Making your outsourcing effort successful requires asking the most fundamental question: when to outsource and when not to. Handing certain business processes to an external expert to push the profit margins of your business can be intriguing, but there are some things to consider to make a successful transition in outsourcing possible.

8 Steps to Outsourcing Success

The rising concept of a global workforce has blurred geographical boundaries to the extent that nowadays you can execute any part of your business, anywhere in the world. If your company is experiencing growth and needs something extra; outsourcing non-core functions will give you the talent, skill, cost, and quality advantage to stay competitive. Below we have mentioned eight things to consider before deciding on a BPO partner to ensure you have a successful BPO transition.

Tips for Choosing the Best BPO Provider

1- Assess Your Needs

Decide on the motivation behind your decision to outsource and identify potential gaps. Clarity goes a long way to manage expectations and also helps implement outsourcing process steps more efficiently. An outsourcer who has worked with numerous companies can help you through this process as part of the initial discovery and discussion or you can retain an outsourcing consulting firm too.

Understand the difference between different outsourcing models like Onshoring (outsourcing within the domestic country) and offshoring (outsourcing to other countries). If you want a partner rather than a vendor, then consider offshoring with a co-sourcing partner (proactive, consultative, value-added relationship).

Oftentimes, temp services or staff augmentation takes a lot of time and effort on your part. The management of resources, including the training and onboarding, falls on your company when you may already be short-staffed. By bringing in an outsourcing partner, many of the administrative steps are covered and you also gain from their expertise in driving business outcomes on behalf of their clients.

2- Determine What Goals You Are Seeking

Ask these important questions;

  • Do you need to reduce operational costs (what specifically is your cost driver)
  • Are you looking to improve quality (how do you measure it)?
  • Is there a need to expand operations to other geographies?
  • Are you facing a lack of talent for recruiting or retention?
  • Do you get inundated with surges in demand that are trigger-based or seasonal but not sustainable?

Like any goal or objective, it should be specific, time-bound, and measurable. This not only helps you key in on what you want to accomplish through outsourcing but it allows you and your co-sourcing partner to work toward the same business outcome.

3- Establish Baseline Metrics

You want to be able to compare and before and after results of your main business outcomes. To the extent possible, try to not only identify your goals but determine how your organization is performing currently so you can measure the effectiveness of your co-sourcing partner. Documenting outsourcing process steps will also help obtain an accurate estimate and identify the right roles. Your business processing outsourcer can usually help in these instances.

4- Culture-Match Your Outsourcer

Choose an outsourcer that can closely match the values of your organization and offers bespoke services. A seasoned partner will help you navigate the cultural shift smoothly while providing teams with native-level language capability. A veteran outsourcer like Premier BPO becomes a seamless extension of our client’s business processes by immersing with our client’s corporate culture.

The right location also plays a critical role in the results you want to see. For offshoring or right-shoring options, locations like the Philippines possess cultural and educational similarities to the U.S., while China and Pakistan possess an untapped technical talent reservoir.

5- Have Realistic Expectations of Your Outsourcer

Setting clear expectations with your outsourcing partner will ensure results are in accordance with what you were promised for both quality and quantity. Communicate with your external teams frequently to keep an eye on deadlines and deliverables.   Create transparency in the project at hand so what you anticipate for outcomes parallels your actual results.

Choosing the lowest-cost provider might seem the first choice, but isn’t advisable if you want high-quality service. It also does not get you proactive support for continuous process improvement that seasoned partners like Premier BPO offer.

6- Estimate Your Savings

Always make a cost estimate to know what you will get. Once you have finalized the basics, the next step is to calculate what your outsourcing savings will look like. Often the additional expenses of internal employees are overlooked, so your fully-loaded costs increase overall. When outsourcing, your partner handles all overhead costs like attrition, training, QA, healthcare, insurance, vacation days, etc.

With Premier BPO, you only pay the labor cost, we absorb all other expenses into our services.  Here’s a sample of how to calculate your outsourcing cost and typical savings through our interactive ROI calculator.

7- Co-Source for the Right Partnership

Choosing the best BPO provider that is a mutual fit is ideal, because one size doesn’t fit all. Pick a partner that is:

  • willing to go the extra mile (tailors their services)
  • can fulfill your needs (can get you the right talent)
  • is established and experienced (proven they can stand the test of time and they have experience in different scenarios)
  • is aligned to your company’s business outcomes (becomes an extension of your business)

A BPO provider focused on long-term relations and proactive consultation will also be your guide every step of the way. A Co-sourcing partner like Premier BPO tailors services to each client’s need and operates on shared risk and reward models for mutual growth.

8- Have an Onboarding Plan

Select a partner company that understands how to provide white-glove treatment for companies that are outsourcing for the first time. From co-developing job descriptions to hiring talent, onboarding, and training, an experienced outsourcing company ensures they are a seamless extension of your business.

Hiring new employees is integral to growth and expansion, so a learned business process outsourcing company will make sure you have the talent you need. Partners like Premier BPO also provide an estimated time to upscale or downscale according to the number of resources you may need to add or remove at any point in time.

There are many tips for outsourcing success, but to truly make the most of your outsourcing partnership, always choose the BPO partner that is able to support your business outcomes by immersing themselves in your culture and objectives. Open communication, aligned culture, defined deliverables, and dedicated support are some of the few things that can help you prepare to co-source talent.

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