What Are The Benefits Of Using Outsourcing For Your Business?
The benefits for a company that used outsourcing services are numerous but the main is related to savings in operating costs (staff, rent, energy, IT costs, taxes and fees, etc.), increase the efficiency and flexibility of the company. Of course, there are challenges and problems too, and some of the most common ones are related to the problem of security and data protection, regulatory requirements, which sometimes does not allow outsourcing of certain processes, loss of control over the work of business processes, the decline in quality and so on. But if you experience problems with security Contact passi & patel.
Although India is one of the most popular destinations in the outsourcing industry, in recent years the number of these companies increases significantly in the USA and Central and Eastern Europe. Central and Eastern Europe are obviously closer to the culture of companies with the Western Hemisphere that use this type of service; then there is adequate technical infrastructure, employees have the appropriate skills, labor costs and other costs that affect the price formation of outsourcing services is favorable, and the time zone is the same or similar as in Western Europe.
There are large numbers of unemployed people in countries that are not developed well, who would quickly be able to recruit in this industry, for example, staff who worked for large companies that have failed during the transition, people who worked in the state administration or unemployed young people who have just graduated from university. Starting in this business does not require large investments and, in the end, the greatest comparative advantage of these countries is that the average salary far is below the average compared to the salaries in the USA.
At a time when unemployment is one of the biggest problems in many under – developed countries, the establishment of outsourcing centers serves large international companies in the world. For example, only in 2009 in Poland there were about 10,000 new jobs created in the outsourcing industry! In addition, the provision of such services means the export of services and net inflow of foreign currency in those countries. Everyone wins! The location of outsourcing centers or resources is not that important because the service can be provided from a distance, and this is a chance to employ people in less developed cities and regions. This type of entrepreneurship could eventually make many countries recognizable in the business world, and more attractive to foreign investments (as it was for example with Bangalore in India).
In the past five years, the Indian stock market has risen by 200% and records growth thanks to billions of dollars of foreign investments by the daily flow into the Indian economy. Thanks to foreign investment, the most dynamic and fastest growing sectors of the economy in India is the IT sector.
In fact, some of the world’s largest IT companies, amongst which those from the United States, in recent years have invested billions of dollars in opening their companies in India. Large companies such as Apple, Dell, LogicaCMG, Microsoft, IBM, Cisco Systems and General Electric are strongly present in India. All this had a positive effect on the sphere of employment given that many Indian people are employed in these companies.