MicroSourcing Blog
PH Ranked as Top Offshoring Destination in English Proficiency
by: Sarah Joson
Wednesday, May 22, 2013 | Comments (0)
Category: Outsourcing News
Language barrier is still one of the challenges faced by CIOs who want to outsource IT processes either nearshore or offshore. However, there’s hope as the recent data collected by English language consultancy firm GlobalEnglish showed improved results.
An article posted at CIO.com explains the results of the Business English Index (BEI) research. It involved 212,883 non-native workers resulted to a global score of 4.75 this year on a scale of 1 to 10, which is 14 percent higher than 2012.
A score of 10 represents complex usage and application of the English language in business situations, while 1 indicates simpler responses and practice.
The global 2013 BEI rating of 4.75 shows that most professionals are able to understand discussions and presentations in English, but do not participate that much in more complex tasks.
According to the President of GlobalEnglish, Tom Kahl, the recent BEI results could mean that companies are employing people who have adequate English communication skills that are suitable for consultation and functional processes. It could either be an indication that candidates equipped with business English skills cost too much or are hard to source locally.
The Philippines took the top spot with a BEI score of 7.95. It is a world-renowned destination for voice-based processes, as well as business process outsourcing (BPO) capabilities. The second most proficient country in business English is South Africa with a score of 7.86.
As for the key segments, professional services and technology sectors scored 6.22 and 5.72 respectively.
The top 10 countries for English proficiency are: Philippines, South Africa, Norway, Netherlands, United Kingdom, Australia, Belgium, Finland, Sweden, and India.
Some non-English speaking countries were found to only have a handful of technology experts who are highly skilled in communicating in the English language and it was found that the educational system is not addressing the issue properly.
Kahl added that some companies have become more lenient in hiring English-proficient IT candidates just to fill positions.
Meanwhile, the "BRIC" nations showed dissimilar results. Brazil posted 3.27, Russia with 3.95, India scored the highest in the group with 6.32 and China was a little below US’s 5.23 with 5.03.
As for the nearshore destinations for US-based CIOs, Mexico scored 3.16 while Chile, Honduras and Columbia are still at the bottom five. In line with that, Kahl noted that firms in this particular region are doing the best they can to resolve issues related to the workforce’s Busiiness English skills.
GloablEnglish also discovered by analyzing 24,000 global knowledge workers from 90 countries that with the proper English skills, an average of two hours or more per week is saved which equates to a reasonable ROI of $750,000 per 1,000 employees.
Kahl reiterated that when CIOs are selecting their outsourcing provider, they should make sure that the other party is committed to English proficiency among its employees.
What Clients Want Out of their Outsourcing Operations
by: Sarah Joson
Monday, May 20, 2013 | Comments (0)
Category: Outsourcing News
Business process outsourcing (BPO) has become a conventional practice ever since the renowned economic downturn happened more than five years ago. It enables businesses to streamline processes, reduce costs of operations, and improve productivity.
However, buyers want more out of their outsourced IT operations. They know for a fact that outsourcing reduces costs, which is why now they want more value out of it. They also want to work with BPO service providers at a more personal level where they will grow together instead of being at the receiving end of the bargain.
Business2Community.com shares some of the key factors that clients want when searching for the right outsourcing partner:
More value for money
The BPOs that you would want on your side should stand out from the hundreds of providers that are aggressive with their marketing strategies. They do not brag about what they can do, instead they get credit through word of mouth. Moreover, they are praised for their ability to innovate and go beyond what is expected of them, which in the end becomes more advantageous for the business of a client.
It helps them become pioneers in the market.
The rapidly evolving industries result to tighter competition amongst businesses that are trying to remain relevant in their respective industries. If businesses want to achieve those things, their providers should be able to create strategies that will help them become the leaders in whichever segment they’re in for both their clients and competitors.
Consultation is now part of the package.
Buyers are looking for the experts in the field so they will be able to predict trends better, create a simpler process for their needs, and analyze data more accurately.
A provider that will stand by the entire process
A good outsourcing provider will walk you through the entire process and share all the information that you need. They are also willing to take the extra step in explaining the pricing and changes that may happen in the future, especially during the times when the business becomes exposed to problems.
