Outsourcing companies can either help skyrocket your business or lead you in dire straits. If you’re considering to use an outsourcing strategy, there are many options available out there. A lot of BPO providers offer varying services, delivery models and pricing plans. All of which can get both overwhelming and confusing when coming down to a decision. Furthermore, you’ll likely have to stick with the decision you made for quite a long time as switching to another vendor will significantly impact your organization. This is why choosing the best outsourcing company to work with is a make-or-break moment for businesses.
To make the selection process of finding the right outsourcing company simple as ABC for you, we have a few great tips that can help.
1. Set your outsourcing goals and requirements.
The first step is to pinpoint what you want out of your outsourcing venture. It’s going to be tough finding the right provider when you’re not sure of what it is you need.
Your goals for outsourcing could be driving down costs, getting your internal employees to do more high value work, rapidly growing your business or all of those things. Moreover, you should also clearly outline your requirements like “Will you or the outsourcing company be managing the staff?, “Do you need a lot of help with training the outsourced team?”, “What are your performance metrics to determine success?”, and so on.
This critical planning stage ensures you stay focused on what you hope to get out of your outsourcing relationship.
2. Look for expertise.
Not all outsourcing companies are experts on the same areas. Most of what you’ll encounter offer a vast number of services such as customer service, technical support, data entry and processing, graphic design, content moderation, and the list goes on. However, you’ll notice that they usually have certain areas they specialize on if you ask the right questions.
Great questions to ask are:
- What kind of experience do they have in your industry?
- What have they done in the past that is the same or similar to the tasks you want to outsource?
- How would they solve a challenge you’re currently faced with?
- What team size do they specialize on? (Some BPO companies are accustomed to managing hundreds of outsourced staff under a single client while others specialize on smaller and more agile teams)
- How do they hire their employees? What is their retention like?
3. Check for credentials and business stability.
Each outsourcing company has their own unique value proposition in some ways that are different from others. Your bet best is to find a partner whose qualities match your needs. A good baseline for this is to learn about their credentials and business stability. So questions like “How long have they been in the business?”, “What is the background of their people in management?”, or “Are they owned by a corporation or a single proprietor?” should be imbedded in your initial conversations.
Another excellent way for you to get to know the company better is by checking their online presence, case studies, testimonials or references.
4. Examine technology and infrastructure.
Power outages, slow internet connection and clunky computers are just some of the problems you want to stay away from. Not only will this give you frustration, it can seriously hamper your business operations. Make sure you hire an outsourcing agency who uses reliable technology and solid infrastructure. For example, partnering with a provider who has their BPO facility situated in a rural area not reputable for commercial use is asking for trouble. Sames goes for having only one internet provider and no backup to ensure continuity of operations.
5. Compare terms and prices.
One of the leading reasons why companies use outsourcing up to this day is because of cost savings. However, while cost optimization is still a critically important criterion, it’s no longer at the top of the list according to Deloitte’s 2018 Outsourcing Survey. This is because disruptive outsourcing can deliver competitive advantage when delivered well.
With that said, pinching pennies is not the ideal way to go when deciding which outsourcing company to select. Never compromise the quality and reliability that your business deserves in exchange for low-cost solutions. If you get quotes from more than one provider, be cautious of those who offer the lowest or a few and far between prices. Either opt for the pricing on the mid range or even the premium rates if your company has the budget. This is where the saying you get what you pay for applies.
Also make sure that any costs involved are made clear and transparent by the outsourcing company. You don’t want to find yourself stuck with a vendor who turns out to have hidden additional expenses.
By taking these advice in your decision-making process, you stand a better chance of landing the outsourcing company that’s right for you. A successful outsourcing partnership will empower your company to be more cost-efficient, improve efficiencies, scale and grow faster.
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