Intellectual Capital Management Increase in Offshoring

¹ Lucian Blaga University of Sibiu, Romania
² Lucian Blaga University of Sibiu, Romania

^* Corresponding author: marius_gal@yahoo.com

Abstract

Offshoring is a method for companies from automotive software development industry to have access to a larger pool of talents or to reduce the development costs. In order to have success, the management must be prepared for knowledge transfer process that will be different while compared to training a new employee at the headquarters. Many companies fail when this step is made and instead of reducing the costs, the loss can drag down the business even to the bankruptcy. In this paper, it is presented a solution for a systematic knowhow increase for the new offshore team, applicable to the processes of knowledge transfer. Complex trainings and various methods of solving the orders are not recommended immediately after the offshore branch was opened; rather the foundations must be very clear for every employee. The conclusions of this study are encouraging, supporting the companies in investing in the employee’s development and by increasing gradually the knowledge, the result will be solid and the offshoring can become a big success in the company’s development.