Outsourcing has been shrouded in a number of myths and misconceptions, such as the notion that it will always cause job losses or that offshore teams are incapable of delivering quality results. In this blog post, we aim to challenge these inaccurate assumptions and provide readers with an honest overview of both the benefits and drawbacks associated with outsourcing.
With outsourcing, small businesses can access professional services without the need to hire full-time employees, saving time and money. Outsourcing helps small businesses save costs on office expenses, equipment, and salaries. This, in turn, allows businesses to focus on their core competencies, such as delivering exceptional products and services to their customers. Moreover, outsourcing enables small businesses to scale rapidly, increase their efficiency, and stay competitive in the marketplace. Many small businesses have turned to outsourcing to help achieve their goals for growth, and it has significantly aided their success.
Some business owners may be hesitant to outsource their business processes because they feel it may create security and privacy issues. There is a fear that sensitive data may be compromised or misused. Business owners may also reject outsourcing because they worry the quality of a remote worker's work may not match the standards of their in-house employees. Another concern is that foreign workers may not understand the intricacies of the cultural and business landscape of the company which may lead to miscommunication and errors.
While these fears are understandable, it's important to note that these issues can be resolved by having clear systems in place. Let's take a closer look at some of the common misconceptions associated with outsourcing and see how you can design your workforce to avoid the usual pitfalls of outsourcing.
The pervasive belief that outsourcing is a harbinger of job loss has been the root of numerous misunderstandings and friction between countries. While it is undeniable that some outsourcing procedures have led to a reduction in jobs, particularly as companies strive to reduce expenses by relocating their operations to more economical locations, it is essential to recognize that outsourcing is not a one-dimensional phenomenon.
Far from being the villain it is often perceived to be, outsourcing can, in fact, be a catalyst for the creation of new jobs and can contribute significantly to a nation's economic growth. The process can open up opportunities for both local and global markets to thrive, thus introducing new roles and positions that might have not existed otherwise.
Businesses can take several steps to ensure that outsourcing does not reduce job opportunities in the market. Firstly, they can outsource non-core, non-revenue-generating activities, so that their internal workforce can focus more on core competencies and generating revenue. This means that the business is able to expand, creating more job opportunities for people working in the core activity sectors.
Secondly, businesses can recruit talent both locally and globally. If outsourcing is practiced with care and ethics, it can lead to new partnerships and expansion plans that benefit everyone, including in-house employees, outsourced workers, and the local and global communities where they work from.
Outsourcing can be beneficial for small businesses that need to reduce their overhead expenses, streamline operations, and improve their competitiveness, however, responsible business leaders should always be mindful of their impact on the job market as a whole, and should strive for equitable business practices that benefit their employees, partners and the wider community. Ultimately, a broader and more balanced outlook on outsourcing is crucial to fully comprehend its potential benefits and challenges.
Dispelling the common myth surrounding outsourcing, it is crucial to recognize that the quality of work is not inherently compromised when partnering with external agencies. Contrary to popular belief, many outsourcing arrangements yield exceptional results, thanks to a well-thought-out selection process, strong communication channels, and a shared understanding of the project's goals.
By devoting the necessary time and attention to these factors, companies can rest assured that their outsourcing partners will deliver work that meets, and even exceeds, their quality expectations. After all, the success of a collaborative endeavor lies in the strength of the relationship as well as the ability of both parties to effectively work together in pursuit of a shared objective.
While it is a common perception that outsourcing is solely within the grasp of large companies or meant for expansive projects, the reality paints a different picture. Outsourcing can actually be a boon for organizations of all sizes, including small businesses and large corporations. By tapping into the expertise of external professionals, businesses not only save time and resources but can also realize their potential through collaborative efforts.
Additionally, even on a smaller scale, outsourcing tasks could boost the efficiency, allowing firms to focus on their core competencies, ultimately ensuring sustainable growth. In today's interconnected and technologically driven world, outsourcing offers a wide array of opportunities, expertise, and cost-effectiveness, thus enabling companies to reap benefits regardless of their size.
Some of the most common work roles that can be outsourced without breaking the bank are administrative tasks including data entry, scheduling, bookkeeping, virtual assistance and graphic design for digital assets such as social media banners, blog images and infographics. It's important to look at the bigger picture beyond costs - task outsourcing allows businesses to stay focused on their core business competencies by delegating time-consuming but essential tasks to competent third-party service providers who are capable of performing them efficiently, thereby increasing efficiency and productivity of the organization as a whole.
