Outsourcing has taken great strides to become a more viable business strategy. For instance, finding a reliable outsourcing provider in the Philippines requires plenty of due diligence in order to find one that suits your objectives. As a more modern approach, it is being embraced by companies in order to stay competitive and relevant.
Why Your Competitor is Outsourcing
Simply said, if you haven’t seriously thought about outsourcing, there’s a good your chance your competitor already has. Not only do they see the cost effective approach, but also the other benefits when collaborating with an established outsourcing provider.
Let’s look at some common reasons why companies are turning to outsourcing.
Cost Advantages
One of the primary reasons companies outsource today is the cost savings it brings to them. The best practice for businesses is to outsource functions to key location like the Philippines as they can save in the difference in labour cost. They realize that some functions done locally can be undertaken by an outsourcing provider at a lowered cost.
Not just in labour cost, outsourcing also helps reduce overhead for companies. The provider they team up with handles the leasing and renting office space, software license purchases, hardware, training and the development of processes.
Access To A Diverse Talent Pool
Although it means you are paying less, it does not mean the quality of work is lowered as well. On the contrary, companies that outsource will be collaborating with a number of experts that handle a range of roles.
Experts across a wide range of industries are ready to collaborate through an outsourcing provider.
No longer needing to compromise, more companies are discovering they can send specialized functions to an outsourcing provider. Particular providers specialize in particular industries – like financial and healthcare. There are also those that are versatile and work with a number of experts in different industries.
Better Efficiency
Your outsourcing experience is defined by the provider you choose to partner up with. Some of the best providers often bring years of expertise in business practices and proven track records in handling major objectives. Because of their experience and knowledge and, there will be an increase in productivity and efficiency in all your processes.
Project Prioritization
As discussed earlier, outsourcing particular roles would mean freeing up more resources and energy on your end. By doing so, companies will be able to focus on more value adding tasks, such as research and development, brand building and providing better services to clients.
Around The Clock Service
We often hear how working with outsourced provider in other countries might be troublesome due to timezone differences. Although the challenge is there, a difference in time zones means that you can provide services to your clients 24/7. There are many outsourcing providers that work the nightshift, showing that they can align with companies from all over the world. For companies that are looking to global, this is an absolute must.
Risk Reduction
Working with a third party provider in another country does raise questions about risks and security. Regardless of the project undertaken, there will always be a need for risk assessment and analysis. If you partner with the right provider, they will manage this aspect and can also offer suggestions on risk reduction. Experienced providers often rely on their years of
expertise in this area.
Staying Ahead of the Game
Overall, outsourcing also lets companies avoid major expenses while still providing top level services that they seek. With a decrease in fixed cost, businesses are able to allocate more resources to revenue-producing activities. By sending time consuming objectives to an outsourcing company, companies also ensure the reduction of any delays in operations.
To do all this, providers take care of a company’s resourcing needs through the talent pool they have access to. The talent pool in the Philippines for instance consists of highly skilled individuals who are knowledgeable in handling a diverse range of tasks your company is looking at. By teaming up with a proper outsourcing provider, you can find highly specialized individuals who can take your company to the next level.
HGS is ready to assist companies of all sizes in utilizing outsourcing to their advantage. Contact us today to get started.
