For some companies is an unexplored scenario. For others it brings back not so good memories from a past experience with a telemarketing campaign.
But Outsourcing is much more than this. What are the core advantages of outsourcing:
1) Focus on your core business
Outsourcing non-core activities like back-office operations or administration frees up your resources helping you to focus on the core functions of the business, rather than supporting ones.
2) Reduce costs and risks
One of the most obvious advantages of outsourcing is lower labour and infrastructure costs : why do you need to have an FTE in-house to do a task which. Also, Outsourcing removes the need for infrastructure investment as the contractor takes responsibility for the business processes and hence develops infrastructure for the same.
Outsourcing removes a large share of risk, thereby reducing the risk to your company. By spreading your risk, you reduce your total risk.
3) Expertise and Efficiency
Access to skilled resources means that businesses can avail of the right talent, assuring a higher quality of the outsourced tasks.
An outsourcing vendor brings in specialised knowledge and experience, which in consequence leads to increase in productivity and efficiency of your business.
If your business has operations with cyclical or seasonal demands to bring in extra staff, outsourcing provides an opportunity to avail of additional resources when you need it and release them when they are no longer required.