BPO and Staffing Solutions

Why Do Companies Outsource?

The global outsourcing market is worth $92.5 billion and will only continue to grow as more companies realize the benefits of outsourcing.

So, why do companies prefer to outsource? A study by Deloitte revealed the most common reasons for outsourcing include:

  • Cost Reduction - Outsourcing enables companies to reduce costs on recruitment, infrastructural and training development by leveraging the expertise of external teams at a low cost.
  • Flexibility to Scale - With outsourcing, companies are given the flexibility to scale up or down quickly as their current project requirements demand.
  • Speed to Market - Outsourcing companies in India are known for delivering projects with a faster turnaround time, which results in a faster time to market. Moreover, outsourcing reduces time to hire by 40-50%, which again leads to improved speed to market.
  • Access to New Technology - Companies prefer to outsource when they want to leverage emerging technologies such as cloud computing and big data. They find outsourcing cost-effective compared to training an in-house team.
  • Agility - Outsourcing helps companies become more agile by quickly responding to changing business demands

Considering the benefits outsourcing brings to the table, it comes as no surprise because big companies and startups outsource certain business tasks. Outsourcing can be an effective solution to fuel your business growth on budget.

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