Captive Centers play a very important role in offshore outsourcing. Understandably, many companies are using Captive Centers to preserve direct control and protect intellectual property with the main advantage of having a tool to professionally control expenses and costs in business developments.
A Captive Center may be the best option where proprietary issues, operational and management control, and risk ownership are important, and/or the client has a long-term commitment to the region, and the business is looking to develop an additional profit center.
Captive Offshore Delivery Centers are setup by global companies to achieve:
- Full Control on Operations and Governance
- Lowest Operational Cost Based on Scale of Operations
- Desired Quality as Per Your Own Global Standards
- Long-term Growth Plans
- Own Human Capital Pool
From a business standpoint, Captive Centers are wholly owned entities that provide services to a parent organization. The centers provide a controlled environment that minimizes the security risks to valuable intellectual property and confidential information, and allows parent organizations to retain ownership of any intellectual property generated in a foreign location.