• Taufiq Haque

20 Benefits to Outsourcing your Work

Updated: Jul 23


Outsourcing work from a third-party company has become a widespread phenomenon. Many refer to it as BPO or business process outsourcing. Over the past few decades, this practice has made a place for itself in the corporate world.

The global pandemic of covid-19 has solidified its position. However, there is much bad publicity about outsourcing work.

People will always have something to say against outsourcing work, whether in politics or public opinion. But don't let that get to you. Instead, look at the big picture.

Outsourcing part of your operations to third-party companies or offshore BPO firms can help your organization grow. This article will discuss the benefits of outsourcing.

Business Process Outsourcing

Let us introduce you to BPO before getting to its benefits. BPO stands for business process outsourcing. The BPO companies provide different kinds of services that organizations use.

Organizations hire them to take over specific tasks of specific departments. Sometimes organizations hire them to undertake multiple departmental works at once.

All businesses have part of operations that they can outsource to Business Process Outsourcing companies; thus companies from all industries look for hiring BPO firms for their outsourcing needs.

BPO companies provide various types of outsourcing services, including but not limited to accounting, bookkeeping, call center management, marketing, business strategy planning, and technical work. Companies can also hire employees to undertake creative works like marketing campaigns and banner creation.

The staff and employees in the BPO companies are highly trained and capable. Thus, they do not require extra training for handling your work, which is why organizations outsource work from BPO service companies.

20 Benefits to Outsourcing your Work

Now that you know what BPO companies are and what kind of work they do, you should learn about the benefits of outsourcing your work. We will discuss 20 significant benefits of hiring BPO companies in this section. So let us begin.

1) Getting the required experts you need for your work

The first benefit of outsourcing your work is getting the required expertise for the job. An organization may not have expertise in every facet of its operations, nor do they want to invest in building up in-house expertise for everything, especially those that are not a core part of their operations. They may have the best marketing team but may not have the best expertise in finance and accounting.

Hunting for in-house employees who have the best expertise in their specific departments cannot be done instantly. Sometimes it may lead to an unprecedented increase in costs and unwanted investment of time, which can create significant problems for your organization.

But when you hire a BPO company for outsourcing work, you will immediately get the required experts for the job. BPO companies provide diversified services for all kinds of organizational functions.

They also need to compete against each other to get the client's attention. Thus they are equipped with the best experts and professionals on board. By hiring them, you are immediately getting your hands on their expertise. They can save your organization the time and costs you would otherwise have incurred in finding and building your own in-house team.

2) Can be focused on specific parts of your organization

Another benefit of outsourcing your work is that it is functional and gives you time to focus on specific parts of your business. Let's be honest. All organizations have some kind of deficiencies in some of their departments.

Some have problems in their marketing department, while others may have trouble with their financial management. These failings in specific departments of the organization can cause loss for the organization.

However, management can quickly solve these failings in specific departments by hiring a BPO company. The BPO companies specialize in providing clients with professional expertise in specific sectors. Thus they can be employed to take over any specific task of an organization.

The BPO companies work on both frontend and backend work divisions of organizations. Their employees are trained and experienced in handling such tasks for all kinds of businesses.

So you can rest easy that they can handle all types of work of your organization and maintain effectiveness.

3) Save the cost of time and money

One of the best benefits of outsourcing to a third-party BPO company is that it can save you time and money. How so? Let us explain.

When hiring a BPO service company, you are handing over some tasks of your organization to that company. That BPO company will be responsible for assigning all the department work. Thus you have a weight lifted off your shoulder and more time at hand.

This process is how outsourcing your work can save you time. But what to do with that time? You and your staff can divert those free time in hand to concentrate on the core functions of your organization/ business. This solution can ultimately lead to the expansion of your business/ organization.

Now let us explain how outsourcing your work can save you money. The BPO companies gear up with the latest tools and technologies. They also have the best experts on board and have trained and professional employees to help you with the work.

