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Companies are always looking for different ways to cut costs and “outsourcing” is the best solution that eliminates the need for costly full-time vacancies. It provides you with an ultimate opportunity to find help you may need for your business without any concern over salaries, benefits and office space for new hires. Not all the tasks can be performed in-house and many business entities now realised that! Perhaps that’s the very reason “outsourcing” gained popularity for it gives an organisation a competitive edge and flexibility of working outside labour resources.

Flexibility in staffing

As per CRM (Customer Relationship Management); organisations need to be supple with staffing whenever there’s a demand to increase or reduce internal staff. Subcontracting specific positions mainly those dealing with customer services give business the ability to contract for particular services as required. It means as demand for employees rises and falls with time, you can pay a company more for farming out employees. This type of staffing suppleness is valuable for businesses that need paying attention to productivity or outcome.

Cost effectiveness

Another benefit that might weigh more than anything is the ability to save costs for a company. Yet again according to CRM, around 80 percent organisations outsource mainly to save capital expenditure. Apart from the concerns of full-time salaries and corresponding benefits that come at a significant cost, companies can easily divert these resources elsewhere. Moreover, company receives the advantage of having assistance from an outsourced organisation that caters best talents.
Customer service excellence

Many outsourcing companies take pride in training their employees specifically for unique customer service experience. During the session, these workers are taught how social interaction and communication may bring potential success. These subcontracted employees are far more capable to enhance customer experience, produces best outcome and no limitation over typical 9 a.m. to 5 p.m. work hours. Workers have more flexible schedule in different time zones across the globe.

Supple market response

In order to avoid inactiveness and stay competitive, companies need to adopt changes more swiftly and effectively as they happen. They usually want to invest time and cost while training new employees. A well experienced outsourced company execute various duties of particular company and respond quickly to ever changing market trends. It’s crucial training workforce as per development to meet business needs.

Function & types

Whenever a company thinks about outsourcing; it’s to meet and synch manpower, money and time equally with other departments. After selecting a particular outsourcing agency, outsourcing contract is devised which both parties should carefully read, understand and sign. This outsourcing agency is then responsible to provide effective and talented workforce to get the work done in due time or till the contract is active.

Let’s take an example of outsourcing in Dubai; not all jobs can be subcontracted. However the most well-known services are telemarketing, information technology, human resource, ghost-writing, web design, engineering, computer graphics, market research and many more!

Benefits & considerations

Companies find outsourcing quite a lucrative solution as it allow them to focus on more important business aspects. It’s easier rather than hiring full-time employees for the job and especially true with web and computer work. While many companies love to subcontract, such services are often for countries located off-shore. Some think that outsourcing takes away their job and contributes to unemployment rate but many vote in favour.

Future potential

Globalisation is the biggest factor to impact outsourcing. As the world has become more of a global village, the way international companies do business vary significantly. More and more entrepreneurs and seasoned businessmen initiate a joint venture or new company at places away from their home country because of growth potential and economic stability.


In the above post, we’ve defined “outsourcing”, its benefits and salient features from business perspectives.

About the author

Sheharyar Ahmed is a Digital Marketer, Working with Recruitment Agency in Dubai. He writes about HR recruitment tips, leadership, HR Management and in particular UAE. He likes guitar and linux mint. Also a business coach and author of local News Paper.