Many companies throughout the world use outsourcing to improve not only their work flows but their revenue streams.
The business world is highly competitive, and it’s imperative that you streamline your operations and find solutions that work for you.
Outsourcing can take your business to new levels by offering a hybrid plan for your success.
In this article, we look at the reasons outsourcing is a strategic move for your business.
What is Outsourcing?
When you decide to outsource, you are delegating a portion of your company’s work to a third party contractor or agency.
This helps you benefit from the service of experts at most often a lower cost.
Here are the reasons outsourcing is a strategic move for your company.
Core Business Focus
As a startup owner, you have a lot on your plate. Your most important task is growing your business, and your key functions are taking care of the processes that drive revenue.
Outsourcing tasks like human resources, IT, marketing, finances and payroll allow you the time to focus on the core parts of your business.
When you outsource, you can focus on what you’re good at and let experienced contractors take care of support functions.
Cost Effective
One of the driving forces behind outsourcing is the need to keep your business afloat by watching your costs.
Outsourced workers usually cost less than regular full time workers. Plus, you don’t have to pay benefits and taxes for outsourced employees.
Finally, you’ll save money on expenses such as training, sick leave and vacation. You don’t have to purchase computers and office furniture for these workers either.
Flexibility
Another bright side to outsourcing is that it is by its very nature flexible.
You can set the amount of support you need and adjust it easily to suit your needs.
For example, if you need seasonal help, you outsource for a few months. As demand wanes, you back off and pick up again when you need it.
Outsourcing resources are available for you when you need them. This allows you much more flexibility with staffing and payroll than hiring a full time employee you have to keep busy in your slow times.
Up-to-Date Technology
Staying current on the latest trends and technology takes work.
When you outsource, you don’t have to worry about this, because your contract workers take care of it for you.
Outsourced workers usually have the latest software and technology to get the job done. Because they have it, you don’t have to worry about purchasing it or getting up to speed on how to use it.
With outsourced staff, you have a group of people at the ready who are already trained and ready to go.
Experts
You outsource work to not only save money, but to utilize experts in their field.
It’s hard to be a jack of all trades when running your business. With outsourcing, you don’t have to.
There is no need for micromanagement because these workers have the expert skills you need. Give them an outline and direction, and they are off and working.
Outsourcing gives your business access to experts and advanced tools without you having to invest your own time to master them.
The Take-Away
Author, John Maxwell, said the following:
- “If someone else can do a task better than I can, I give it away.”
- “If someone else can do a task at least 80% as well as I can, I give it to them. “
These words have great power when you apply them to outsourcing.
Outsourcing for your business is a strategic move because you can hire someone else to do the same quality of work you can, or better, for a much lower cost.
Businesses that outsource lower their administrative expenses and increase their operating income. They also bring on workers with advanced skills and abilities.
It’s highly acceptable to outsource work and not handle it in-house. If you aren’t currently outsourcing, isn’t it time you gave it a try?
Are you a new startup ready to outsource? Are you looking to get your new business off the ground and watch it rise to success? We are here for you. We can help answer your questions and guide you through the process. Outsource your finances, payroll, HR duties and more to us. Contact Escalon today to get started.
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