Why Outsource Your Business?

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Outsourcing is used by business, both offline and online, as a means both of saving money and of providing an improved service to their customers. This is particularly so in the field information technology where the skills needed are wide and varied, and it is unlikely that any specific individual will be trained in all aspects of IT and computer technology.

Software development and maintenance, for instance, is frequently a very specific skill, and people tend to be highly trained in particular aspects of the business rather than have a working knowledge of them all. Software analysts can be skilled in specific languages or areas of software use, such as databases or Cisco technology, or specialize in networking or wireless systems, but very rarely in all of these.

That means that a company that is liable to come across problems in these varied areas of computer and internet technologies, often find it better to outsource specific tasks than to employ specialists who would be able to handle only a finite number of these needed tasks.

What is Outsourcing?

Many companies use outsourcing in their business, and if you are unsure what that is you should find out, since it can save you both time and money and help to fill the missing skills gaps that are amongst your employees. Outsourcing is collaborating with another company or person to perform a certain function for the company. Although some people think that outsourcing is something new in the world of business, it's actually the opposite. Outsourcing has been in existence since the concept of work specialization was first thought of. One good example is a small businesses outsourcing their accountancy work when tax time comes along.

Reasons for Outsourcing

The reasons for outsourcing are fairly obvious when you take the time to think about it. Some tasks are needed so infrequently that is not financially justified in employing a full time specialist. The business benefits from having occasional tasks carried out expertly and competently, and at minimal cost. OK, the actual price paid might be higher than if your accountant or software designer were an employee, but the ultimate cost is a lot less since the employee's salary would be significantly higher over the year than paying for tasks as and when they are needed.

First and foremost, the main advantage of outsourcing a certain function is that you are sure a professional knows what he or she is doing. You are hiring the training and ability of a professional. Certain tasks might require a fully qualified and certificated specialist for you to meet your legal obligations. That's why businesses outsource to other companies who are experts in a certain function.

Examples of Outsourcing

For example, a computer consultancy firm might operate a certain type of software, but they have a client that uses an operating system with which that software is not compatible, and a modification has to be development. This might not be a common situation, and employing a full time programmer for this task would likely not be viable. They would have very little work to do. Therefore, the job is outsourced.

Internet marketers understand the need for good online content on their web pages, but often do not have the time or resource to write it themselves. They therefore outsource their content to article ghostwriters who provide the service at a lower price than would cost the webmaster if the spent their own valuable time writing.

Advantages of Outsourcing

The main advantage of outsourcing is that you don't need to put the outsourcing company or the person on your payroll. You simply agree on a set of terms with the service provider. You won't be worrying about any monthly payroll. It's as simple as that.

Another advantage of outsourcing is being able to save on benefits. If you choose to hire a professional who specializes on that specific function that you don't have in your company, you will need to give him benefits just like any other employee. However, if you get a contractual professional or outsource the task to another company, you won't be spending to provide the benefits.

Aside from being able to save on benefits, you will also be able to free up your Human Resources department. Hiring is a complex business, and outsourcing can frequently be just as economical as hiring a permanent employee, only without the responsibility and much of the paperwork. Outsourced work offers guaranteed results, while if an employee does not do the job properly you have to sort out the problem yourself.

Be More Flexible

Another important advantage of outsourcing is allowing your business to be more flexible. This ties in with some of the other advantages, but it does mean that you don't have to find work for people that you don't personally employ. You can outsource at irregular intervals, and so design your work schedule to suit you rather than to ensure that employees are being continually utilized.

There is no doubt that outsourcing is an economic way to have certain tasks carried out when you need them, and that it frequently gets the job done quicker and more effectively than relying on the varied skills of your own employees.



Naz

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diane walker

dianewalker4-310091

Why Outsource Your Business?

More and more companies are outsourcing because it is cost effective for them and this is great for people who want to be based at home to be near their children and have a better quality of family life. It is also helping with the foot print by not having to travel to work and back. I have seen some adverts from large companies who have been looking for staff to work from home, but what I did find strange was, they were still normal staff of these companies and not outsource contractors, but if they wanted the job and to work from home then they needed to buy their own computer equipment which I found strange. This would of course be normal if you were an outsource worker but these adverts were for members of staff with large companies to work from home Chesterfield Business Directory Bath Business Directory Wigan Business Directory Basingstoke Business Directory Bringing Businesses and Customers together

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Nigel Marsh

nigelmarsh-76016

Why Outsource Your Business?

Naz a good read , the tradition is the outsource professional skills however increasingly more mundane back office work is also outsourced . We have discovered a large increase in our clients outsourcing unpaid invoices to us within 7 days of payment due date . Despite the benefits of outsourcing the workload , there is also large cash incentive in that we earn extra surcharges for the benefit of our clients account . Outsourcing work give the opportunity to upsell and add costs to an account , something which is more difficult to do when work kept in house . regards Nigel Marsh I recommend you look at our site HERE

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Connie Herzog

connieherzog-280314

Why Outsource Your Business?

Naz: You "hit the nail right on the head"! Thank you! Connie Herzog Virtual Administrative Assistant Q1 Consulting Services, LLC www.q1consultingservices.com

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Gerard Mayo Brady

gerbrady-238464

Why Outsource Your Business?

Mayo Hotels | Mayo Restaurants | Mayo Dentist | Mayo Cinema | Mayo Free Adverts | Advertise in Mayo Outsource is a no brainer for any body with any incling of a business brain! However could it be said that it is only for established business, how many will wait in the first year for their payment. Accountants ...Maybe, I dont Know of any more. I would love to outsource, salesman, somebody to answer quires, P.R stuff, Leaflet drops, Secratary and Cold calling etc. Is there anything that can be done for that first year? Would love to see a blog on this subject! Great blog Nazir, keep em comming! Gerard Mayo Business Directory Ireland Business Directory

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Angela "Virtual PA" Dawson

angeladawson-172576

Why Outsource Your Business?

Hi Naz I whole-heartedly agree with the subject of outsourcing, but then again I would otherwise I'd be out of business! Outsourcing means you can cherry pick who you want to work on a particular aspect of your business and only pay for the time it takes to work on that project. Angela Dawson Dawson VA Services t: 01670 364813 s: 0191 6450785 m: 07855 746777 f: 0870 285 3190 angela@dawsonVAservices.co.uk make your busy-ness my business Sign up for our FREE e-newsletter Request your FREE Guide to Choosing a Virtual Assistant

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Harrow Shah

tommampilly-255997

Why Outsource Your Business?

Harrow News | Harrow Property | Harrow Events | Harrow Cinema | Harrow Free Adverts | Advertise in Harrow | Harrow Fun | Harrow Beauty I agree with Tom, Outsourcing definitely buys in the expert knowledge especially projects that need specialised skills. However does day-to-day support need to be outsourced? Having worked on various system implementation projects, a lot of the support was being outsourced to India where labour costs were 40% cheaper than the UK but they did not all have the right skill set and another issue which has been faced by a lot of companies is the language barrier. Outsourcing of this kind may be cheaper but in the long run by not having the right skill set and re-work being done costs the business. Tom Harrow Business Directory UK Business Directory

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Tom (THE HARRIER!) Brown

tombrown-73368

Why Outsource Your Business?

Outsourcing "buys in the expertise when you need it! and, is far more cost effective. We facilitate the whole of our client services through carefully selected ( mainly TRADE only) sources, it allows the client to concentrate on their core business function. Design - Print - Promotional Goods - Incentives - Marketing Tom Brown I.Eng, FIET, MInstLM www.ConceptPromotions.com

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