Who would not want to hear a great success story? In this section, we will take you to some of the best outsourcing triumphs. We have grouped the stories into three: the entrepreneurs, the companies, and the employees.
It is highly likely that you already know most of these people and corporations, but you did not know that outsourcing had been such an integral part of their success.
The Business Process Outsourcing (BPO) industry is one of the leading businesses today. According to Statista, the worldwide BPO industry’s revenue amounted to $24.6 billion in 2017.
Many working-class people resort to this industry for various reasons like career growth, intellectual stimulation, and customer service, among many. If you worked or are currently working in the BPO industry, then you will agree with this.
BPO companies also provide flexibility to its employees. By having a variety of accounts that its employees can be assigned with, it is not difficult for both the employer and employee to maximize the latter’s potential.
BPO companies provide job opportunities locally and globally. From single to married and people who have families, BPO companies have offered great help and support.
One example is the BPO industry in India. In this country, it continues to thrive over the years. Here are some of the reasons behind its success:
- Competitive workforce
- Human resources that are equipped to cater to global market demands
For employers and entrepreneurs, outsourcing has driven significant positive outcomes concerning growth and expansion, which will also be discussed here through the lens of real people and companies.
To understand how outsourcing contributes to the success of various companies and individuals alike, here is its definition.
How do you define outsourcing?
Outsourcing is a term used when a company hires experts in a specific field to do job-specific tasks that used to be done by its employees. It is done so the company management can focus on the more immediate areas it needs to address.
It is the central theme of this discussion that drives companies to the top.
For example, Company A will hire Expert A (most likely another company), who is an expert in the algorithm to work on the I.T. Department for the programming stuff. In this way, Company A removes the burden of having to deal with programming issues and can now focus on the primary expertise of the business. Usual tasks that are outsourced are payroll, HR functions, IT activities, and building management.
There are various reasons why companies outsource. Cost-cutting is one of the good things about outsourcing. Even if it means hiring someone, sometimes at a higher price, it gives a good return on investment. Plus, with the quality performance by experts and added human resources brought about by outsourcing, customers become more satisfied with the services that a company offers.
Is offshoring different from outsourcing?
Why do companies outsource overseas? In the BPO industry, offshoring is also a common word that is closely linked to outsourcing. Offshoring is primarily expanding its manpower talent by getting people from other countries. Often, companies use offshoring to do what they are most knowledgeable about and contribute to the company’s growth and expansion. This is one of the main offshoring benefits.
Some of the benefits of offshoring are:
- Reduced risks because of a diverse pool of talents
- Complementing existing staff with an offshore team
- Significant growth in business because of cost-cutting
- Greater operations coverage because of different time zones
These are to name a few. The most significant impact of offshoring is how it changes lives.
How does business process outsourcing change lives?
The BPO industry continues to change lives today, not only for the entrepreneurs and companies but also for the employees.
- For entrepreneurs and companies, outsourcing generates more people, which increases productivity and workforce, thereby generating more profit.
- Outsourcing also helps companies establish a reputable image to their clients since they delegate certain tasks to experts. In this way, services are performed more efficiently and done professionally.
- Outsourcing also lets its employees focus on tasks they are most knowledgeable about while leaving the areas they are unfamiliar with to certain experts in the field. It also reduces the tendency of burnout due to overwhelming workload.
- Outsourcing provides a proper delegation of tasks. It increases the efficiency of the people, thereby giving higher satisfaction to clients that companies cater.
- For employees, the BPO industry gives generous compensation, not only for them alone but also for their families. Plus, there are variations on shifts, so an employee can choose what fits his/her lifestyle best.
- They also provide training so that people who lack a particular skill necessary for the operation can keep up.
- The BPO industry serves as an avenue for connecting different nationalities across the globe. Furthermore, it provides work opportunities and career growth in second and third world countries as big companies do offshoring.
Since the rise of BPO industry, the world has never been well-connected.