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Top 10 Reasons for Outsourcing that you may have overlooked all this while

Top 10 Reasons for Outsourcing that you may have overlooked all this while

C-level executives of most small businesses pondering over what part of their business to outsource and which part to keep in-house usually ask themselves this one question- “Does this particular operation provide me a cost advantage?” If it doesn’t they keep it in-house, but if it does, they outsource it.         

If only the decision were that simple.

There is no doubt that outsourcing can provide a major cost benefit. Hardly anyone denies that. In fact, with the evolving business landscape, several different models have mushroomed to suit businesses of varying shapes and sizes. There is an outsourcing model for the unique needs of every path-breaking business.

But most businesses fail to anticipate other benefits that they can receive from outsourcing other than cost saving, this blog explores those top 10 reasons for outsourcing that offer far better benefits -

1. Access to Latest/Niche Technology

Why invest thousands of dollars on a niche technology that you may not use more than once when you can get access to all the latest frameworks and development tools without spending a dime on it.

Reputed outsourcing companies usually subscribe to the latest frameworks, crucial development tools and usually have access to niche technologies that they use for all their projects.

Therefore, you can claim to use the latest technology for your projects without the nightmarish costs and hassles of using it yourself.  

IT Outsourcing2. Access to Specialized Resources

One of the major advantage of outsourcing is getting access to a vast portfolio of specialized resources. This arrangement enables businesses to get a chance to leverage specialized talent such as developers that specialize in niche technologies, without having to hire them internally.

Alongside, saving costs such as recruitment, training and infrastructure.

3. Drive Flexibility & Speed

As Marc Benioff of Salesforce rightly puts, “speed is the new currency of business”. Speed is everything in business. Speed matters during the development stages of your products as well as during your product launches. But, without flexibility, speed holds little meaning.

Therefore, many outsourcing companies offer an initial test project that allows you to scrutinize the quality of their work.  Sometimes, you can even ask for a one-time project and measure their metrics before you sign-up for a long-term arrangement and make a huge investment. Outsourcing companies that offer these services enable you to develop your products without the overhead you normally need.

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Additionally, you get fast-paced, flexible development that can easily match up to market trends and keep you on top of your game.

4. Leverage Professional & Well-established Procedures

Great products require great processes. If you want to churn out some really amazing projects, you want your outsourcing partner’s processes to be competent. While there are a few hold outs, you will find that many outsourcing companies today are truly professionals that care about you.

In fact, most outsourcing companies today have well-defined engagement models, project workflows, escalation procedures, communication methods and most importantly well-trained staff to take care of your tasks.

If you wish to ensure successful project delivery, opt for the right outsourcing partner who will have a professional and reliable development processes that you can always count on to get your product to the market faster.

Outsourcing Partner in India5. Nullify Recruitment Hassles

Recruitment of even a single employee is a time-consuming, expensive and a challenging process. In fact, employers sometimes admit questioning the confidence in their ability to find potential employees with the precise mix of skills for their company.

But without a background in IT, how would you know if a potential applicant has the right skill-sets and knowledge?

In such situations, selecting a credible IT development/support partner can help you get rid of the worry entirely as you can leave the worry to a team qualified to make accurate judgments of what skills are required to efficiently manage your IT tasks.

6. Free-up Internal Resources

Most start-ups prefer to cut down their costs by delegating IT-related tasks to one or more of their staff who have some level of IT knowledge. Prima facie, this may sound lucrative, but I urge you to dig deeper and consider if it is worth the time these individuals spend on resolving IT issues for the rest of the team, while putting their key tasks on hold.

Outsourcing frees up your resources and allows them to focus on their key tasks, that ultimately lead to a growth in your business.

7. Improve Risk management

Working with experts not only reduces the number of bugs but also reduces the risk of the product crashing by ensuring that there is expert help available during the time of crisis as well.

Moreover, if you are launching a new product or have a new service offering, having an outsourced offshore team can quickly be fine-tuned to match a skyrocketing demand as compared to the team on developed nations.  

Outsourcing Company in India

8. Focus on Core Business

One of the most common mistake that most entrepreneurs make is of donning multiple hats at the same time. For example: Small business owners who are coders themselves may want to do their own development work while running their business.  But, a startup founder must do tons of other things such as build a network, get out and market their products and also build relationships with investors.

With the current state of the economy it is more important than ever to focus on your business and its clients. Every second matters, so you must prioritize your time for activities that will help immensely to get your business off the ground and outsource other tasks, even your development if need be.

9. Leverage Value Added Services

Most outsourcing companies today also provide a range of additional services that could add value to your business by improving productivity and efficiency while reducing costs or risk within your business in times of crisis or on a day to day basis.

Value ads such as pro-active remote monitoring of your IT network on a 24/7 basis allows issues and problems to be identified and addressed even before they affect the user, thereby reducing the downtime.

Moreover, constant support services such as monitoring all the software updates and maintaining the integrity of your network to prevent these problems arising in the first place.

10. Lower Operational & Labour Costs

There’s an age-old saying that says, “it’s all about the money”. No matter the benefits, the fact of the matter is that most companies wouldn’t be outsourcing tasks overseas if they weren’t saving money, or worse, if it were an added expenditure.

Lower operational and labour costs are a result of the major outsourcing hubs usually being third-world countries with a highly educated population. Yet, these outsourced employees cost much lesser than their first-world counterparts. Additionally, the operating costs in third-world countries are much lower than the first-world countries. What’s not to like?

Finally, as with any vendor you have to hunt for the best outsourcing partner for your business needs. No two outsourcing companies are ever the same. To get the most out of your outsourcing partner, you have to make sure your outsourced development team truly understands what you need them to do and if you can truly trust them with your intellectual property.

The best way to go about this to find a vendor who shares your passion and will work with you to ensure that your product is the best version of itself that it can be.