Why Outsourcing
You can’t do it all. It’s a lesson that many entrepreneurs learn the hard way. Starting a small business requires many talents, and some of them you simply won’t have or won’t have in enough abundance to be effective.
That’s where outsourcing can help your business. Without outsourcing, your business could fail to achieve growth as quickly as you want or worse yet, fail to grow at all.
Here are just some of the benefits of outsourcing for your small business.
Outsourcing Benefits for Entrepreneurs
Outsourcing isn’t just for big companies. Technology has enabled even the smallest company to achieve great things. Outsourcing, which is leveraging outside expertise to conduct business workflows, is all around us. Some of the most common types of outsourcing for small business owners is payroll, accounting, and taxes. However, office cleaning or marketing your business can also be outsourced. Why would small companies spend the money to hire an outside expert over a DIY approach? They know there are clear benefits to outsourcing. For example:
Outsourcing actually can save you money by converting fixed costs (such as a full time equivalent, or FTE employee) into a variable expense. It gives you control over a financial outlay that is much easier to cut if necessary; hiring and then laying off a full-time worker is an expensive mistake. It also can free up capital you need to seek small business funding to grow your business.
Outsourcing can improve your efficiency. If you do it all yourself, it will cost you more in time and labor and the return will likely be not as high due to your learning curve on some tasks. It makes sense for any business owner to seek out the right subject matter experts to get the job done. Outsourcing gives you a way to do that without the high costs of hiring someone full-time.
Speaking of hiring, outsourcing is a way for you to grow your business without adding overhead. Reducing labor costs is one way to increase cash flow. Hiring staff for short-term projects is expensive and difficult to manage.
Ramping up a project is easier with outsourcing. Handling a project in-house requires organizing, training, and logistics so that it could take a good deal of time to launch. An outsourcing partner already has the tools and expertise in place to hit the ground running.
Perhaps the biggest benefit of outsourcing is that it frees the small business owner up to concentrate on the core business. Every small business can struggle to find the resources they need to grow. Outsourcing can level the playing field by allowing outside experts to contribute to making your company a success. While they handle the heavy lifting, a small business owner can focus on building the business.
OM Resources is an outsourcing partner for small business funding. We work closely with our partner-clients to help them understand the funding as well as other types of programs designed to launch and grow their company. Talk with our team today when you need a resource to help your bottom line.
Why Outsource to India
INDIA HAS THE LARGEST TECHNICAL AND PROFESSIONAL TALENT POOL IN THE WORLD
India remains unmatched when it comes to its vast pool of skilled and talented human resources. The country has a population of over 1.2 billion people and around 3.1 million graduates are added to the workforce each year. India also holds the distinction of being the largest English speaking nation in the world, larger even than the AU and UK combined. Apart from the vast numbers, is the quality of talent that attracts companies wishing to outsource. “The attraction of India for us was not only numbers but, more importantly, the quality of the talent. We’ve taken on people who are innovative and creative and can really contribute to the business,” says Tom Hyde, STI Upstream business manager (Shell), on why their company choose India among other countries for their outsourcing needs.
INDIA OFFERS FLEXIBLE PRICING OPTIONS
The number one reason why India remains a top outsourcing provider is due to the significant cost savings that companies can achieve. This is mainly because of the wide gap that exists between personnel costs in India and that of the developed countries. For example, a good developer in the U.S. can cost anywhere from $50 to $80 an hour (for a full-time staffer depending on skills and experience). In comparison, the hourly cost of a developer in India can be negotiated down to as low as $15 per hour. This pricing flexibility allows companies the freedom and creativity in managing their budget and helps them reap large profits.
INDIA PROVIDES CONSISTENT HIGH QUALITY SERVICES
While the cost factor plays a huge role in outsourcing, the consistently high quality provided by Indian outsourcing firms has also enabled India to remain as the top outsourcing destination. The National Outsourcing Association (NOA), in its Annual Offshore Outsourcing Conference, reflected on the trend commonly seen among International companies who choose India as their preferred outsourcing destination. “Cost reduction was only part of the reason that companies were considering offshore outsourcing, there were benefits to be had in time-to-market and quality, leading to an adage that companies initially chose India to save costs but stayed for the speed and quality!”
INDIA BOASTS OF THE BEST IN INFRASTRUCTURE AND TECHNOLOGY
Modern India is well-developed and offers state-of-the-art telecom, ISP, and cellular networks in all major cities and towns. Clients are offered the latest and best in software technology, including customized solutions for various applications such as e-commerce, business process re-engineering, system migration, legacy system maintenance, system integration, and much more. Outsourcing companies also maintain uninterrupted communication channels with clients by providing high-speed bandwidth via satellite connectivity, submarine cables and fiber optic networks.