Top 5 reasons to outsource processes

Most companies start with a great idea and a small team focused on making everything work as best as they can. At the beginning they manage to handle all their business’ components such as development, marketing, sales, HR.

However, when the business starts to grow they suddenly realize they don’t have the internal capability to handle everything on their own. That moment, when they identify they’ll need someone else to take care of those ‘secondary’ processes, is when they start pondering whether they should hire someone to handle everything in-house or outsource to a specialized company.

It goes without saying that small businesses and startups usually have to make the most out of whatever amount of resources they have so, in the spirit of making every penny count, they either hire someone does to it all or start analyzing all the (many) good reasons to outsource.

Hiring new people costs a lot more than just the salary and tax costs. It implies providing space, equipment, and training. Outsourcing one (or more) processes by hiring specialized outsourcing companies to manage all those ‘non core’ processes normally costs less than having someone to take care of all those processes internally.

If the ‘make the most out of your money’ isn’t reason enough to convince you of how much your company can benefit from outsourcing, here’s a small list with the top 5 reasons to outsource your processes.

Top 5 reasons to outsource

As anything in business management, deciding to outsource is a strategic decision. However, companies usually think ‘short term’ and question why should they outsource if they could have someone in-house to take care of it all. To help you with that, we’ve come up with this brief list of reasons to outsource:

Do more spending less

People don’t say “it’s all about the money” for nothing. Lower wages and reduced operating costs normally place first in almost any “reasons to outsource”, so that goes without saying.

Whether your company is just getting started or already established on the market, whether you run a startup or a Fortune 500 company, you have to think big. Focus the internal efforts of your specialized employees on your core business and outsource everything else.

Outsourcing will allow you to control exactly how much you spend running each of your processes, optimizing your resources and literally making the most out of your money.

Focus on what matters

Having to worry about non-core processes normally takes a lot of your specialized employees’ time, making them stray far away from what really matters: your core business.

This is one of the top reasons to outsource because once you ‘eliminate’ the need to deal with accounting, HR or a call center internally, you allow your company to focus on developing your product/service and growing your company.

Easy access to highly qualified professionals

As we’ve mentioned before, hiring people to take care of one (or more) processes incur in a lot more that just the professional’s wages. It amounts to all the costs involved in taxes, training and much more.

There’s a huge chance your company is not specialized in HR, accounting and software development all at once.

Searching, interviewing and hiring a particular professional for an in-house position can take weeks or even months (and we’re not even including the time you’d spend training this professional after he/she’s hired).

When choosing to outsource a particular process (or even a department), companies have easy access to highly qualified employees, specialized in the process they need to manage. This normally cuts the bill a lot shorter, and that’s why this is one of the top reasons to outsource.

Flexible business structure

Today’s global economy comes with a lot more uncertainty that most business owners wish it did. This uncertainty demands that business have the ability of expanding/downsizing at a much faster pace than they did 10 years ago.

Most countries’ labor laws place an obstacle to that much needed speed. By outsourcing all those secondary tasks, companies practically eliminate the risk of employee lawsuits over timely terminations.

Outsourcing allow businesses to quickly adapt to their demand (making it especially helpful when dealing with seasonal processes).

Better service quality

I know it may seem too good to be true, but outsourcing can be rather helpful in improving the quality of your services. Why would you worry about searching, hiring and training specialized professions when you could simply hire a company with all the necessary skills (for a lot less money)?

IT support, accounting, financial and human resources are among the most commonly outsourced functions, that’s why there are world renowned companies specialized in providing these services at very attractive rates.

Learn everything about Outsourcing!

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Written by Isabelle Salemme, Product content manager at Pipefy. She uses her extensive Pipefy knowledge to write informative pieces teaching users to make the best of Pipefy. Besides being responsible for all product-related content, she's an avid reader, a coffee lover and a professional photographer.