While about 300,000 jobs get outsourced out of the United States every year, 78% of businesses all over the world feel positive about their outsourcing partners. Although this highlights the prevalence of outsourcing, many small businesses may be hesitant to make the leap, especially when just starting out — despite just how powerful this movie can be. Whether you’re considering outsourcing for the first time or you’re wondering just how beneficial it can be, here’s what you should know before diving in.
A great way to save money?
For many businesses that choose to outsource, it’s largely about saving money in a flexible way while reducing unnecessary costs. In fact, using offshore staffing can actually help companies save as much as 70% on their all—in staffing costs. This can be a major win for small businesses just starting out, too, especially if you’re trying to do as much as you can on your own, or if you have a limited budget (or a number of team members to work with). One major way that outsourcing tasks can save money is due to the fact that you won’t have to worry about paying out a salary, as you can outsource work on a temporary basis. This will cut down labor and personnel costs, especially if you’re dealing with a temporary or seasonal influx of work. Additionally, if you’re outsourcing tasks that require equipment or software that you don’t have or don’t wish to invest in just yet (such as when it comes to digital design, etc.), outsourcing to the right people will allow your business to achieve quality standards at a low price.
The considerations of offshore outsourcing
Outsourcing can bring a variety of benefits to a small business. When hiring offshore help, a small business can flourish even further due to reduced labor costs while still hiring qualified individuals from countries around the globe. Before you dive into outsourcing, there are a few factors you should look out for. For instance, if you’re outsourcing valuable, necessary tasks such as social media or email marketing as a small law office to an offshore team/individual, security risks may be a concern. While this can be overcome by utilizing a security provider, communication challenges are another issue that can arise as well. When outsourcing work to a team or individuals that work from different time zones, expectations and timelines may need to shift, making this a major consideration for those in industries that require strict schedules. Through the use of an instant messaging platform like Slack, however, teams can enjoy streamlined communication that can present an attractive alternative to a simple email.
Increasing efficiency (while keeping employees happy)
Increasing efficiency and ramping up productivity is a major reason why so many choose to outsource and can be a great way for small businesses to relieve regular employees of time consuming tasks. In turn, this allows employees to focus on their primary roles and can lead to higher job satisfaction rates. Whether it’s data entry, event planning, or recruitment, outsourcing such tasks will take a large amount of stress off your hands, all while ensuring that everything gets done on time. However, there are a few aspects that one should be aware of that can make outsourcing less than ideal under certain circumstances.
Outsourcing is a valuable and powerful tool for many companies and is one that can particularly benefit small businesses as well. With cost-saving aspects, flexibility, and the potential to increase productivity, there’s no doubt that outsourcing can be a lifesaver — though it’s worthwhile to keep factors such as good communication a priority.