Outsourcing refers to the practice of delegating specific business tasks or functions to external consultants instead of handling them in-house. Many companies around the world are adopting a practice of outsourcing different departments of the company. Outsourcing not only allows the company to avail expertise and high-end services but certain tasks like outsourcing back-office work could allow the management to focus on critical business tasks, giving it edge over its competitors.
The benefits of outsourcing to a company can include:
- Cost savings – lower employee cost including salaries and other benefits.
- Access to specialized expertise.
- Increased productivity and efficiency as the company can focus more on its core competences.
- Better risk management and compliance.
- Exposure to best industry practices.
- A learning experience for in-house employees.
- Knowledge module for company
