Why to Outsource?

Outsourcing comes from the phrase outside resourcing, and although it is a concept not older than four decades, it is hard to imagine a world without it today. Simply put, outsourcing means hiring a party outside of a company to perform services that were traditionally performed in-house. It’s like getting an extra pair of hands to save time and money.

Sounds too good to be true? Here are some of the main reasons why organizations decide to outsource:

1. Reduce costs: The primary driver of outsourcing is cost-saving. Outsourcing various activities allows the organizations to lower their expenditures on fixed costs and control variable costs.

2. Focus on core business: Outsourced tasks, especially administrative ones such as data-entry, are time-consuming. When organizations get help from the outside, people have more time to their actual job, rather than drown in paperwork, reporting and boring back-office tasks.

3. Free up internal resources: Outsourcing can help in proper resource allocation, making the organization more flexible. Internal resources can be assigned to other functions, where they are perhaps needed more.

4. Access the right resources: The benefit of having the job done by an external party is the fact that the outsourcing company specializes in that area. The task will be performed by someone who does that work on a regular basis.

5. Streamline time-consuming tasks: Outsourcing can optimize a process and help an organization complete time-sensitive tasks and projects, with efficient delegation.

6. No recruitment process or training costs: A trusted outsourcing partner can eliminate the need for a lengthy and costly process of recruiting someone to do the job. The organization can pay for the services as and when they need them, charged on an hourly basis or by project, rather than having someone employed full time. This also means no delays in task completion due to sickness, leave, holiday, etc.

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