What Outsourcing to India can do for your Business?
You have heard and read a lot about the good and bad of outsourcing to India. You want to give outsourcing to India a shot. But before taking the final plunge, you want to know what outsourcing to India can do for your business. Here is what outsourcing can do for your company.
Definition of Outsourcing
Outsourcing can be defined as a process, function, operation, job or task that can be executed by your own employees, but is instead outsourced or contracted to an external third party vendor for a specific time period. Offshoring is the strategic use of outside resources to execute business functions that were earlier handled by internal resources.
Outsourcing can also be defined as a business strategy where a company outsources a part of their business functions to a specialized service provider, who becomes a valued business partner. In outsourcing, the third party vendor can execute your business functions either on–site or off-site.
Why Choose to Outsource?
There are several reasons why companies across the world choose to outsource to India. Most managers outsource to India because of the huge cost and time savings that they can make. Here is a list of reasons why companies choose to outsource to India:
- Concentrate on core business functions by outsourcing
- Save on cost by outsourcing
- Enjoy greater flexibility by outsourcing
- Improve company focus through outsourcing
- Free your in–house resources for major business functions by outsourcing
- Drastically reduce and control operating cost by outsourcing
- Get access to world class capabilities through outsourcing
- Share risks with a partner company through outsourcing
- Outsource business functions that are out of control or time consuming
- Outsourcing can help you augment the lack of internal resources for a particular business function
What jobs are Commonly Outsourced to India?
When it comes to offshoring to India, almost any business function or area can be outsourced to India, as India is a country which has skilled resources in almost every field. The following are some of the most frequently outsourced business functions to India:
- Information and Technology
- Telecommunications and Networking
- Insurance Administration
- Human Resource Administration
What office functions can be outsourced to India?
Outsourcing your office functions to India can bring in benefits to your company. Before offshoring, determine which areas would bring in more benefits by outsourcing. The following are some of the commonly outsourced office functions to India:
- Transcription / Typing outsourcing
- Financial / Accounting outsourcing
- Secretarial outsourcing
- Sales and Marketing outsourcing
- Human resources outsourcing
- Distribution outsourcing
- IT support functions outsourcing
- Project management outsourcing
- Customer support outsourcing
- Engineering outsourcing
- Contracting / outsourcing
What are the advantages of outsourcing to India?
Outsourcing to India can help your company grow and make huge savings. Here are seven advantages of outsourcing to India that you can expect to see in your own company:
- Cost and efficiency savings in back–office functions
- Reduced overhead costs for particular functions that are extremely high
- Improved operational control for operations whose costs are running out of control
- Flexibility in staffing for seasonal or cyclical demands
- Better risk management
- Increased level of business continuity to the company
- Developing of internal staff and acquisition of new skills through working with the outsourcing vendor
How can I ensure that my outsourcing venture to India is a success?
There are several factors that can influence the success of an outsourcing project. By paying attention to the following critical areas of outsourcing, you can be sure to see your offshore project come to a successful end:
- Define and understand your company objectives and goals before outsourcing
- Develop a strategic vision and plan before you outsource
- Select the right vendor through a vendor selection process
- Invest time into the ongoing management of the outsourcing relationship
- Create a properly structured outsourcing contract
- Opening communicate with your offshore team throughout the course of the project
- Ensure that you provide your offshore vendor with support and pay attention to issues
- Develop a short term financial justification
Now that you are convinced about outsourcing to India, why not make a decision to outsource to India today? Watch your company grow to new heights, concentrate on core business functions and get skilled resources to work on your projects–all by outsourcing to India.