End the Offshoring Debate with a Cloud Call Center

By Susan J. Campbell, TMCnet Contributing Editor

Companies searching for a viable customer service option without the cost of building out the physical call center may want to consider the potential in the cloud. The launch of a cloud call center allows for the optimization of key elements without the substantial overhead that can accompany an in-house solution.

Now that the push is on to punish companies that move call center jobs overseas, the cloud-based alternative holds even more promise.

This Huffington Post (News - Alert) report highlights the move by several states seeking to mirror efforts on Capitol Hill to try and prevent companies from moving call center operations offshore. If state legislations are passed, these companies sending jobs overseas would be ineligible for government contracts or loans.

The federal legislation introduced by Democrats last year sought to slow the number of call center jobs moving to the Philippines and India. Lawmakers in New Jersey, Florida and Arizona are following suit.

Bills on the federal and state levels are heavily endorsed by the Communications Workers of America, a union representing 150,000 call center workers. When the cloud call center is not selected in favor of outsourcing, jobs are lost.

In fact, the union suggests employees in the call center space have dropped from 5.2 million in 2006 to 4.7 million in 2010.

Given the job growth offshoring has helped to create in India and the Philippines, the federal legislation has certainly caught attention of both governments. Officials with India and the Philippines have suggested the possibility of dispatching lobbying teams to Washington as this battle plays out.

While this legislation is still in the proposal stage, it has clear Democratic support. Only six Republicans are currently backing the bill, which could significantly damage the business community if passed. Similar bills have failed to make a dent in recent years, suggesting there may be more pull in the cloud call center than trying to control activity with new legislation.

The success of a capitalistic market depends on the natural activities within that market, without the interference of government controls. By instead offering incentives and other perks to companies that launch the cloud call center over offshoring their call center jobs; governments may have more influence in this market.

Companies can benefit from the flexibility, cost savings and advanced feature access of the cloud call center platform. It allows for clear expansions, optimal quality control and low cost operations, without offshoring this core business function. And, with the right strategy in place, companies may also be able to keep customers happy who prefer to work with U.S.-based agents.