Common Practices of IT Leaders in Organizations
by: Sarah Joson
Friday, May 17, 2013 | Comments (0)
Category: Outsourcing News
High-ranking officials in the field of information technology (IT) usually deal with highly sensitive and complicated processes. What differentiates the work of IT leaders from the daily routine of IT specialists is the discipline that they have to impose during the crucial stages of making decisions.
A post at info.ISG-One.com lists down the usual undertakings of IT leaders and how these affect the success of IT operations:
1. Successful IT leaders look at the whole picture. IT leaders should be able to manage their teams properly by focusing on three key things: individual growth, team’s progress, and the movement of pending tasks. This means happy employees lead to proper teamwork and can result to achieving the entire team’s goals. IT executives can use metrics and data to create strategies that will work well across the board.
2. It is a lonely profession, but they deal with it. Like with any high-ranking position, being an IT leader can affect one’s social life since there are a lot of things that need their attention. They often work silently behind the scenes without anyone noticing that they were able to accomplish a task.
3. They incorporate IT goals to the overall business strategy effortlessly. Successful IT leaders are often seen creating strategies that can help each business unit of the company. They make sure that each department’s IT issues are addressed immediately.
4. Invest on your staff. The people will always be the backbone of businesses. Instead of increasing the budget for new offices or other things that you want but do not need, why not start with the development of your IT staff’s skills? Teaching and training someone are less expensive than trying to correct a problem caused by lack of knowledge.
5. They impose professionalism in business dealings. IT leaders believe that during business meetings and corporate events, their IT staff should be tactful, professional, and of course well-versed especially when talking about the company they are representing. This not only applies to those in the sales setting - even the people who work in the background should follow this protocol.
Pros and Cons of Outsourcing Social Media Work
by: Sarah Joson
Thursday, May 16, 2013 | Comments (0)
Category: Outsourcing News
One of the most used marketing tools today is social media. It enables business owners to communicate with consumers at a more personal level. Some executives who are interested in creating social media campaigns usually assign the work to an existing employee who probably has no background in social media. So, on top of his/her daily tasks, he/she has to work on creating and monitoring campaigns.
Other managers hire additional employees, often increasing the overhead costs of the company, while some outsource social media marketing to service providers and outsourcing companies.
An article posted at Business2Community.com shares insights on social media outsourcing and highlights its advantages to help business owners understand how it will affect a company’s marketing campaign.
Outsourcing social media processes is a good solution for small and start-up companies that do not have enough money to create an end-to-end marketing campaign. Another scenario is when no one from the internal team can spare a few chunks of their time to handle the project - or nobody has the expertise to get the project going.
Service providers have the necessary people who can get the job done properly. They know how to create workable campaigns, apply the strategies, and collect and interpret data when necessary. A good provider will help a company grow and represent your brand seamlessly among the consumers and competitors.
However, outsourcing social media work doesn’t always result to successful branding and marketing. Since other people will be doing the work for you, chances are they only know the basic stuff about your company. They can only explain or translate your message to the point where your ideas are not properly communicated to your targeted consumers.
Whatever the executives choose for their marketing campaigns (outsource or not), they should always consider what consumers want and the current trends in the market.
Basic Facts about Online Data Security
by: Sarah Joson
Tuesday, May 14, 2013 | Comments (0)
Category: Outsourcing News
Products and services that prevent security breaches are highly accessible nowadays that it would be imprudent for businesses to ignore the common practice of protecting their online data. However, with these rapid advancements, the strategies and tools of hackers have undergone some tweaks here and there as well, making it more complex for IT leaders and business owners to track and prevent data security attacks.
Memeburn.com shares five data security mistakes that can put the private and sensitive information of businesses at risk:
1. The use of generic passwords
As many of you may have noticed, password protocols have become more sophisticated these days. Users now have to create a password that uses a combination of characters, numbers, and letters. Web and software developers are working twice as hard to create products that are functional, innovative, and secure - only to be acquired by a business owner who disregards data security and uses generic passwords such as Password1.
2. Careless outsourcing practices
Businesses that deal with third party service providers should be extra careful in disseminating information or data with their chosen partners. Not all outsourcing providers are careful with their data security policies and protocol and if they are breached, your company’s data can be exposed to attacks, too.
