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10 Companies That Have Benefited from Outsourcing

Posted by admin

December 10, 2020    |     3-minute read (467 words)

Outsourcing helps companies focus exclusively on growing their businesses. By outsourcing work to professionals and experts, entrepreneurs can save overhead costs that come with hiring staff and buying software in-house. Outsourcing your functions even at the initial stage of your business can turn out in your favor, just as it benefited the following companies that have thrived under by outsourcing.

Alibaba – According to the book Alibaba: The Inside Story Behind Jack Ma and the Creation of the World's Biggest Online Marketplace, in its early days, the Chinese multinational e-commerce retail company outsourced its website design and development to a U.S. firm. Outsourcing helped the company overcome Chinese internet restrictions and localize its site for both Chinese- and English-speaking visitors.

Basecamp – Basecamp outsourced its app development to remote developers to optimize its cost-opportunity gain. Outsourcing the product development strategy helped the firm improve its product and generate more revenue.

Google – Whether it involved IT specialists, developers or virtual assistant work, Google has been taking advantage of outsourced staff for years. The company outsourced its phone and email support for AdWords to around 1,000 representatives located all over the world. Google also partnered with a technology services provider, Globant, for the successful development of Project Ara and related software.

Slack – Slack outsourced its software development to design firm MetaLab, which created the logo, designed a marketing website and built the web and mobile apps. By outsourcing to the design firm, Slack was able to save time and money, and get important feedback that helped the team launch a product that has revolutionized the market.

WhatsApp – WhatsApp initially outsourced the core development of its app to developers in Russia, while on-site staff focused on operations and customer relations. Developers helped the company to keep costs down after starting with low capital. The company also outsourced its iPhone app development to software engineer Igor Solomennikov, who later joined the company as CIO.

Kodak – In 1989, Eastman Kodak outsourced its IT system to IBM. IBM designed, built and implemented a large data center specifically for Kodak's needs.

Apple – Apple outsources much of its supply chain to offshore partners. Though its products are designed in California, Apple devices are manufactured all around the world.

MicrosoftMicrosoft outsources some of its operations to sales companies based in the U.S. For international operations, the company outsources sales teams who are natives to the location.

Ford Motor Company – Many components of a Ford vehicle are manufactured offshore. Apart from manufacturing, Ford also has been known to outsource research and development, customer support, and IT solutions offshore.

SeatGeek – After relying on outsourced developers for building the website and database structure, SeatGeek was able to save tremendous capital to invest in other business processes, and subsequently began using outsourced vendors for other responsibilities.

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