Outsourcing vs. Offshoring: What Do You Need? Outsourcing and offshoring services are business terms often confused with one another. While there are similarities in their strategies and objectives, both services have unique methods to provide solutions tailor-fit to clients’ needs. You will be saving time, effort, and resources just by knowing how to differentiate the two. If you have to make a conscious business decision to outsource or offshore to another company, it will be vital to come into those business talks well-informed.