3. Neglecting updates
System updates are there for a reason. It is used to reinforce your protection against viruses, as well as upgrade your system to match the current changes made by software developers. You wouldn’t want to encounter errors in the future just because you didn’t update your system, would you?
4. Even your mobile device can expose you to threats
Mobile malware was seen shooting up by 400 percent which is why businesses that have enetered the global arena should also be on the lookout for data security issues. Regularly monitor and test all digital properties through mobile devices and ensure that the system is attack-proof.
5. Being too complacent can risk your data
Any business owner should be vigilant about these types of attacks. Having the latest security features is not enough because you have to be a step ahead from these hackers. There’s no room for mistakes so analyze, implement, monitor, and modify regularly.
Advantages of Outsourcing Bookkeeping Processes
by: Sarah Joson
Friday, May 10, 2013 | Comments (0)
Category: Outsourcing News
Technology opened countless doors for the world of business. It is now one of the crucial factors in various industries, trends, and even purchasing behaviours of consumers.
The internet changed the way business is done, and everything and everyone can easily access information with just a click of a button. Devices also adapted to the evolution with countless types of mobile gadgets for people and business executives who are also on the go.
Outsourcing also became easier as it enables business owners to subcontract internal processes to external providers who are experts on the matter. They are also able to save on operation and labor costs, tap skilled workforce, and streamline processes. Common processes that are usually outsourced are voice-based work, anything related to the web and data.
However, even back office processes such as bookkeeping are now being outsourced by business owners. Some consider bookkeeping as a daunting task - in fact, some only manage it during the end of the fiscal year. But more companies are seeing the benefits of bookkeeping outsourcing.
An article posted at Business2Community.com highlights the benefits that business owners can take advantage of should they outsource bookkeeping processes.
More time for the core processes of the company. It is one less thing to worry about in a business owner’s busy schedule. If they outsource, they can just check the operation from time to time and never worry again.
Reduce costs. Cost is still a key driver for business owners to outsource. By outsourcing bookkeeping, they are able to save on infrastructure and management expenses - should they choose to hire bookkeepers who’ll work full-time.
Access to experienced bookkeepers. Other cities, even countries, have skilled bookkeepers who can focus and specialize on a particular bookkeeping process that a business needs.
An outsourced bookkeeping team is able to focus more. Bookkeepers need to focus on their tasks as they are dealing with crucial matters such as budget and expenses of a firm. If bookkeepers are working in a hodgepodge environment, they wouldn’t be able to concentrate as much as they would want to because phones would be ringing, marketing people would be discussing, etc. If they are outsourced, they would be able to focus on their work since they are in their own environment.
You’ll have a team-oriented operation. Unless you hire an internal team of bookkeepers, nobody will be able to check a bookkeeper’s job and tasks in your firm except for other bookkeepers. Outsourced bookkeepers are known to help one another since they need to meet the client’s requirements and it’s their business’ name on the line.
Basic Outsourcing Tips
by: Sarah Joson
Wednesday, May 08, 2013 | Comments (0)
Category: Outsourcing News
Here's a checklist of things that business owners and decision-makers should look into when it comes to outsourcing.
2013 Outsourcing Trends for Small Businesses
by: Sarah Joson
Tuesday, May 07, 2013 | Comments (0)
Category: Outsourcing News
Outsourcing is still perceived by some as one of the key contributors to thousands of job losses in the US. They believe that since numerous businesses are farming out jobs to offshore service providers, it is creating an imbalance to the availability of jobs domestically.
Outsourcing has accumulated quite a following over the years, as it has helped even small businesses to grow and remain competitive. In fact, a study done by Elance, an online platform for freelancers and business owners, found that 78 percent of small businesses in the US that outsource experienced numerous benefits.
Business2Community.com shares the latest trends in outsourcing and small businesses:
Technology paves the way for new processes.
The way customer service (a crucial factor to the success of a business) has been done has changed as technology allowed it to be disseminated through different platforms that can be easily accessed by customers.
One of the common platforms is social media, which needs to be managed 24/7 because of its real time nature. It has also enabled business owners to approach consumers at a more personal level, especially to customers who are opinionated and vocal about the minute details of products and services.
Basic and complex tasks are now more defined.