Contrary to this common myth, outsourcing is not only limited to low-skilled jobs. In reality, businesses can also use this strategy to outsource tasks such as software development, marketing, and financial analysis.
The growing trend of technological sophistication in our society has opened up the scope for more advanced areas of outsourcing that require specialized skills for various kinds of projects. This makes it increasingly competitive and attractive for many companies to search for effective solutions when addressing their operational needs.
It is essential for businesses, however, to establish clear workflows when relying on external resources to handle crucial tasks. This not only ensures that the desired results are delivered but also maintains seamless communication between both parties while preserving the quality and security of work. A well-defined and structured workflow acts as a roadmap for the involved teams, helping them remain focused and aligned with the business's objectives. In the absence of such clarity, projects run the risk of delays, miscommunications, and subpar performance, thus jeopardizing the goals of a company. As businesses continue to rely on outsourcing for professional services, emphasis on establishing transparent and effective workflows will become even more critical for their long-term success.
The allure of outsourcing often stems from the belief that it guarantees significant cost savings when compared to performing tasks in-house. However, this is not a one-size-fits-all situation, as the financial viability of outsourcing ultimately depends on various factors.
Companies must carefully consider the complexity of the work being outsourced, as simple tasks may indeed be more cost-effective to outsource, while more intricate projects might prove to be more expensive due to the additional resources and expertise required. Similarly, labor costs differ greatly between countries, meaning that potential savings may fluctuate dependent on the chosen outsourcing location.
Lastly, companies cannot overlook the overhead costs involved in outsourcing, which may include expenses such as training, quality control, and communication barriers. As such, a thorough analysis of both the costs and benefits associated with outsourcing is crucial for companies to determine whether it is a suitable and cost-efficient choice for their specific needs.
In today's competitive business landscape, organizations often find themselves contemplating the idea of outsourcing tasks to accelerate growth and performance. However, it is essential to recognize that outsourcing should take a tailored and personalized approach that works for everyone on the team, and should not be approached based on popular misconceptions.
To determine if this strategy is right for your organization, it's essential to consider factors such as finances, internal capacity, and the effort required to establish a robust outsourcing system. Delve into your organization's specific needs and capabilities, analyze the potential risks and rewards, and make an informed decision that takes into account the unique circumstances of your company. The key to successful outsourcing lies in understanding that it is a multifaceted process; one that demands thorough investigation and utmost clarity, rather than blindly subscribing to prevailing myths.
If you're considering outsourcing for your business, don't hesitate to reach out to us for more information and guidance. Remember, outsourcing can be a powerful tool for business growth and success when done responsibly and with careful consideration. So take that next step and explore the many opportunities that outsourcing can offer your business!
Every business can benefit from hiring a virtual assistant for various reasons. The most obvious reason is that employing a virtual assistant frees up your precious time, and allows you to focus on growing your business as the owner.
Virtual assistants can take care of various business processes, from customer service to event organizing. If you’re in the market for some help in sorting out organisational matters but just can’t make a decision yet, this list of statistics could help you justify the need to hire an assistant. Read on for 10 statistics on outsourcing assistance for your business.
Modern times have influenced traditional employment. More and more large companies hire freelancers and part-time workers, making virtual assistants more popular nowadays. This trend is likely to continue especially with the pandemic encouraging remote work. Virtual assistant usage statistics show that more than 80% of big businesses have decided to raise the number of contingent workers.
If you hire a full-time assistant on-site, you must factor in additional expenses such as a desk, computer, and so on. If you hire a virtual assistant, on the other hand, you will avoid these expenditures and save 78 percent of your company's costs every year, which greatly benefits small businesses who have to focus on scaling their resources.
Technology is constantly evolving and continuously benefitting organizations, so companies need to make sure to follow the trend. Over 94% of organizations using outsourcing make due improvements by hiring third-party providers to assist.
According to statistics on virtual assistants, companies that hire virtual assistants sometimes require them to do a few particular tasks, while others give VAs crucial roles in their teams. Some common virtual assistant services demanded by employers include general admin work, project management, bookkeeping, billing and invoicing, content research, blogging, customer research, customer support, data entry, etc.
