Distributed and Conventional Outsourcing explained

Learn what sets distributed and conventional outsourcing apart and which one equips the best structure that fits your business.

Outsourcing, defined as the practice of handing over non-core business processes to a third-party team, has been positively contributing to the industry over the years. More than saving on costs and improved reach and sales, conventional outsourcing has reportedly increased flexibility and agility for business benefits due to the latest technology employed to daily operations.

With proven effectiveness comes the many forms of outsourcing that popped up in the previous era, all aiming to improve work productivity at a controlled cost. Discover how each one differs from the other and which one can greatly contribute to your business.

What is conventional outsourcing

Conventional outsourcing generally refers to the traditional ways of outsourcing that we’ve known since the early 20th century. As a matter of course, conventional outsourcing only takes place when a company asks the help of an external team to work tasks that don’t have an impact on the inner core operations.

Jobs often outsourced are mostly repetitive tasks in specific industries such as IT, finance, manufacturing, retail, and computer technology. Over the years, conventional outsourcing has demanded more skills than just customer service and encoding. For outsourcing to be successful, there should be careful planning and strategy in achieving company goals.

More than a well-established outsourcing structure, there should be a common understanding between the client and the BPO company regarding every system and procedure to avoid conflicts. One wrong step can create friction and would totally be costly if not managed well so it is important to define the system.

However, conventional outsourcing has reached its peak of success in the previous years that some business process outsourcing companies tend to fall down a bit. This happens when a company couldn’t keep up with the fast evolution of a technology-dependent industry. They always need to keep up.

Distributed Outsourcing beats the traditional

Distributed outsourcing currently drive the outsourcing industry towards more flexibility powered by smart tools to carry out tasks. Distinguishing distributed outsourcing from conventional outsourcing can be confusing because they offer the same services with slight variation in the work setup.

Distributed outsourcing employs work-from-home workers regardless of location. Using the latest collaboration tools, all team members can work simultaneously in the comfort of their homes. Clients gain access to globally competitive talents with years of expertise in their own fields. These talents can essentially add value to a company that aspires to scale in no time.

In addition, distributed outsourcing fits all kinds of businesses which can leverage business status when done properly. This structure has the potential to easily adjust to the fast-changing needs of an institution thanks to freer setup arrangement.

Perks of Distributed Outsourcing to your Business

Conventional outsourcing can still benefit businesses with the same common advantages as before. On the other hand, distributed outsourcing promises more benefits businesses didn’t know could improve their processes.

When you make distributed outsourcing part of your organizational structure, you get to win the following perks:

  • Round-the-clock operations. Since remote employees can work without geographical limitation, your business can move 24 hours. Time is money, which also means that having a round-the-clock team can potentially increase leads and boost sales.
  • Multi-cultural and multilingual talent pool. Not only do you have the chance to work with a multilingual team with diverse culture, but you also get the chance to bring your business to the global market. Working with key people from different parts of the world can help you develop a marketing strategy that works for a specific target market in various location.
  • Security and Transparency. Unlike conventional outsourcing that can establish an office-based headquarter, distributed outsourcing permits workers and business owners alike to work remotely. That’s why distributed outsourcing implements strict policies and guidelines before totally moving on with a transaction. Distributed outsourcing companies utilize tracking tools to monitor progress on ongoing projects without micromanaging every employee. Besides, they make sure to work with the latest cloud software and security infrastructure to abolish the possibility of a data breach.

Further, distributed outsourcing provides businesses with remote employees who value work ethics whilst producing quality outputs consistently.

At HOPLA, we believe that distributed outsourcing can bring a business to its full potential. Right people, smart delegation, and foolproof business structure rolled into one are all you need to expand your business. Call us today so we can help you start your journey to definite success.