Small business owners are looking to reduce operational costs as well as alleviate risks using remote operations and remote management. Because of the nature of the way things are done in outsourcing operations, business leaders can now clearly identify which operations should be kept in-house and which processes can be outsourced, especially for small businesses that have limited budget or are short in staff.
Mobile applications will play a major role.
Mobile apps will be used by small business owners to make processes easier and faster since this type of technology can eliminate unnecessary steps and can boost production. Also, it will be easier for managers to monitor the progress of a project because these apps can be customized according to the needs of the project.
Everything still depends on the small business owners.
No matter how much the small business and outsourcing environment changes, it is still up to the business owners if they want to adapt, be more innovative or avoid altering anything. After all, there are other external factors that go beyond these trends such as the changes in technology, global economic condition, and social environment which can affect even the best strategies created by business experts.
Ways to Minimize Risk in Outsourcing Pricing Models
by: Sarah Joson
Tuesday, April 30, 2013 | Comments (0)
Category: Outsourcing News
The pricing models of outsourcing contracts are often based on either a fixed pricing prototype or the scope and duration of a project. Some things such as risks are often overlooked, which in turn can affect the total cost of a contract.
In an article posted at info.ISG-One.com, risks in outsourcing deals are highlighted to help business owners who are looking to outsource clearly identify uncertain aspects in contracts especially with today’s rapidly moving market, and with a bit of luck, rule out risks altogether.
Always check if there’s a basic pricing model. Most providers offer their services in packages at a fixed rate. This type of outsourcing pricing is usually less risky but often results to overhead costs so before signing a deal, make sure that it will be maximized and every function will be useful and effective.
Build trust to pave the way for a clear process. Knowing the background of the provider you’ve selected will help you in creating the contract. Clients should communicate their concerns properlyand share more information about their background to help the provider perform due diligence as well.
Explain what you want in a nutshell. To save time and money, clients need to tell the provider what they want to get out of the process and let the professionals come up with the proper solution before signing the proposal or the contract. If the client doesn’t want the proposed solution, he/she can always forward his/her suggestions and provide direction to help the provider design a better solution.
Know the requirements of your business. Since technology is always evolving, business executives should analyze and anticipate trends that can change the landscape of the way business is done and how technology is used. By documenting the internal process of the company, they will be able to map out the events and needs of the company, which can affect operations and budget in the future.
Create a team of leaders. It will be assigned to spearhead the operation and manage each crucial business unit. Select a service provider with the most compelling proposal and pristine track record. Your business, on the other hand, should be an institution worth-serving.
Outsourcing Social Media Marketing 2013
by: Sarah Joson
Monday, April 29, 2013 | Comments (0)
Category: Outsourcing News
Most people often misconstrue that managing social media sites are as easy as pie, but the truth is businesses that want to invest on social media campaigns will have a lot on their plate.
First off, they need to set up accounts in various social media platforms such as Facebook, Twitter, LinkedIn, and other websites where content is shareable. To make user targeting easier, they would have to know the interests of the majority of each platform (LinkedIn = entrepreneurs, etc.). They likewise need to build their followers, which means marketing managers or outsourced marketing agencies need to create content that will attract users to follow and trust their brand’s account.
Managing social media accounts is very time-consuming and can be labor-intensive depending on the campaigns. Some businesses want to establish their presence in social media but do not have the resources to successfully do it.
OnlineSocialMedia.net lists down things that drive businesses to outsource social media marketing:
Time - It is the most crucial element for social media marketing as it covers different aspects of the production, publication, and marketing process of a campaign. Apart from replying to posts and direct messages, they also have to create compelling content. It can be through articles or videos, but what matters is you are showing it to the right set of audience at the right time.
Know-how - Anybody who knows how social media sites work can handle a company’s campaign - Wrong. The social media marketer should have background in marketing, as well as the latest trends in technology. So business executives can’t just pluck out random employees and order them to tweet about this and repost that as it needs a certain type of skill and that is experience.
Budget constraints - Hiring additional staff to your current marketing team would mean you would have to set up a workstation for him/her and pay for other overhead costs. By outsourcing social media processes, the employee can work remotely while fulfilling his/her daily tasks.You know it’s money well spent when the social media outsourcing company is able to explain to you the details of a campaign, how they started, and if they were able to reach new customers.