Research Of Non-Core Business Outsourcing Strategy With Telecom Operators Based On Value Chain

At present, the international telecommunications industry is undergoing enormous changes. In China, telecom restructuring has been completed, and major operators are faced with a new full-service competitive environment. Specifically, factors ,such as the form of information products, services, operator roles, communication industry chain, have undergone tremendous changes. On the other hand, in the world, outsourcing non-core business strategy has become one of the most important business models. It has also become an important way to get the competitive advantage.In the whole competitive environment, operators must take the initiative to adjust business operations model and redefine themselves in the value chain position, as well as their own core competencies,core business and outsourcing non-core business strategy. By this way they can focus resources on their core competitiveness and realize the low-cost , high efficiency and competitive differentiation. Therefore, to explore suitable outsource non-core business model for China's telecom operators has become a very important topics with theoretical and practical significance.This paper is divided into five sections. The first part discusses the research background, purpose and significance. In the second part , the outsourcing value chain theory and related theories are reviewed, including the concept of outsourcing definition, decision-making model and the key to the implementation of the impact of factors such as performance and risk analysis theory. The main thesis of the third part is about the major internal and external environmental changes of the telecommunications industry, including internal operating environment, the competitive environment and human resources. In the the fourth part we constructe the 3G industry value chain in China, and then developedthe classification criteria of the non-core business. After that, we develop the outsource non-core business model matrix based on the 3G industry value chain. The fifth part is a complete telecom operators outsource non-core business strategy, including analysis, planning, vendor selection, implementation, risk control and contract management, and other steps to assess the cost-effectiveness. In the end we take the mobile newspaper and the phone call center operations as two examples.