The Coronavirus outbreak has grown havoc across the globe. Affecting more than 6M people around the world, governments are implementing lockdowns as a preventative step. As a result, the markets of all the nations are shaking as never before. With an unexpected drop in industrial production and exports, the countries are entering a historic economic crisis. In the wake of current lockdown circumstances, many technology startups are now seeking to outsource their projects. IT Outsourcing can help technology startups in decreasing financial losses.
What is Outsourcing?
It is utilizing a third party outside the company to provide services. Moreover, it includes services that were earlier performed by the company’s employees. With the implementation of social distancing, outsourcing will help save technology startups from drowning. It offers many advantages to these startups, most of them are as below
Cuts Down Operational Costs
Although outsourcing may be used as an emergency action, it is producing great business profits for companies. There is a vast difference in the work rates in different parts of the world. In many western countries, salaries are far less, which makes it cost-effective. With truckloads of incomplete work, outsourcing is an ultimate bliss for startups in the corona breakdown situation.
Access to Skilled Professionals
Outsourcing means that several adept people with years of related expertise will be doing the tasks for the local startups. This, in turn, means people with sound experience and understanding of the project domain will do the job. As a result, a massive increase in efficiency productivity can be brought about via this act. Moreover, it also yields significant advantages to startups.
Risk Management
Outsourcing can help technology startups obtain endless advantages. It is because outsourcing controls risks in a more strategic yet reliable manner. The third-party businesses working on the outsourced project give particular attention to the project. Their expertise and competency allow them to meticulously handle risks which could be ignored by the in house employees.
Healthy Competition
Competition always encourages humanity to achieve perfection. Firstly, the Outsourcing project creates knowledge of opponents in the in-house employees. Furthermore, it makes them work even hard to match the set standards. Technology startups can capture the maximum advantage of this aspect. Hence, this allows them to achieve enhanced efficiency and productivity.
Working for 24 Hours in A Day
With outside third parties having various time zones, some Technology startups are getting added benefits now. Stakeholders get their tasks throughout the day. With more working hours comes higher efficiency, which means increased possibilities of profits.
Outsourcing Offers Staffing Flexibility
With the corona outbreak, even the very successful multinational companies are striving. Due to lockdown and no industrial output, company owners are discovering it hard to pay their employees. As a result, Technology startups are now shifting to outsourcing to keep in mind the change in demand for tasks. This allows them to instantly scale up or down their work efficiently without having to worry about the employees.
Customer Satisfaction Via Outsourcing
A technology startup’s in-house workforce needs client satisfaction for granted. Also, Outsourcing third parties meet their clients’ satisfaction. Technology startups can take benefit of outsourcing by getting their hands on quality deliverables within the time. Most companies are losing their clients through this corona outbreak. Therefore, outsourcing can help startups win clients via timely services, supreme quality.
Competitive Edge in Global Marketing
Since outsourcing includes different expertise coming from different countries over the globe, technology startup yields profit from this. They tend to gain exposure to the global market, taking a chance to meet market criteria of the world. This is because of the insufficient exchange of knowledge.
This could be a ray of expectation for technology startups to survive the financial crisis. Many startups are asking their workers to work from home. Also, many others have outsourced their projects and producing excellent profits.
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Last Modified: July 2, 2024 at 4:38 am
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