Outsourcing employees has been around since the 1950s, revolutionizing the era of industrialization. It’s a tried and tested business strategy that still raises several questions for skeptical people in the industry. What doubts and misconceptions do you still hold? Let’s dive into debunking the most popular outsourcing myths.
Myth: Only big companies should outsource employees.
Truth: Small and Medium-sized Enterprises can outsource work based on their needs.
A leading business marketplace reports that 37% of small enterprises outsource work and 59% of international businesses outsource non-core tasks. When you make your decisions based on your needs there might be several reasons to outsource your work— no matter what the size of your company.
You might need to cut overhead costs in the sales department or you need the expertise of an accountant but can’t fund a full-time salary. There are several reasons businesses of all kinds need to outsource. In the case of SMEs, outsourcing can give them more time for revenue-generating activities.
Myth: Outsourcing employees hinders communication.
Truth: Outsourcing promotes intentional communication.
Once you’re used to the office workspace it can be challenging to imagine connecting to another employee through just a video call or chat message. Offices allow for more incidental communication such as when you pass by someone’s desk. However, offshore outsourcing involves more consistent digital communication but it does not derail business operations. Virtual employees and businesses thrive with the ability to communicate for specific purposes, to fulfill a specific goal.
Furthermore, when it comes to language barriers, you only need to offshore to countries that are fluent in the English language. That’s why the Philippines is the global hub for outsourcing. The country scored the 22nd spot on the 2022 EF English Proficiency Index and boasts the band “high proficiency”. You won’t have to worry about communication when you choose the right people.
Myth: Giving up control can cause failures in business.
Truth: Delegating has numerous benefits for businesses.
Some businesses are fearful of relinquishing control to another party. They think it can compromise the quality of work. That’s actually unlikely since outsourcing providers can often fully focus on ensuring employees maintain excellent performance. Outsourcing partners do not need to worry about revenue generation— their sole goal is to monitor your employees and make them provide the results.
When you delegate quality assurance to another party they can provide the attention and effort into this activity which drives excellent outputs and numbers.
Myth: Outsourcing can cause data security problems.
Truth: Businesses need data security protocols whether they do or do not outsource.
Working online isn’t limited to just outsourcing efforts. The 2020s have seen everyone move to the cloud with 81% of organizations utilizing this storage system in 2023. Remote and in-house employees alike are susceptible to data security issues. It’s up to you to establish clear data security systems. You can also have virtual employees sign confidentiality agreements, and non-disclosure agreements and train them regarding data protection guidelines to reduce any risks when it comes to your business’ data.
Myth: Outsourcing employees is hard to manage.
Truth: Outsourcing partners can help you manage your virtual employees.
Data operator G. Dautovic reports that 78% of businesses from diverse backgrounds have a positive outlook on their outsourcing providers. Collaborating with an outsourcing partner can help you give more attention to core business tasks and allow them to do what they do best: manage your employees. You are assured that you have the right people to do the recruiting, onboarding, training, and managing of your virtual employees.
The Bottom Line
There are numerous age-old misconceptions about outsourcing. However, the potential rewards such as cost savings, boosted productivity, and specialized skillsets that come with outsourcing virtual employees trump any of these so-called “risks”. The truth is in the results: efficient virtual employees who can provide you with quality service. With an outsourcing partner like MOVE to manage your employees, this is a surefire outcome.
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