People who have chosen to do independent work and rely on it as their primary source of income show increased contentment in their work. If we compare them to people who have 9- to-5 jobs by choice, we’ll see that the latter are less satisfied.
The Philippines and India are the best destinations for finding virtual assistants because both countries are on the top of the list of global outsourcing. Virtual assistant trends show that while Filipinos are easy to work with and excel at Business English, India is popular for IT and back- office work.
Modern society has brought changes to the way we work and look for a job. As a result, many skilled professionals have chosen to work remotely as virtual assistants. Data suggest that nearly 60% of virtual assistants are well-educated professionals who have a college degree to prove it.
Virtual assistant rates of income can vary depending on the country as well as their skill set and specialties. However, the average pay of virtual assistants in the United States is $67,115. From that, it can be inferred that virtual assistants make $32/hour, or around $5,600/month, on average.
Many company owners have turned to virtual assistant services to help them with everyday duties such as social media management, email marketing, and project management during the last few years. This has allowed businesses to do more, and workers feel more productive towards their KPIs. Thus, the worldwide virtual assistant business is growing in tandem with the continuous rise in demand.
Virtual assistants come in a variety of shapes and sizes, depending on the business. Because the corporate sector is so broad, there is no definitive number of VA kinds. However, we can still construct a list of the most common types: virtual administrative assistant, virtual social media marketing assistant, virtual assistant writer, virtual bookkeeper, and virtual real estate assistant.
We hope this list helps you prepare and decide whether your business could benefit from hiring a virtual assistant.
Don’t know where to look for a qualified virtual assistant? NFT can help! Send us a message today or reach us at +61 2 9089 8875 to take the first step.
In today’s age of highly digitized processes, the difference between a successful business and one that is lagging behind is the integration deft management and suitable skills to complement its processes.
From small concerns to large establishments, many businesses are choosing to acquire business assistance as innovative and advanced services have become increasingly accessible in the current competitive and ever-evolving business climate.
The textbook definition of business assistance, or more commonly called business outsourcing, is the process of subcontracting multiple business operations and functions to third-party service providers.
That means that it is a business practice in which an organization contracts with a third-party vendor or external service provider to perform a specific business task or function. The third-party service provider is therefore solely responsible for carrying out all the tasks pertaining to that business function.
There are many reasons why companies acquire business assistance. The major reason is to save money and increase their work efficiency.
Generally, companies outsource skills because they get better, cheaper, and faster work done for their particular task. They can hand over tedious and time-consuming tasks that often take lots of time and effort. Thus by getting business assistance, they can focus on more critical work, turning to their advantage in the market.
Some companies outsource their work to third-party services as they cannot hire in-house employees who have specialized skills to perform specific tasks. Another reason is that sometimes companies don't want to handle regulatory requirements or obligations, and that's why they move over the management of these tasks to third-party services.
If you find yourself in these business situations, it may be time for you to start seeking assistance for your operations.
Broadly speaking, organizations get assistance for two key areas of operations. They include:
Below, we go into more detail of some functions that companies get assistance with:
Like all business decisions, company executives must arrive at the decision to acquire business assistance by weighing and considering various factors and reasons in addition to being mindful of the economic conditions and market forces.
Transferring internal processes to an external third party or outsourcing company requires change management as it impacts the workflow processes, employees and the business as a whole. This is not necessarily a negative outcome that may spring from getting assistance for some business operations, but when this step isn’t done right, it may impact the organization negatively rather than create benefits.
Employee outsourcing or acquiring assistants for multiple business operations is something that many organizations have benefitted from. It’s starting to become a normal setup in most companies, where company executives focus on the more critical areas of the business while employing talents in repetitive and time-consuming operations.
Before jumping on a decision to get assistance, it's essential to know which is the right one for you that meets your needs and demands. NFT offers business assistance as one of our services and we can help you get the right talents for the functions outlined above.
If you’re in the market for business assistance, contact us at +61290898875 or leave a comment below to get started with a free consultation.
Outsourcing is a strategy widely used by many businesses to increase team productivity. It allows a business to acquire the resources they need to grow without hiring full-time employees, which saves a significant amount of time and money.
Along with the rise of remote work and workplace diversification, outsourcing became a critical aspect in growing and competing in today’s global economy. Although there are many misconceptions surrounding this strategy, these 5 benefits far outweigh the risks associated with failing to approach outsourcing properly.
