7 Factors to Consider When Outsourcing
Outsourcing is a strategic and cost-effective way to increase capacity, reduce operational costs, boost organisational efficiency, and streamline company processes.
Setting outsourcing goals is an essential part of the undertaking. In doing so, there are factors to consider to ensure a successful outsourcing partnership.
Here are some essential things to consider when making outsourcing decisions and setting goals.
-
Industry expertise of the outsourcing firm
It would be best to gauge your potential provider’s industry expertise. You could start by evaluating their portfolio regarding their past projects, client reviews, and accomplishments or distinctions.
This information will give you an idea of their track record and credibility. You will also learn how the outsourcing firm conducts business and keeps up with trends while ensuring the alignment of your goals with the vendor’s processes and services.
-
The cost involved
Business process outsourcing (BPO) firms will vie to win your company, often offering the lowest price possible. However, your outsourcing decision should not depend entirely on which provider can save you the most money.
As you compare the prices of different outsourcing firms, keep in mind the product or service quality and their unique selling proposition. Take the time to scrutinise what each provider can offer besides their usual services. optiBPO provides onshore consulting support to help define your strategy and manage the transition and ensure your outsourcing journey runs smoothly.
-
Top-quality talent
Companies outsource to solve business challenges, such as when they cannot internally find the talents their business requires.
An ideal outsourcing provider has a pool of professionals trained to deliver quality results. When looking for a BPO firm to work with, choose the one that can provide you with talents whose skills suit your needs.
Your potential outsourcing provider should also help you build and manage a dedicated offshore team. This way, it will be easier for you to supervise the project without spending too much time following through on its status now and then.
Photo Credit: Thirdman via Pexels
-
Infrastructure and IT support
Infrastructure and IT support are integral components of organisational efficiency. When outsourcing, check whether your potential outsourcing provider uses the right technology. Verify if they have a well-maintained infrastructure, as quality business infrastructure and IT support help ensure progress by facilitating proper project coordination and management.
-
Recruitment and HR support
The human resources (HR) department is vital in managing the employee life cycle, which includes hiring, onboarding, and training employees. HR also takes care of administering employee benefits and compensation.
A BPO firm with robust recruitment and HR support is an ideal outsourcing partner, thanks to a dedicated HR team that efficiently handles your recruitment process and provides all the necessary HR support to your offshore team.
-
Risk management
Outsourcing comes with risks, from mismatched processes to data security and business control. As such, your potential outsourcing provider must have a risk management plan and strategies for addressing unforeseen circumstances.
The plan should include regular performance assessments, contract compliance reviews, and other risk mitigation measures. An effective outsourcing provider checks each aspect of the project to ensure everything proceeds according to plan.
-
Service-level agreement
A service-level agreement (SLA) is a contract between you and your outsourcing partner defining the services and standards you expect from your provider. Before signing an SLA, be sure its terms and conditions are clear and specific.
The SLA leaves no room for doubt about each party’s roles and expectations to reduce problems regarding unmet requirements. If you are unsure about the contents of your SLA, it is safe to hire a legal professional to guide you.
Photo Credit: Kampus Production via Pexels
Outsourcing for Business Success
Outsourcing is a cost-effective way to work with well-trained professionals and leverage their expertise. It is also a strategic move to keep up with the evolving business industry and address market challenges. Like any other business strategy, outsourcing entails careful planning for the partnership to succeed.
If you are looking for a reliable outsourcing company in the Philippines, consider working with optiBPO. We can help you plan, build, and manage a dedicated offshore team that serves as an extension of your organisation. Get in touch with us today to learn more about outsourcing!