If you want to imitate the same thing for your in-house departments, you will have to spend a lot of money. You will need to spend money on technology, equipment, and renovation. You will also need to spend a lot of money on recruitment and training.

This can all add up to a bulk amount of money. But when you are hiring a BPO company, you don't need to pay for that. All you need to do is pay for their service. Thus you can save a lot of money by outsourcing your work to them.

4) Scalability of Outsourcing

Another advantage of outsourcing your work is scalability. You don't need to worry about any limitations of work to be outsourced.

In the case of an in-house team, work is limited. The team has a limited number of employees and resources. Thus you cannot force them to work more if you don't expand the department.

However, in the case of outsourcing, you don't need to worry about these things. You can hire them and give them as much work as you need. And even if an outsourcing company refuses to take more work, you can hire a second outsourcing company to help you out with your work.

Scalability also involves money. Many organizations fail to scale and expand their service because of financial constraints. They will need to invest in equipment and human resources to develop.

But when you outsource your work, you don't need to worry about the costs of scaling. You just need to increase your expense of the service cost of the outsourcing company for scaling your business.

5) No need for inhouse training and orientation

You may have guessed this benefit in our previous discussions. Hiring an outsourcing company saves you the cost of in-house training and orientation. When a company finishes recruiting new employees, it needs to train them and give them an orientation on the company and its operation.

Designing a whole training regime and conducting it can take time and money. It is a long process that can take months. In some organizations, orientation can be expensive for their large-scale operation. This procedure may not cause any loss for the organization, but it can add to its expense.

On the other hand, when you hire a BPO service company, you don't need to worry about such things. The employees in the BPO company are highly trained and experienced in handling similar kinds of work. Thus, they need no training to work for your organization.

Since they are not an in-house team, they don't need much orientation for the organization either. All you need to do is explain the work they need to do and introduce them to whoever they need to report for their progress. Thus it is one of the best benefits of outsourcing your work.

6) Better insight

One of the benefits of outsourcing your work is better insight. By that, we are referring to the fact that you can gain better information and approaches about how you should handle your work.

BPO (Business Process Outsourcing) companies are usually experts at the services they provide. So when you hire a BPO company to outsource your work, their expertise will handle your job, and they will be able to give better insights about your project.

They can show you a better, efficient, and cost-effective way of handling your work and give you a new perspective of how you should be running parts of your operations.

The reports and analyses from BPO companies can sometimes provide precious lessons for your organization's managers and higher-ups.

You can analyze those reports and learn from them while working with them. Later, you can use those learnings in future business prospects to help your organization. It is a better alternative than trying to recruit in-house experts. Some BPO companies even counsel their clients on how to improve and expand their business.

7) Let's divert your focus to the work that needs your attention.

As you guessed, hiring a BPO service provider can help free up time. As hiring them means handing over a portion of your work to them. Which they can handle and ensure the quality with their best effort.

This liberates you from all kinds of tension you had for that work. Since you also have time off, you can focus on your business's core functions. Concentrating on what is vital for your business can expand your organization's operation and increase its profit.

If you do not hire a BPO service provider, you may have to rely on your in-house team to handle those tasks. As the in-house team is a part of your organization, you will have to take full responsibility for their work and performance. This responsibility will leave you with little to no time to focus on the work that needs more attention in the organization.

So hiring a BPO service company to outsource your work lets you divert your free time to the core functions of your operation.

8) It gives your business a competitive edge.

Gaining a competitive edge in business is another benefit of outsourcing your work from a BPO company. A BPO company has the latest technology and tools to complete the work more efficiently.

Thus they can spend very few resources to help your organization achieve better results in the market. And it will also provide your business with a technological advantage over your competitors.

Moreover, the BPO companies have the best experts and professionals for different organizational departments and provide diversified services. Thus they can help you by providing better insight into how you should run your business.

You can develop cost-effective methods for running your organization with their deep insight into business and organization operations. This will give your organization a cost-effective edge over your competitors.

Another competitive edge is that there is more time to focus on expansion. As the BPO company handles some parts of your business, you can use the time you spend on these departments. Spend that free time on the core function of your business and develop new ideas for expansion.