Outsourcing allows businesses to acquire talent that they might not already have in-house. Some skills that can be outsourced include internal communications, customer service, product development, management and marketing.
However, outsourcing is not limited to skills – companies can also outsource physical assets such as property or vehicles. By adding new skills to an existing team and leveraging additional assets, companies can speed up operations and scale sustainably.
The biggest challenge associated with this strategy revolves around employee retention when organizations fail to treat workers fairly. While outsourcing can power up an organization skill-wise, employers consequently receive the responsibility of creating an environment where both workers and contractors feel valued despite not being full-time employees.
Business expenses can be minimized by outsourcing tasks that are time-consuming, complex, or are inefficient due to human error. Additionally, by hiring independent contractors, organizations can avoid costly tax regulations, hiring expenses, and payroll taxes and retain profitability.
Take for example a web development project for a startup. With the limited budget and skill set available in young companies, the project can greatly impact finances if the business were to hire a project manager, a designer, and a developer. Web development agencies exist to solve this problem, as outsourcing the task of building a website significantly cuts down on labor costs. It also allows the business to save money on hosting and maintenance as these services usually come with web development packages offered by agencies.
The risks involved in business can be mitigated by outsourcing skills and assets to independent contractors. This works in two ways: First, independent contractors don’t pose the same risks as employees because they are not entitled to benefits such as health insurance, time off, and retirement funds. Second, by outsourcing assets like vehicles and equipment, a company doesn't have to maintain them to use after a project is completed.
This works especially well for businesses that are starting to gain more customers but lack the resources required to serve a bigger market. Choosing to enter this new business phase always involves investing in new technology, staff, and equipment. Subcontracting these requirements to a third party, instead of purchasing or hiring, gives the company a buffer against issues that could rise as they scale up.
When a company finds itself in a good position to explore new opportunities or branch out, outsourcing can help you plant your foot more firmly within today’s increasingly global markets. One way to outsource is by offshoring, where a business arranges to get its work done by a skilled worker from a different country. Businesses typically consider offshore outsourcing for its cost benefit, but the gains can span into more than just lower labor costs.
Depending on where your outsourced roles are located, you may gain a time zone advantage from competitors by having offices that are in sync with different world business schedules. Many retail companies have seen significant growth in customer service from offshore outsourcing because it allows them to localize their offerings.
Several countries also offer tax breaks and financial incentives to entice foreign companies. By outsourcing a part of your operations offshore, you may discover more profitable market areas to tap into. Having trusted talents from the location helps you pivot into these new opportunities more quickly, compared to seeking out these markets from a foreign perspective.
When you house all your business functions in one team, things can get busy and complicated. Core functions tend to get overwhelmed by outside issues which can cause missed opportunities and failure in offering services and products that your customers deem worthy of their money.
Back-end operations, such as customer service, sales, or maintenance require significant attention. As long as you’re ready with systems and processes in place, subcontracting these responsibilities to a third-party can allow managers to focus more on central concerns of the business.
The increased efficiency and ability to focus on your core business functions also positively impacts customer satisfaction. By breaking your organization down into units, you increase your ability to respond quickly to changes or issues, so any customer complaints or company issues can be handled with more thought and diligence.
Outsourcing is one of the best ways to grow your business by accomplishing more in less time. It allows companies to accelerate time to market with access to new skills they don’t already have in house while still maintaining control over costs. Decide which departments would be best outsourced to a third-party and start looking around for experts who fit the bill. It may seem daunting at first, but it will do wonders for your bottom line.
If you are considering outsourcing your support team, IT development, or marketing services, NFT has a track-record of finding the right skilled talents for your business and getting the job done.
Contact us to speak to a specialist who can help you scope out outsourcing possibilities.
Managing a business is not an easy task. When you first started out, you didn't know that you'd be mixing responsibilities as an entrepreneur with administrative duties—not a desirable situation.
And being on your own is insufficient to cover all aspects of running a successful business. You need to get a virtual assistant!
Choosing the correct virtual assistant (VA) will allow you to assign daily duties to someone who is always available to help. You don't have to suffocate in a sea of responsibilities in order to care for and build your business! In other words, focus on the tasks that really need your attention and delegate the rest to your virtual assistant.
A virtual assistant is a person who does administrative work for businesses while working from a remote location. An executive assistant, administrative assistant, or personal assistant can all be functions that can be performed by a virtual assistant, depending on the needs of one business.
