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Outsourcing Guide



Looking for the outsourcing companies in 2021?

Outsourcing has gained tremendous popularity to become an essential part of most growing businesses today.

However, choosing the right outsourcing services for your needs can be confusing at first!

To help you out, we’ll also cover the services they provide and how your business can benefit from them.

This article contains:

  • What is outsourcing?

  • Benefits of outsourcing work

  • The best outsourcing companies in the world

  • Choosing between outsourcing companies

Let’s get started.

What Is Outsourcing?

Outsourcing is the process where a business delegates certain non-core business processes and activities to a third-party. The third-party can be anyone from dedicated outsourcing companies.

Does outsourcing always have to be off-shore?

While you can outsource to companies within your country (onshore), most companies prefer to outsource in foreign countries.

Why?

Because they usually have lower salaries – which helps you save more money!

What work can you outsource?

Ideally, you should only outsource non-core work.

What is non-core work?

Non-core work is any activity that your business doesn’t necessarily specialize in.

For example, soci


al media marketing is not a core business activity for a company focused on front-end mobile application development.

Sure, it’s important – but it’s not what the company focuses on.

As you outsource these non-core activities, your in-house employees will have more time and resources to spend on the activities that you actually specialize in.

Here’s a list of some common tasks that you can outsource:

  • Administrative work

  • Marketing activities

  • HR activities

  • Manufacturing and sourcing

  • Customer service operations

  • Mobile app development for iOS and Android platforms.

  • Web development services using languages like PHP.

Benefits Of Outsourcing Work

There are tons of benefits to outsourcing your non-core tasks.

Here’s a closer look at them:

A. Reduced Costs

One of the biggest reasons why companies outsource work is to reduce costs.

How?

When you hire an outsourced team, you don’t have to invest in training and setup costs.

These outsourced teams usually consist of skilled professionals with the right equipment to expertly handle your work from the get-go.

What’s more?

You can further save on salary costs by outsourcing to countries with lower salaries such as China and India.

B. It’s Easy To Scale Up

When your business grows, there are tons of additional costs you’ll have to take care of.

These can range from:

  • Leasing larger offices

  • Hiring more employees

  • Investing in more equipment

  • And so on

When you outsource, you can bypass a lot of these additional costs for the time being as most outsourcing companies handle all of this themselves.

This way, you can continue growing without worrying about the associated costs holding you back initially.

C. Free Up Internal Resources For Core Activities

By outsourcing repetitive and time-consuming work, your employees can dedicate their time and energy to higher-order tasks like strategizing and planning.

Think about it.

Would you rather have your in-house team spend hours on administrative tasks, or focus on building better client strategies and increasing team collaboration?

Outsourcing allows you to make the most of your employees to ensure that you’re getting the best use out of their capabilities.

D. Keep Your Businesses Running 24/7

Keeping your business running around the clock is going to cost a lot of money, right?

To ensure your business that runs 24 hours a day, you’ll probably have to cover the wages of 3 shifts of employees.

So how does outsourcing help you?

Outsourcing can help you easily keep your business running around the clock at a fraction of the cost.

If you’re based in the US, and you outsource to a country like China – your BPO vendor can keep things running smoothly even when your onsite employees have clocked out and gone home.

Additionally, as your outsourced team is based in a country with lower salaries, you’ll save tons of money!

This can help you maintain 24×7 service channels to cater to clients and customers round the clock.

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Legal Statement: This website was updated by MAG Solutions in 2018-2019

 

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