Traditional Staffing
- Responsible for recruiting and hiring personnel who are then assigned to work at a client's facility.
- Staff performs under the client's supervision and control.
- Client is solely responsible for controlling the staff, managing the project, and the results of the work performed.
- Contract normally specifies a billable number of hours at an "hourly rate."
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Outsourcing
- Responsible for a specific client function on or off the client's location.
- Responsible for clear and specific performance goals with specific time frames, i.e., cash application within 24 hours of receipt.
- Provides significant shifting of business risk and liability from the customer to the service provider.
- Billing is generally transactional in nature for the products or services provided.
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