Still not convinced? Here are some reasons why you should hire a virtual assistant as soon as possible:
Cost-cutting is the primary motivation for organisations to employ a skilled virtual assistant. Employing a virtual assistant instead of a full-time staff member can save you up to 85% on annual operating expenses.
Why? Because they can work for themselves or for a company that employs them as virtual assistants. All of the fees and perks provided to employees, as well as expenditures like office space, are now the responsibility of a third party, not the service provider or client.
No additional perks, rental space, internet, or other utility costs are incurred when you hire a virtual assistant.
We need to keep in mind that, in addition to being an entrepreneur, we also have a variety of responsibilities in our personal lives. It is not just our professional relationships that require attention and care. We have more time to do the things we enjoy when we have someone to assist us.
Burnout can be avoided by having more time to yourself, which improves your productivity. It helps you concentrate on the most important aspects of your business.
By delegating mundane duties to your virtual assistant, you free up time in your day to work on other projects.
With more time on your hands, you'll be able to spend it with the people who matter most in your life.
Let's face it; having a virtual assistant to assist you with the day-to-day operations of your business reduces the amount of work and stress you have to deal with. As a result, you'll be able to spend more time with your loved ones. In other words, you're regaining control of your social life.
Working with virtual assistants not only saves time and money but also boosts productivity.
For those of us who get bogged down in activities or to-do lists, here's a piece of advice: prioritise your tasks and prioritise your to-do lists. All of that and more may be accomplished with the assistance of a top-notch virtual assistant.
One strategy to avoid becoming overworked is to delegate jobs to someone who is capable of handling several duties and obligations. A virtual assistant (VA) can help you divide and conquer the tasks on your to-do list. In light of this, it makes sense to use the services of a virtual assistant.
Having a clear set of tasks to outsource to a virtual assistant can help you get things done and develop your business. Virtual assistants can assist you in prioritising which duties to complete first.
You'll be able to find a VA who is capable of doing any task you give them. The majority of VAs have a wide range of skills that can be put to use for their clients, including client communication, basic administrative tasks, and in-depth research.
Take the term "assistant" in its broadest sense. Virtual assistants (VAs) receive training in a variety of specific abilities, most of which call for a particular skill level as well as experience, such as managing social media, transcription, copywriting, and email marketing, amongst others.
There are many advantages to working with foreign virtual assistants. To get the job done, you only need to find someone who is skilled and competent without having to worry about location, tax, and other difficulties. Hiring from a global talent pool, on the other hand, provides access to a more diversified and qualified group of candidates.
You can learn a lot about different cultures and people by interacting with VAs from all around the world. They can provide you with information that is both new and based on first-hand knowledge. Every once in a while, we could all benefit from taking a step back and looking at things from a different angle—this is especially true for those of us who run our own companies!
Delegation is the not-so-secret technique that propels great business owners to the top of their fields. Work delegation has been shown to boost productivity, energy levels, and happiness. Delegating is important for your mental health as well as your physical well-being because it reduces your stress level.
On a daily basis, the majority of business owners find themselves feeling overwhelmed by the tasks required to run a business. With the help of a professional, you can relax and know that everything will be taken care of for you. In order to free up your time and minimise your stress levels, consider working with a virtual assistant.
It is now a widely acknowledged and recognised fact that being an entrepreneur comes with a psychological cost. No matter how cheerful and enthusiastic you appear to the outside world, we can tell you're having a hard time keeping your head above water. A virtual assistant will allow you to take some time off, go for a stroll, or just get away from the craziness of being an entrepreneur for a little while. A person's emotional well-being can be greatly enhanced simply by being aware that someone is there to assist them.
Your business and your personal life will benefit greatly from the services of an experienced virtual assistant (VA). In the early stages of business ownership, a sense of dread and anxiety quickly builds in. Anxiety and pressure can be alleviated by having your VA by your side. If you've ever had to go through a day with a lot of mental stress, you know how important it is to have someone there to lean on.
Any successful business owner will tell you that finding the right balance is important and that setting priorities is the best way to grow a business.
So hire a virtual assistant today to grow your business and enjoy a stress-free business.
Don’t know where to look for a qualified Virtual Assistant? NFT will help you, just give us a message or reach us at +61 2 9089 8875
We're excited to be a part of your company's future success!