Is Outsourcing here to stay?
Updated: Mar 11, 2020
The idea of outsourcing and more broadly offshoring has come a long way from its humble beginnings in the 1990s. Back then it was limited to fairly low risk but time-consuming tasks unrelated to core business, facilitating payroll administration and data entry.
As technologies developed this allowed operational functions such as customer service to follow suit on a much larger scale. This highlighted greater flexibility and cost-saving advantages and businesses large and small began to sit up and take notice, breaking the mould of conventional strategy and innovation.
As technology and automation continued to evolve throughout the 00's and large global players began outsourcing higher end functions such as IT services to reliable, specialist providers, smaller business leaders began to see how this model could help them through uncertain economic times whilst having to balance the cost of growth, operations and the need for greater efficiency, coupled with the desire to reach wider markets.
This trend has continued and the demand for greater services and specialist consultants is growing as cloud-based technologies continue to bring greater global connectivity, flexibility and productivity.
So, what is the key to successful outsourcing whether a large or small entity?
Key drivers of successful outsourcing:
Cost-saving, enabling core functions & solving capacity issues remains a leading driver
Helps to drive transformational change and innovation and improves business results
Gives access to up to date skilled resources & innovations in tech
Saves on investments in infrastructure and technology
Enables better service offerings and high-quality deliverables / speed to market
Outsourcing innovation drives value by:
Improving customer / user experience
Increasing quality and output
Lowering the cost of delivery
Increasing client revenue growth
Delivering new capabilities and offerings
Key factors for outsourcing success?
It is imperative that there is mutual investment in the initial relationship to ensure value throughout the process - value isn't just about cost-saving and my clients tell me that the impact of the partnership to their business, the ease of management and improved strategic flexibility is equally important. Key factors include:
Having clear goals and objectives and defined outcomes
Promoting open communication with all stakeholder(s)
Setting clear boundaries and investing in initial on-boarding
Building trust by phasing in tasks before handing over larger project work
Today, no longer a buzzword outsourcing has become a core strategy in business large or small, across a broad range of skills and services, and seems here to stay. This is due to the fact that there is high demand for cutting-edge skills such as cybersecurity, AI or digital architects and the growing need to drive efficiency and streamline operations across every function. From org's offshoring whole functions to entrepreneurs, startups or consultants looking to outsource time-consuming tasks on a smaller scale it seems the goal is the same; to be more productive and to thrive, survive and innovate.
SavvyDesk provides highly efficient Virtual Assistant Services offering professional, trusted top-level support remotely allowing business leaders the flexibility to outsource much-needed talent, save money and focus on core business objectives. Helping small to mid-sized companies grow and become more productive by bringing organisation and efficiency when they need it most. If you would like to find out how Paula Harris can help your business, get in touch for a free consultation.