A recent report by Aptude revealed that US businesses are outsourcing around 68% of their workforce requirements. This percentage accounts for approximately $85.6 billion in the global market.
However, when your company decides to outsource – whether for digital transformation or software development purposes – you should look for more than a short-term provider. The best outsourcing companies act as long-term partners who provide critical advice and expertise to transform your company.
In light of this, here are the top four reasons growing companies can benefit from a long-term outsourcing partner:
1. Priceless quality, expertise and collaboration
Outsourced technology and software professionals can give essential feedback and challenge traditional business processes that might not be the most efficient. This can lead to increased creativity, new ideas, concepts and processes within your business. Having worked with many different companies and strategies, these professionals have a clear, unbiased understanding of what works and what doesn’t.
By closely collaborating with businesses, an outsourcing team can help evaluate and improve company processes. Such a collaborative environment can lead to vital product development that exceeds initial requirements.
Although many businesses don’t realise it, partnering with an outsourcing partner is the most low-risk resourcing method out there. You can be confident that an experienced, reliable partner will support your team through relevant projects or business operations.
Finding suitable candidates with the required tech skills is becoming increasingly difficult. According to the BBC, the UK’s tech talent shortage could potentially threaten the growth of the UK tech industry. This is largely due to a generally low UK unemployment rate, concerns over job security, and increased economic uncertainty, which makes people wary about moving jobs. Furthermore, 12 million workers lack essential digital skills to be suitable workers in the tech industry.
Outsourcing can solve this issue, as outsourcing companies have experience attracting and retaining the talent required by the tech industry. Moreover, outsourcing professionals already have all the necessary knowledge and skills to fill talent gaps.
70% of companies claim that the number one reason for outsourcing is cost reduction, as outsourcing lowers the cost and time associated with hiring and training in-house staff. According to the Deloitte Global Outsourcing Survey for 2020, the main objective for any outsourcing project is to reduce costs long-term.
However, it is important to note that it might initially be slightly more expensive to outsource staff, especially at more senior levels, compared to employing someone in a full-time position. Despite this, outsourcing is more cost-effective in the long run, with the initial costs outweighed by the long-term benefits.
Outsourcing empowers companies to minimise the expenses associated with HR, recruitment, and training. Furthermore, these teams can be brought up to speed and onboarded much faster in comparison, generally within just two weeks. The traditional recruitment process usually takes at least two to three months.
4. Increased focus on core activity and velocity
Company expansion may tie up your human and financial resources at the expense of the core activities that made your company successful in the first place. Outsourcing brings in additional resources to focus on big-picture goals and help increase project velocity.
An outsourcing team operates like a well-oiled machine, reducing production time and errors and increasing efficiency. This allows your staff to focus their time on the tasks that bring profit and value to your business. Alongside this, an outsourcing company can often provide better management skills that otherwise wouldn’t be possible without significant restructuring.
The bottom line
With companies across the UK increasingly affected by the ongoing tech talent deficit, finding a reliable, long-term outsourcing partner might be just what your business needs.
Outsourcing teams made up of efficient and experienced industry experts can save you significant time and money that you’d otherwise have to spend on training and recruiting. They also provide essential contributions through unbiased feedback, increased creativity, and collaboration, leading to superior product development.