Comparison: DEC Model vs Captive Center
So many factors can lead to an underperforming Captive Center. It is critical that you understand what is behind the poor results before you can even do anything about it. So, what has to be done? Re-evaluate your assumptions and keep all options on the table. Listed below is the comparison and good reasons why Proteans Dedicated Model can provide the solution you are searching for -
- Low capital expenditure
- Faster Go Live
- No need for company formation and other legal approvals in a foreign land
- Ease of ramp-up / ramp down
- Vendor can “accommodate” within his large resource pool
- High process maturity
- Vendor’s core business; multiple client experience
- Sharing of “best practices” by vendor
- Higher maturity and experience on third party product integration
- Set-up with Disaster Recovery Plan / Business Continuity Plan already in place
- Reasonable financial benefits with smaller team sizes
- Comparatively lower management overheads
- Risks are shared between the client and the vendor
- “Feel” of loss of control
- Transition at the end of contract “may not” be easy
- Risk of sharing your Intellectual Property (IP) with a third party
- Retain Intellectual Property (IP) within the organization
- High capital expenditure; especially if going offshore
- Company formation, legal approvals, infrastructure, etc
- Go Live needs considerable lead time and planning
- Would require someone with feet on the ground
- Limitations with ramp-up / ramp down
- Will add to the overheads
- Cultural alignments needs considerable efforts
- Building process maturity will take some time
- Learning curve will be longer
- Additional overhead
- Disaster Recovery Plan / Business Continuity Plan needs to planned in advance
- Financial benefits are realized with larger team sizes
- Complete ownership of risks
- Higher management overhead
- Have to manage day to day operations at captive centre
- Under constant pressure to identify cost- reduction opportunities