These are some of the competitive advantages that all organizations can gain by hiring a BPO service provider to outsource their work.

9) Better management of risks

Another benefit of outsourcing your work from a third-party BPO company is risk management. When hiring a BPO company to handle a specific task, you are handing over all the essential responsibilities that come with that task. These responsibilities also include the risk of performing that task.

The BPO company will ensure that the risk stays minimum by monitoring and maintaining different aspects of the task. For example, quality management, cost minimization, etc.

If the task fails, it will be a liability to the BPO company, which can result in them losing more clients. Nobody wants that. Thus they will ensure proper execution of the task in all tasks to minimize the risk that comes with that task.

In addition, the BPO companies are equipped with the latest tools and technology and have the best experts on board. Thus they can effectively handle and minimize the risk of your task.

10) Fills your lack of competency

All organizations have some kind of lackings in their competency in handling different organizational activities. Some fail to develop sound marketing strategies, while others fail to respond to and resolve customer queries.

The lack of competency is nothing to be ashamed of for an organization. But it should be dealt with as soon as possible because a lack of competency can eventually ruin the organization's integrity and bring loss to its business.

Outsourcing the work of the department your organization lacks competency in can be the most effective and beneficial way to do so. Because a well-reputed BPO firm has great expertise in what they do, they bring efficiency and quality to the projects that you outsource them to.

For example, if your in-house call center team lacks the competency to maintain customer complaints, you can hire a BPO company to take over their responsibility.

With the trained and experienced call center employees of the BPO company, they can manage your customer queries and help your organization.

11) Unlocks partnership opportunities with others

Outsourcing your work to other outsourcing companies can open new partnership opportunities. You will meet up with some great BPO companies that can leave an impression on your organization. In the future, you can catch up with them and persuade them to a long-term partnership.

For example, if a BPO company has done marketing work for you, and if it turns out successful, then there is a chance for you to persuade them for your next marketing campaign project. This decision may eventually lead you to form a long-term commitment with each other, and they will undertake all your marketing campaign projects. The same can be done for call center projects or research projects.

If your organization only relied on your in-house team, this beneficial partnership opportunity would have never come to your business. Thus new partnership opportunities are considered a benefit of hiring BPO companies for outsourcing works.

12) Provide access to better infrastructure and technology for a low cost

One of the best benefits of outsourcing your work from BPO service companies is accessing better infrastructure and technology to get the job done. And you are getting access to those valuable resources at a significantly lower cost.

The BPO companies need to stay updated with modern technology to compete against each other. Thus they continuously upgrade their tools, resources, and technologies to the latest models to get the job done efficiently.

So when you hire a BPO service provider, you are getting your hands on the best technologies. In these settings, you do not have to invest by spending on the latest tools and types of machinery. You are simply paying the BPO service provider the charge they are asking for their services. It is a significantly lower cost than investing in getting new tools and technologies.

13) Works are completed faster

Outsourcing your work from an external BPO firm can get the job done in a faster way.

The BPO company to which you will outsource your work has the best and latest tools and technologies in the market. In addition, they have experts who have years of experience in getting the job done efficiently. With their help, you will do work more efficiently and cost-effectively.

Since the BPO firms will be handling portions of your work, you can also entirely focus on your share of the work, and both of you can finish the job faster, making all administrative work finish faster. All of this results from hiring a BPO firm to outsource your work.

14) Can help you deal with employee turnover

Employee turnover is the rate of employees leaving the organization in a recorded time. A higher rate of employee turnover can bring trouble for an organization. The staff shortage because of higher employee turnover can render the organization incompetent in doing its work.

A higher level of recruitment can counter a higher rate of employee turnover. But recruiting good employees can take time, and time is money in the corporate world. So in this kind of situation, an Outsourcing company can help you effectively deal with employee turnovers.

The BPO firms are equipped with the latest technology and capable staff to handle all kinds of work. They can work on an organization's frontend and backend work divisions. You can deploy BPO company staff in almost every department of an organization. Thus, partnering with a BPO company can prepare your organization for any employee turnover crisis.

