Nouvique Tech Blog

Why should you Offshore Outsource in 2020?

Given the economical situation created in 2020, with the emergence of the pandemic Businesses are having a hard time getting back on their feet and a lot of companies have been struggling to operate at the same level they did before Covid-19. Businesses are always looking to get the best deal for the least expense and that can be translated in time, staff, resources and of course money.

Outsourcing has been a solution that Businesses have been using for years, but now it seems to be more convenient. Outsourcing is a Business practice which involves an agreement between a company and another company, to perform tasks, handle operations or provide their services as a third-party to the company.

Sometimes this process involves handling specific tasks and stepping in to fill the gam for lack of staff, saving time, reducing costs, or project management, other times it involves a full project handled by the third-party company from start to finish. It might involve transferring staff from a company to another or just the work process which can be provided remotely, or locally.

 

Here are some of the benefits that Outsourcing will provide your Business with.

 

  1. Cost reduction

Lowering operational and labor costs are one of the main reasons why companies look to outsource. Collaborating with an offshore company which has lower operational costs is going to provide your Business with the option to have the same project completed just as competently, but with a bigger profit on it. Companies offshore may not have the same operational and labor costs as your Business, which means that their cost is going to be lower than it would be if you do it yourself.

  1. Lack of technical expertise

Sometimes Entrepreneurs think that they can do it all, but we all have encountered Business deal which we can not complete on our own, that is where technical expertise from another company is required and that is where you outsource that specific task or the whole project to a company that can provide you with that skill. You do not say no to your client, you get the job done in time and requirements, but you just stretch your hands out to another company.

  1. Inefficient project management

Businesses take pride in completing tasks and getting deals done in timely fashion, but sometimes a big project might land on your feet and it could be something out of your reach and the complexity of the project might be overwhelming for your crew, so you delegate part of that project to a third-party company that is going to help you in managing the project and provide you knowledge and firepower for it to finish on time and successfully.

 

  1. Partnerships

Collaborating with another offshore company will allow your Business to use it as leverage to get more project your way. The fact that you gain global knowledge and you have partners offshore will give the client a certainty and they will understand that you have world class capabilities and the right resources to complete these tasks.

  1. Increase efficiency

Having a third-party company in your corner will give you access to much higher research, development, marketing and expertise which is going to be passed on to your clients. The quality of work will reflect in your projects and you will be able to complete more projects in less time with a lower cost. Having an outside provider for the right cost, can give you an important competitive advantage.

  1. Delegate complex projects

You have a project which requires more skill than what you and your crew can offer so you can’t get your hands on it? That doesn’t mean that you can’t make profit from it, you can simply delegate it to your offshore partners. This way you don’t have to handle tasks that are difficult to manage and you can still enjoy its benefits.

  1. Reduce risk

Outsourcing helps give companies more breathing room, sometimes small firms can act “Big” by giving them access to the same economies of scale, efficiency, and expertise that large companies enjoy. Outsourcing providers assume and manage this risk for you, and they generally are much better at deciding how to avoid risk in their areas of expertise.

  1. Increase efficiency

Having a third-party company in your corner will give you access to much higher research, development, marketing and expertise which is going to be passed on to your clients. The quality of work will reflect in your projects and you will be able to complete more projects in less time with a lower cost. Having an outside provider for the right cost, can give you an important competitive advantage.

  1. New opportunities

In the Business world you give and you get back, that is how it works, collaborating with an offshore partner might help you expand and gain access to new market areas, which translates in new opportunities for both companies.

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