Disadvantages of Outsourcing: Rising Above the Drawbacks
Outsourcing business operations is the strategic practice of delegating services to an external entity. Outsourcing is usually done as a cost-cutting measure. In fact, global businesses have taken a liking to hire global talents due to advantages it offers. However, a company must also be acquainted with its disadvantages before dipping their toes in it. Here’s a look at its different cons how to rise above them.
The Cons of Outsourcing
Confidentiality and Security
Data leak is a business nightmare. Losing sensitive data is high at risk when information is handled by offshore parties on personal devices. In the same way, it is possible when secure infrastructure is lacking for properly transferring information.
Losing management control
Offshoring usually mean hiring talents from other parts of the world. Having visibility and control over the operations of remote staff living in different time zones can be a challenge. This means less authority of business functions that are manageable in a traditional office setup.
While many turns to outsourcing jobs to cut down costs, unclear terms and conditions can lead to unexpected expenses. Missing the fine print on lengthy contractual agreements can mean additional fees for extra services. Eventually, companies may realize that getting the job done in-house may be more cost-effective during this circumstance.
One of the disadvantages of outsourcing is its structure. Outsourced staff is usually not exclusively working for a single customer. Remote companies are often profit-driven and may take on multiple projects. As a result, there are delays and inaccuracies in their output because of the inability to cater to all clients. When outsourced staff struggles with juggling different projects, quality is compromised.
Combating the Disadvantages of Outsourcing
Allocating labor-intensive tasks outside your company no doubt allows you to focus more on the important aspects of your business. Moreover, delegating time-consuming processes through offshoring jobs improve flexibility and efficiency.
While these many benefits are enticing, we cannot deny that the drawbacks also need attention. By overcoming the disadvantages of outsourcing, you can focus on the core activities that matter to your company. So how do you mitigate these risks before completely diving into outsourcing? Here are some expert tips:
Virtual Desktop Infrastructure (VDI)
The lack of a secure infrastructure for proper information transfer causes confidentiality and security risks. Manage this risk through virtual desktop infrastructure (VDI). VDI is a virtualization technology that hosts a desktop operating system on a centralized server in a data center. In other words, it streamlines outsourced processes by connecting your staff on the same platform. Finally, having your staff members work on the same secured platform lessens the issue of confidentiality.
Enforcing rules around remote work
Implementing rules and policies on workflow and best practices will give you peace of mind. When you have a clear set of rules, you and your remote team will be on the same page about deadlines and deliverables. Moreover, time-tracking apps can help your staff get work done while providing you strategic monitoring solutions.
Clearly define terms and conditions
Understanding the type of task and the qualifications you need for the job help in setting expectations. First, you can craft straightforward contracts stating the suitable qualities needed to perform the job. But most importantly, you can maintain a perfect balance between quality service and cost effectiveness by setting clear and definite terms and conditions.
Hire only talented professionals
Quality will never be one of the disadvantages of outsourcing if you hire only the best talents. You can choose from freelancers or outsourcing companies that can recruit the right people for you. Offshoring jobs should be about finding people who are experts in what they do. They should be reliable and trustworthy to ensure that they will not abuse the power they have over your operations.
Winning over Outsourcing Drawbacks
Mitigating risks to outsourcing remote jobs need not be a challenge. Managed outsourcing firm HOPLA has all the right tools and expertise to fight against all these disadvantages.
Confidentiality and security are not a problem with HOPLA’s VDI solutions. We have solid partnerships with the best providers that working remotely is definitely a breeze. Likewise, you need not to worry over losing management control. HOPLA offers task management and time-tracking tools that will allow you to oversee your remote day-to-day operations.
Doubting the costs? There are no fine prints for our services. Lastly, HOPLA has a pool of talented professionals from all over the world. Whether it’s outsourcing back-office operations or content creation, HOPLA will find the right talent for you so you don’t have to feel uneasy about poor work quality.
Learn more about how HOPLA can help you navigate through the world of remote working. Call us today and see what our expert team can do for you.