Ever wonder how small businesses accomplish so much with only a few employees? Or how large businesses manage hundreds of tasks every day without each business being done by a separate employee?

There is a simple answer: they use an outsourcing services provider.

In this blog post, we will review what outsourcing is, what an outsourcing services provider does, why companies use outsourcing services, and how outsourcing services providers are changing the way business in the world — in language that you can understand.

What Is Outsourcing Services?

Outsourcing occurs when a business uses a third-party service to perform tasks or services for that business.

Instead of performing everything in-house, meaning using their own resources or staff, businesses will send work to a business/individual that specializes in that work. These third-party services become important as it is where a business can find outsourcing services and/or providers (businesses).

For example,

• A clothing brand may hire a third-party service to manage their customer support lines for them.

•  A small business may offer a service provider to create social media posts, and in exchange, the small business will pay them to do it. 

•  A larger business may outsource some of their IT support staff in order to save their staff time and be more cost-effective.

What is the definition of an Outsourcing Services Provider?

An outsourcing services provider is defined as a business that provides specific services to businesses.

Examples of services include:

• Customer service
• IT and technical support
• Digital marketing
• Accounting and bookkeeping
• Human resources
• Content writing
• Data entry
• Website development

Employers form arrangements with providers that have trainers and trained professionals to satisfy customers rather than hire full-time employees.

A way to think of this model is if the business were a football team, the outsourcing provider would be like a substitute player who fills an assignment when help is required.

What makes companies engage with Outsourcing Services Providers?

There are many good reasons why businesses — large and small — will engage with outsourcing. Here are some of the best.

1. Save Time

Working with an outsourcing provider allows businesses to skip the long hiring, training, and managing process. The provider has workers dedicated to effectively doing the work for you, right away.

2. Save Money

It is usually less expensive to engage outsourcing versus employing someone full-time. Companies save money on not having to pay for office space, equipment, and benefits.

3. Get Expert Help

A contractor (an outsourcing provider) does one thing, and they do it well. This means, the business is hiring someone who really knows their business, and knows what they are doing.

4. Focus on What Matters

When businesses outsource menial tasks that might include payroll or customer support, they can spend whatever time necessary on their most important tasks, such as creating new products or their own growth.

5. Work Around the Clock

Many outsourcing providers are located in different time zones. While one office closes down for the day, another office on the other side of the world can keep the work continuing throughout the day.

Is Outsourcing Reserved for Large Corporations?

Not at all! In fact, many small businesses and startups leverage outsourcing to expedite their growth and compete with larger companies.

Here are a few examples:

• A small e-commerce store hires a freelance designer to design its website.
• A bakery uses a virtual assistant to handle social media posts.
• A YouTuber hires a video editor to save time.

The internet has made it simple for anyone to find outsourcing service providers global in size.

How to Select the Appropriate Outsourcing Service Provider

If you are a business owner (or planning to be in the future), a few simple steps will help you find the right provider:

1. Determine Your Needs

Be clear on what needs to be outsourced. Is it customer service? Design? Tech support?

2. Determine Your Costs

Know what you can afford. Many providers will offer varying pricing options.

3. Shop Around

Research providers online and read their reviews and check their experience

4. Ask Questions

Once you have selected a potential candidate, talk to them before hiring. Ask how they will approach the service, how long they will take to deliver, and how they communicate.

5. Try Before You Buy

Consider starting with a small project first to see if it is a fit before locking into a longer commitment.

The Outlook for Outsourcing :

As technology improves and remote work becomes standard, outsourcing continues to expand at a rapid rate. More firms are discovering the advantages of collaborating with outside expertise.

Outsourcing – it’s not about saving money, it’s about maximizing efficiency. Whether they are a corporation located in New York or a start-up based in Nairobi, outsourcing service providers are enabling organizations to get more done, with less work.

Final Thoughts

In the past, outsourcing was a service option only available to larger companies. Today, even micro businesses, single entrepreneur businesses, and content creators rely on outsourcing service providers to boost their efficiency. 

The right provider allows you to offload the work that you do not have time to complete, so that you can focus on growing and pushing your business forward.

So the next time you hear someone say, “I’m too busy to grow my business,” maybe they just haven’t found the right outsourcing service provider to help them yet.