Outsourcing Step 1: Choose the Right Time
When do you know it’s the right time to outsource?
As a follow-on from my previous blog about anticipating and navigating your outsourcing implementation journey, I thought it would be helpful to conduct a deep dive into each facet of this journey, beginning today with ‘Choosing the Right Time’.
Business Process Outsourcing is projected to grow globally by over 9% annually and is expected to reach $525 billion between now and 2030. (Read more)
So, when is the best time to dip your toe into this huge footprint? The decision to outsource or keep something in-house is always difficult because there are pros and cons to both. So, when is the right time to outsource? How do you determine if it’s now?
In truth, there are many signals. The desired outputs generally encompass agility and efficiency along with saving time and money and accelerating core competencies. It’s recognised that partnering with external professionals can empower your business with highly specialised skill sets you wouldn’t normally have in your employ, stimulating strategic thinking, steady growth and successful scaling.
Outsourcing is way more than a way to cut costs. When done right, outsourcing allows you to find the best team for the right task, so you can focus on moving your company forward.
Here are a few triggers or scenarios that may indicate that it is time to do some due diligence and to begin exploring the world of Business Process Outsourcing.
1. Certain Tasks Simply Not a Core Competence or USP
If you’re considering adding people to your team to conduct activities not part of your core business, very often it’s time to find a partner with the necessary capabilities so you can focus on your business-critical interests. Those non-core functions and potential juggling of multiple roles can overburden an in-house team, stifle innovation and lead to devastating results. Afford your team the time to focus on your core operations. In turn, observe a positive impact on your teams’ well-being with potentially lower churn rates, stimulating real business growth.
2. A Need for Expanded Coverage
If you need round-the-clock capabilities given perhaps extensive hours of operation within a particular industry or on account of multiple geographic locations, outsourcing may just be the required solution. Scaling your team internally to provide assistance 24/7 will undoubtedly be a mammoth task and when you have a global customer base, it’s important to take the different time zones into consideration in order to deliver a satisfactory customer experience. Business Process Outsourcers often adopt a follow-the-sun model, leveraging local teams from different geographies spreading support across each time zone and maintaining continuity of support.
3. Rapid Scaling & Talent Sourcing
As you scale, it’s imperative that your core role revolves around looking to the future. In place of spending time on administrative tasks, for example, it’s more important for you to think about the ways in which your business can grow, and how to lead your team to where you want it to be. By way of example, if you’re struggling to fill positions, it could be an indicator that it is the right time to outsource. That way, you’ll meet highly skilled candidates fast and just skip all the drama. Partnering with an outsourcing company significantly speeds up the process of sourcing, screening and recruiting the right talent. When you’re scaling fast, there is simply no time to wait around for a job vacancy to be filled. And this challenge is intensified if you’re hiring across multiple languages.
4. Improving Results & Boosting Productivity
It’s often worth acknowledging that specialised organisations can perform a business task better than you can handle it in-house. Seeking out an industry specialist who immerses themselves fully in one particular activity day on day unquestionably offers performance benefits. Lines of accountability are clear and you can align your outsourced partner to your business objectives and measure ongoing performance through agreed KPI’s. Additionally, partnering with external professionals drives consistency and continuous Improvement. Let your partner lead around process improvement and workflow enhancement, driving enhanced operational performance, standardisation and continuity of service.
5. Cost-Effective Scaling - Saving Time & Money
Outsourcing to a specialist provider can be more affordable than building your own in-house team. Reduce the cost of hiring an in-house team and save valuable time. Avoid hiring costs, salaries, expenses, insurance, training and many other auxiliary costs. In many industries, the reduction in costs is so significant that it allows the business to thrive and grow much faster.
Finally, conducting the necessary due diligence during the planning phase is key. Make sure to analyse your true needs thoroughly, determine the best tasks and functions for outsourcing, and to what extent outsourcing should happen. Move step-by-step and do meticulous research when selecting a partner. If the timing is right and your chosen partner is competent and reliable, the possibilities are limitless!
At Otonomee, we provide people and technology solutions through multilingual customer care to help you move into new markets, level up your customer management processes and deliver stand-out customer experience.
Want to read more? Visit Otonomee.com to learn about our outsourced customer contact services solutions, our approach and how we will support you in championing growth and scale.
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