eWork and Regional Development: eWork Relocation

eWork relocation by reason and business function

An understanding of the decision-making processes, and related locational requirements, of different business functions can be important in influencing the regional development strategy most likely to be successful (Huws, O’Regan, 2001).

If we look at all business functions together, by far the most important reason to relocate to a specific destination region is the availability of technical expertise. Next comes low cost, which is followed by a good reputation and then by reliability or high quality. See the following graph which shows the demand side perspective, ie the reasons given by the decision-makers responsible for the eWork relocation. The supply side perspective, ie the reasons given by decision makers in the organisation which received the eWork, as to why they thought they were selected, does not differ markedly from this,. The most important difference is the relatively low importance given to their technical expertise by the receivers of eWork, and a somewhat lower importance given to cost.

Reasons for choice of outsourcer for eServices: the demand-side perspective

reasons for choice of outsourcer for eservices

(Source: Huws and O’Regan, 2001)

There are, however, some important differences in locational preferences between different business functions, which can be important to take into account in preparing a regional development strategy. These are summarised in the following pages.

customer service (including providing information, counselling and advice, call centres, etc.)

sales (telemarketing and mobile sales)

data processing, typing and other forms of data input

software development, maintenance and support

financial and accounting services, including debt collection

human resources management and training

design, editorial and other forms of creative or content-generating work including research and development