It is in the nature of every successful corporate organisation to gain a competitive advantage over others. One way to do it, is through outsourcing non-core competency domains so that the company in question can focus on what it does best.
Outsourcing refers to a practice in which a company hires a third-party vendor to perform certain tasks, handle operations and/or provide services for the company.
If you are a small or medium enterprise and are trying to save money on recruitment, we have got you covered. Here’s your complete guide to employee outsourcing.
As noted before, when a company outsources a particular task or an area of operation to a third-party vendor, it is called employee outsourcing. There are various ways through which this can be done:
Hiring freelancers: Perhaps the cheapest way to outsource, hiring freelancers can reduce manpower cost by as much as 60-70%. However, companies have often complained about the quality of the freelancers and their commitment to work. There have been stories of freelancers who have abandoned the project mid-way, citing personal issues, thereby leading to loss of money. Data security issues have also been a concern.
Hiring an outsourcing agency: Many companies in developing economies, like the Philippines and India, offer dedicated resources at a fraction of the cost of local hiring. These outsourced companies also take care of onboarding and other costs related to hiring.
What are the advantages of outsourcing?
From optimising time to saving money, there are a variety of advantages when it comes to outsourcing:
Outsourcing some non-core functions like data entry or back-end support can free up a lot of time for existing personnel to concentrate on more important areas of business.
If you are a company in a developed economy like the US, UK, EU or Canada, outsourcing to a developing economy can help you save a ton of money. Studies show that outsourcing can help in reducing costs by upto? 70%.
It allows you the freedom to scale-up or down as per your business requirements. However, with permanent employees on board, this cannot be done so easily.
A step-by-step guide to outsource:
The following 4 steps should ideally be followed to maximise the advantages of outsourcing.
Find out a good outsourcing agency that provides remote hiring solutions. Do your research - ensuring that you find out their credentials and go through their client testimonials to get an idea about the quality of the work the agency performs.
Share your specific requirements with their customer relationship manager. You can ask for resumes of select candidates before you cherry-pick your resource.
Interview before proceeding. Make sure that your resource is fully aware of the task that is to be performed.
Once you have selected your candidate, all that needs to be done is to onboard him/her. Your outsourced partner should help you with this process.
The outsourcing industry is growing at an exponential pace as more and more companies are outsourcing their requirements. Several dedicated players are emerging in this field to cope with the high demand. Dubai is one of the premier destinations when it comes to outsourcing with UHRS being one of the best outsourcing companies in the United Arab Emirates. Known to provide the finest HR outsourcing services, UHRS is famous for its quick response, quality resources and innovative hiring solutions. Needless to say, when it comes to outsourcing agencies in Dubai, look no further than UHRS.