15) Simplification of work relation

A lot of people often misinterpret good work relations. People think an excellent personal relationship between the boss and their staff is a good work relationship, but no. A good work relationship refers to when work is done up to par by the employee, and the boss gives them the proper value/ compensation.

Personal relationships in the in-house team of an organization are no surprise. But it can significantly disrupt an organization's workflow and reduce your work's quality. This disruption is not a welcome outcome for an organization. An organization should simplify the work relation between the boss, staff, and clients.

Hiring an outsourcing company can make that possible. The outsourcing company is not an in-house department of an organization. They work remotely and handle all the work of the assigned task with full responsibility.

Any sloppiness in the work of an outsourcing company can hamper the company's reputation and make them lose clients; thus, they are always on high alert.

There is little room for personal relationships between an organization and an outsourcing company. Thus there is professionalism between the two organizations, and work relations are simplified. As a result, all the employees work outstandingly. That is the benefit of hiring outsourcing companies for your organizational work.

16) Better management of your projects

If you add up some of the previous benefits of outsourcing your work by hiring a BPO firm, then you can easily conclude that they can help you manage your projects in a better way.

The BPO companies have the latest technology on their hands. Thus, you can finish your project in a cost-effectively and efficient manner. The experts in the outsourcing companies can design a better approach for maintaining your job and let you overcome all your organizational shortcomings.

The BPO companies have to bear the liability of the task; thus, they ensure that every step of the project executes correctly to ensure its success. Moreover, work relations are simplified when the company outsources work to a different company. Outsourcing work ensures that all the tasks get completed as expected by the organization.

With all that combined, you can rest assured that outsourcing companies will manage your project in a better way.

17) Applicable to all levels of an organization

One of the significant benefits of outsourcing your work from an outsourcing company is that they apply to all levels of an organization.

Usually, organizations outsource their work to a BPO company. BPO companies specialize in handling all kinds of organizational work of all work divisions. They can take essential office work of the frontend work division. Similarly, they can handle all technical work in the backend work division.

Because of such capabilities of BPO companies, an organization can deploy them to take over any needed organizational functions. This freedom gives the organizations an advantage of handling all kinds of internal and external organizational lackings or mismanagement. It is also an advantage the company cannot achieve easily with other means.

18) Better quality assurance

The outsourcing company simplifies work relations with an organization. The outsourcing company is also liable for any risk, mismanagement, or lack of quality. Thus they need to ensure that the work is finished as expected, if not exceed the organization's expectations.

Most importantly, the quality of the work must be good. If quality is not as good as expected, then it will affect the reputation and presence of that outsourcing company. Thus, they will always ensure that the assigned task's quality is up to the standards.

19) Better innovation

Better innovation is one of many benefits of outsourcing organizational work to an outsourcing company. How so? The outsourcing companies will give you a different perspective of your work. They are more likely to have experts on the matter to work on your project.

Thus they can point out all kinds of lackings and potential innovation that comes with your work. You can put those findings to work and develop better innovation and business plans to help your organization grow.

These innovations can pave the way for potential partnerships between your organization and the outsourcing company that helped. That can result in even better innovation.

20) Peace of mind for everyone in your organization

The last benefit of outsourcing your work from an outsourcing company is peace of mind. The higher-ups and the managers in the organizations are always tense about all departmental work.

But this disrupts the mental peace they need to think about the critical business functions. But if they outsource some of the work of the organization, they won't have to think much of those works. The reduced pressure will give them some mental peace.

The outsourcing companies will ensure the best quality of the work; thus, you can rest assured that they will yield better results for your organization.


So these were the benefits of outsourcing your organizational work from an outsourcing company. The companies that provide such outsourcing services to organizations identify as BPO companies. They are unique companies that can adapt to any organizational role to help the organization succeed.

Regardless of their benefits, there are some disadvantages if you rely too much on them. The key to success is to balance their use in your organization's business practice.


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