As the heat to bring offshore outsourcing to an end in the United States continues to make the headline, a lot of business that have proved company outsourcing to be a great way of attaining fulfillment are still clinging to this practice. Well, who would really want to blame them when this business practice has helped in their continuous existence?
First, let’s look at the main aspects that businesses and companies are seeking fulfillment on and how outsourcing has helped so far:
The major goal of any business is to make profit. And of course, one of the major ways to boost profit is through cost saving. This is the number one benefit that companies and businesses have been enjoying over the years by leveraging outsourcing solution.
Compared to hiring employees in-house or in-country, most companies have found that they are able to save more cost by opting for off-shore employee hiring. The cost saving margin is quite high and has in turn helped to boost the profit of these companies and businesses.
Obviously, no company or business wants to fold up but would do everything legally possible to promote their continuous existence. And, as you probably know, there is no profit without meaningful cost saving, and a company or business will fizzle out if it is not making meaningful profit.
Again, company outsourcing has helped promote both cost saving and increased profit, leading to continuous existence of many businesses, companies, and corporate entities, which is why it’s hard for these entities to let go of outsourcing, and particularly offshore outsourcing.
Increased Speed in Entering the Market
Every business strives to enter the market with their new line of product before their competitors do so. This way, they are able to gain a larger share of the market. This is also where outsourcing steps in to help make this happen.
For instance, some manufacturing companies such as automobile companies employ outsourcing to speed up production, hence faster entry to the market. While they are handling the major aspects of the automobile manufacturing in-country, they outsource other aspects such as parts assembling to tech gurus in other countries, which in turn speeds up the final outcome.
Access to Affordable Specialized Skill Sets
Especially for the start-ups, hiring special skills sets in-house (e.g. IT) can be an expensive step to take. On the other hand, a business at its start up stage can leverage outsourcing to keep such cost as low as possible without losing quality.
Through outsourced solution, companies are able to achieve lower cost, sell at better price, speed up entry time to market, and ultimately gain competitive advantage. Indeed, company outsourcing is a great way for companies and businesses to attain the fulfillment they yearn for.
Daven Michaels is a New York Times Best Selling Author and CEO of premiere global outsourcing company, 123Employee. The company employs hundreds of young bright individuals on three continents. His International event, Beyond Marketing Live! Inspires entrepreneurs build & grow their business with revolutionary new theories and systems allowing them to design the business and personal lifestyle of their dreams.