For the last couple of years we have seen start-up companies that go from scratch to major leagues in less time than it used to take. Besides the big changes in capital investments rules, it seems they are using the money smarter to growth their business; not only by focusing on their main tasks, which is what they do best, but also by hiring specialized outsourcing services to make the best out of all the other business components that they are not part of their core business.
These are some of the common services that a modern company can outsource:
Outsourcing delicate parts of your business components urges the companies to require special contracts for intellectual property and confidential agreements considerations (NDA). A trustworthy service provider will probably present those documents beforehand as well as a service level agreement (SLA). So the client company will get to know their policies and terms to play safe.
Besides all the common legal cares, the service provider location is highly important to the success of the outsourcing practice. Throughout the last 9 years, I have had the chance to work with IT services providers among many countries, and one of the best cost-effective approaches I had is with the nearshore outsourcing. The nearshore outsourcing is when the service provider is located in a nearby country, maybe sharing a border line or in a similar time zone.
One more important thing to consider when taking the step of outsourcing part of your business is the language affinity; communication is indispensable to interact efficiently and effectively. More than that, I also think that it is some sort of communication synergy that happens when the outsourced crew has the talent and the right attitude to communicate and commit to the overall goals beyond the expectations and in many cases leading those efforts.
Then you wonder what would be the actual benefits to rely on outsourcing and externalize part of your business components. Here is the list of what I consider the most relevant advantages of nearshore outsourcing that help you growth your business with ease:
Outsourcing service providers specialize in areas that maybe you don’t, or areas that maybe you want to improve or just lower the cost as their knowledge and experience often perform easier and faster. For new companies this is especially advantageous, because they will be exposed to that component provider knowledge where your team can always learn from and internalize whenever you are ready to.
Focusing on your strengths drives you to better results which have a significantly positive effect on the value that your customers perceive and the overall performance of your company. You will be noticed because of that. Reducing the time you invest in other areas that distract you from your main tasks may soon affect your company traction and growth.
Externalizing part of the operations will drag some of the risk out of your hands as you are transferring some of the responsibility in the shoulders of your service provider. This risk will probably be lower based on the provider expertise as well.
Cost is always a key factor no matter if you are a big or small company. Big ones want to reduce cost and perform better to compete. New companies want to do their best with smaller budgets but great aspirations. Outsourcing has proven its point of reducing costs since the means of communication and Internet became widely accessible and more powerful every day. Talent acquisition can be defer or skip strategically lowering the operations costs.
Work faster and 24/7 if you want, outsourcing facilitate operations to be performed in parallel allowing the business components work concurrently. Besides the outsourcing vendors are specialists that generally perform better. You will only care about fiscalize and orchestrate the teams to avoid bottlenecks and bust the organization results.
Getting your services from an adjacent time zone streamlines the management and synchronization of your business components as the interaction happens in real time. Today businesses care about every minute it takes to accomplish every action, so you might keep this in mind when you choose the right vendor for you.
On demand growth, broader options and customized services are differentiators from old times when contract services used to be tied to long term and fixed agreements. A modern and flexible model of outsourcing services allows you to perform better in dynamic business and aggressive changing markets.
Outsourcing nowadays happens in many different levels of the organization’s components and willing to decentralize your operations could be the key to success.
Like a friend of mine says:
“You don’t have to know everything. You just need to find who knows”