December 28, 2016 7:00 pm | Updated 1 year ago.
Offshore outsourcing gives the much-needed leverage to startups and small business as they often lack the necessary budget to compete with their bigger counterparts. Many startups in order to compensate use offshore outsourcing as a medium for expanding their capacity. This procedure is not only cost-effective and at times also brings in new skills in the form of intellectual capitals. The process of expansion or scale-up may require hiring new resources to handle the extra workload. But doing this may have an adverse effect on income. The solution to this problem is offshore outsourcing the non-core processes might help lower cost. It will also help the organization to concentrate on its core processes. Offshore outsourcing has been a boon in various cases where professionals from every sector have opted for freelancing or contractual jobs.
The Economist predicted that outsourcing can increase productivity and competitiveness. About, 78% of entrepreneurs in the Silicon Valley believe that freelancers give them a competitive edge.
Present day offshore outsourcing vendors offer an array of services to startups and small business houses in the Silicon Valley. They are:-
a) Frontline Support – It is a support provided directly to customers face to face. Offshore outsourcing of frontline support can easily provide services like feedback calls, inbound calls, emails, and even chat support to clients. Frontline support aims to provide clients with solutions that are cost effective and user-friendly at the same time. Offshore outsourcing these jobs to countries outside the USA will not only save money but increase the availability of resources and talent pool, without causing any diversion for the company from focusing on its core competency.
b) Backline Support – Backline support system basically works to provide in-depth technical support to the frontline support team. It is also popularly known as the contact center of an organization that handles the entire customer relationship management (CRM). Providing services to people are the focal point of a backline support team. Offshore outsourcing of this work will help save time and money for the organization.
c) Back Office support – Offshore outsourcing the back office support is a kind of a growth hack which is adopted by startups and small organizations in the Silicon Valley. This is done so that organizations can direct its resources and thinking efforts towards the core functions and the secondary functions are offloaded to an offshore outsourcing vendor. This not only saves money but also helps in leveraging intellectual property.
d) Virtual Assistant – Automation is all set to define relationships in the offshore outsourcing market. RPA (Robotic Process Automation) are the game changers in today’s ever changing market. With technology evolving, virtual assistants can save time, nerves and other resources. Every day work like data entry, managing emails, scheduling and other mundane work are outsourced to virtual assistants.
D2e Consulting believes that as polices will witness a change under Donald Trump, the US President-elect, less number of companies will indulge in offshore outsourcing only for labor cost arbitrage. Offshore outsourcing will mainly take place to enhance productivity and mostly as a growth hack by startups and small businesses in America.