time that a business is looking to invest in a remote workforce strategy.
As the table illustrates, the difference from basic freelancing to developing a fully integrated offshore workforce is a short term versus long-term approach. A business looking to offshore is looking towards the future and accessing a remote workforce that will grow as they grow and learn as they work with the business. On the other hand, an outsourced workforce may be a means to an end, delivering a project with time constraints or maybe even increasing capacity during a busy period.
The model used will reflect business goals and objectives.