If you are thinking about Outsourcing, let me first congratulate you for taking the first step towards making your business more efficient and for putting it on a steeper growth curve. In the current business environment and the way the world has shrunk over the years with giant strides in technology and communication, a business has plenty of options in outsourcing their noncritical processes to save considerable amount of resources in terms of costs and time.
Business Process Outsourcing was once associated only with large corporations. But times have changed. Outsourcing has become a necessity for businesses of all sizes, who want to make a mark in this highly competitive environment, by focusing on their core business functions, which are more critical to their success such as new product development, technology and innovation, sales and marketing etc. There are broadly three outsourcing models – Offshore (where the partner is outside of the company’s own country), Nearshore (where the partner is located in a neighboring country viz a viz the company) and Onshore (where the partner and company are located with the same country). Based on a company’s strategy and the functions they want to outsource, they can choose either one or a combination of these models to optimize results.
What kind of processes can be outsourced?
The starting point to decide which processes you should outsource, would be to ask yourself, Which functions do you struggle with, which are not your core business areas and can free up considerable productive time for you? Outsourcing industry is innovating rapidly as well. Which means that there are more services that companies can now outsource, depending on their business strategy. The obvious functions to seek outsourced partners for include:
- HR and Payroll(Payroll software is a specialized application designed to automate and streamline the process of paying employees.)
- Customer Support
- Finance and Accounting
- IT and ITES
- Sales Support
However, at JindalX, we believe in partnering our customers more intimately for their business success. With our strong innovation hub, we provide solutions in Technology, Analytics and Digital, which can assist our customers at the strategy level and help them accelerate their business growth. Contact us for more information.
Benefits of Business Process Outsourcing:
Increase Business Efficiency
By outsourcing repetitive tasks or non-core processes, businesses can open up the saved time for more knowledge based functions, which are more critical for growth, customer acquisition, product development etc. Employees also get a sense of adding real value through their work, which makes them more productive and fulfilled, leading to greater workplace efficiency.
One of the biggest advantage of outsourcing is cost saving, which means freeing up a critical resource to further strategic plans for growth, expansion, research & development and so on. By outsourcing, a business can significantly bring down hiring cost, training expenses, spending on infrastructure, legal and compliance expenses and much more. It also offers an option for businesses to hire more hands for roles that may not justify a full time employee on company pay-roll.
Agility For Faster Scalibility
With outsourcing, a business can ramp up its resources quickly and scale fast, without having to worry about large investments and hiring full time employees. This flexibility is crucial in current business environment where technology is making time-to-market shorter and business agility is becoming a key differentiator.
Time Zone Advantage
Businesses can now be operational round the clock through outsourced satellite offices in other geographies. For example, an office in the US could place a task request before closing for the day, from its India outsourcing partner and the task could be complete by the time they re-open their office the next day. This unique advantage can lead to greater company-wide efficiencies and be a competitive advantage for a business.
Access To Specialized Resources
With outsourcing, businesses get access to specialized skills without having to invest in hiring, training and retaining employees. Additionally, the outsourcing partner would be future ready with skills you may not need as a business today, but may need going forward as you grow.
Compete Above Your Weight Category
If you are a small or medium size business or you are a start-up, outsourcing can be a powerful tool to give you a leg up on bigger and more established competition. With significantly lower investment, it can allow you to function like a much larger organization and compete with the big boys at a more equal footing.
While there are several obvious benefits to outsourcing, there are not-so-obvious challenges as well. As a business, you should choose your outsourcing partner wisely.
At JindalX, we work with our customers to provide a fully personalized solution offering, after understanding their business challenges and what will serve their needs in the best possible way. As I have mentioned earlier in this article, we are technology driven and are geared to partner our customers at the strategy level, which ensures the strategy to implementation loop is seamless and effective. With multi-level quality checks, and reporting mechanisms we ensure delivery of superior solutions with absolute transparency. We understand the importance of maintaining complete confidentiality of privileged client information and security of their customers’ data, which is why our established security protocols are among the best in the industry.
Outsourcing is the reality of the current times, and with more services being added to the offerings, companies will find increasing value in outsourcing their business functions. We invite you to schedule a tour of our campuses and explore how JindalX can help you accelerate your business growth.