You will be shocked to hear that you can run a company without hiring a single employee. Wonder how? Through the outsourcing process. Various back-office and front-office business functions could be handled at cost-cutting measures with outsourcing and offshoring process. When you have the option of outsourcing, then why invest on inbuilt customer contact services. Just like the saying, “Got this bread on my mind, chasing paper got me blind.” Many large and small based industries prefer to outsource their IT processes, marketing, and human resources to the East because of cost-cutting measures and availability of workforce. Market value fluctuates every now and then. It is not sustainable. Out of 10 companies only one has the chances of creating and retaining profitable growth. One activity that sets the champion apart is the proficiency of using efficient outsourcing with innovative ideas.
Not only cost-cutting, theaptitudeof the outsourcing companies does more than the bottom line. There are several other reasons, why an organization prefers to choose this route. In this blog, we will be discussing the three P’s i.e. purpose, possibilities, andprivileges of an IT outsourcing company.
There are numerous reasons why an organizationoutsources their back-office and front-office processes. Out of many some major points are listed below:
- Cost-cutting: When you outsource your business process to the eastern part of the world, you eradicate the giant cost associated with employees from the west.
- Emphasis on the core business: Outsourcing allows to focus on the core competencies of an organization.
- Extraordinary capabilities: Outsourcingcompaniesrewards anorganization the facility to work with an experienced and certified group of IT professionals instead of yearning with the awareness of only one person.
- Internally available resources: Suppose your organization does not have the required employee for handling the IT department and hiring someone is not under your budget. On the flip side, the facility of outsourcing is a useful alternative which can be imposed on a temporary or in a long-term basis.
- Improved restructuring: At times when you are trying to focus on quality, service, and speed of an organization your non-core processes may get sidelined. It is important to yield both the processes equally. Outsourcing is an optimal method to manage both the business process systematically.
- Necessary involvement: outsourcing your business does not mean that you will forget about the non-core issues when it’s being taken care of. As a part of your business and organization, you are accountable for necessary involvement every time with both the firm.
- Available capital funds: outsourcing your non-core business process, you can avail capital funds for your product and services that are related to the customer directly.
- Minimize risk: the best part of outsourcing is technology. It is a huge investment for an organization to finance technological equipment. By outsourcing your business process to a qualified IT provider radically minimizes the risk of employing bad decisions.
There are risky possibilities involved when you trust someone else with your business aspects. Businesses outsourcing IT sectors to the eastern part of the globe must be alert to the following risks.
- Unorganized IT functions: IT department is the root of an organisation. Unorganized IT functions might hamper the non-core and the core process of a business. Therefore, industries must be careful in choosing the right vendor to handle your greatest needs.
- Loss of control: chances are that the employee under the outsourcing management might be not as dedicated as a full-time employee of an organization. Odd probabilities like disclosure of confidential data and disaster loss might befall.
- Employee determination might be pushed: If a management keeps on laying off other employees to replace them with outsourcing job functions then it will affect the determination and morale of other employee are assuming that their jobs are at stake.
Whether to outsource your business or not? Are you still perplexed about your decision? If ‘yes’ then there are privileges when you collaborate with outsourcing companies.
- Obtain the latest technology: Access to latest technological gadgets and benefit from more than one IT professional can give your business a massive bonus within a short span of time.
- Cost–efficient: vendors providing outsource services are quite flexible when it comes to financial saves. Outsourcing IT processes definitely gives you financial profits like wholesale purchasing, prospective compliance with government guidelines and so on.
- Excellent staff: IT vendors are accountable for hiring certified and qualified candidates for an excellent contribution of staff.
It is not always easy to cope up with employees especially when your businesses are managed by some other technical firm. But on the bright side, your IT service provider has certain privileges and rewards to offer in exchange of hard-work and dedication.