Key Terms You Should Know if You Outsource IT Services to India!

So, you are planning to outsource IT Services for the first time? Seems like a pretty good idea, after all, it can save you quite a lot of stress and money. But wait, before you go ahead and do it there are some key terms related to the outsourcing industry that should know.

Key Terms You Should Know if You Outsource IT Services to India

What are those terms; let’s take a look:

1. Offshoring:

Offshoring is the term that defines the process of transferring jobs outside the country of origin. It works like this – you set up a remote office in some other country and hire offshore dedicated developers to carry out the tasks. For smooth functioning, you have to send the management people, that will take care of the entire offshore process.

2. Project Management Outsourcing:

Project management outsourcing means hiring remote workers to manage and implement the activities related to managing projects for a company. It is generally done to ensure effectiveness in managing the projects. The large-scale companies are usually involved in project management outsourcing. It helps them to manage their projects by the more experienced individuals.

3. NDA:

Also referred to as the confidential agreement, a Non-disclosure agreement, or NDA. It is a documented contract between the company and the contractor seeking the outsourcing services. It signifies the confidentiality in the relation between the two parties. Moreover, it ensures that the information shared between the two is not leaked or made available to any other resource.

4. SLA

When you hire a remote development team, you need to have something to keep a check on the quality. This is exactly what an SLA or a service level agreement is about. It defines a certain level of service that the contractor will provide to the company over the course of the contract.

5. KPO

KPO stands for Knowledge Process Outsourcing. It is generally used to define the process when a company hires external parties to complete its research projects, analytics, and similar other intensive works. KPOs have seen immense popularity over the course of time, with some of the big names going for knowledge process outsourcing services.

6. KT

KT stands for Knowledge Transfer. In layman terms, it means the task of bringing the outsourcing staff up to the speed at which the internal processes are executed. Basically, it deals with transferring the knowledge on what remains in-house and what needs to be transferred to the third party or outsourcing contractor.

7. ODC

A development center set up by a third party contractor at an offshore location is termed as Offshore Development Center. What makes this center so specific is the fact that the contractor provides the dedicated offshore developers entirely and specifically to a single client. It ensures that a steady workflow is maintained for the client.

There you have it; the list of key terms that you should know before you outsource IT services. If you are planning to outsource your business process, then it is a must to make yourself well-versed with these terms.

When it comes to hire a remote IT team, we at Your Team in India can help you in the best possible manner. We have a team of seasoned professionals who know their job well. So, if you are looking to outsource IT services, drop us an email at and we will get back to you.

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