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To Outsource or not?

To Outsource or not?

Outsourcing has become a hugely popular corporate strategy, fuelled by the perception that it solves all performance ailments. This is not always the case, says Dr Madelise Grobler, MD of Bytes People Solutions (BPS).

Outsourcing, co-sourcing and off-shoring of non-core and specialist functions can lead to a host of benefits.  The most crucial of these is the resultant freedom that allows an organisation to focus on its central operations and future growth strategies.

According to Madelise, it’s important to note that outsourcing is not a one-size solution that fits all. Neither is there an empirically proven right time to outsource. “What we do know, however, is that when people are not ready to outsource – although they may think they are – it can become challenging,” says Madelise.

This challenge most often stems from the issue of giving up control versus feeling in charge of your own fate. Outsourcing is about delegating responsibility to industry specialists and allowing your core staff to concentrate on key competencies. It’s about focusing on doing what you’re good at and handing operational, resource or customer experience functions to a worthy outsource partner. Seen in this light, outsourcing becomes a useful strategy towards optimal performance and numerous cost-saving benefits. Nonetheless, it has to be aligned with the overall business strategy and should not be driven by secondary considerations, such as getting rid of the “people problems”.

“To outsource or not to outsource is a big decision that should never be made in a rush,” says Madelise. “Outsourcing provides a way to gain a competitive edge and allows you to run a more efficient operation. However, the decision should be carefully considered and it’s vital that potential outsource partners are sensibly selected.”

3 questions to ask your potential outsource partner

Once the decision to outsource has been reached, the next milestone is choosing the appropriate outsource partner. Madelise advises that companies at least ask the following three questions:

  1. Can the potential partner handle your requirements immediately? You don’t want them to outsource your contract to someone else.
  2. Does the potential partner understand the business of outsourcing, as well as your requirements?
  3. Does the potential partner have the necessary safeguards in place? These include a proper business continuity plan (BCP) and a disaster recovery (DR) plan.

BPS’ strengths as an outsource partner

  • 35 active Contact Centres in the customer services and direct sales environments
  •  A team of full-time Business Analysts.
  • A training department, which includes Coaches for the contact centre Agents.
  • A Quality Assurance team.
  • A Business Intelligence team that analyses client data on a full-time basis.
  • A Project Management team that supports client interventions.

About Bytes People Solutions:

BYTES PEOPLE SOLUTIONS is a professional provider of Skills DevelopmentTalent Management and Business Process Outsourcing, enabling organisations to drive excellence in business processes. Services include Assessment Centres, Business Process Outsourcing, Contact Centre Solutions, Content Development, Enabling Technologies, ICT Learning Solutions, Online Learning Technologies, Professional Services and Soft Skills Development.