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August 2017 | Outsourcing Blog | BPO Industry Updates and Articles

Choosing the right service provider for your business is crucial to ensuring that your products and services are delivered efficiently and comply with industry and your quality standards. Although there's an abundance of choices around, there will always be one that will stand out in the pack.

Your guide to finding the right service provider for your business

Here are five tips for selecting the best service provider for your needs.

  1. Assess your company's needs. Conduct an assessment of the areas and processes your business needs, as it will help you look for a service provider that can handle all these. In that way, even though you are turning over functions to a third party, it is much easier to maintain the necessary control rather than having different firms handling specific functions only. This will also enable you to estimate the costs needed and allocate resources for it properly.
  2. Choose a provider with a solid reputation. Your service provider is essentially your partner, and it goes without saying that you wouldn't put your company at risk with someone who you can't trust to begin with. Learn everything about your prospect provider, including their status in the industry. Find out who they've worked for and obtain references and their reviews.
  3. Check your price points. Look for a company that offers competitive rates. One of the key benefits of outsourcing is being able to reduce your costs. But at the same time, ensure that the quality of their work is able to comply with your standards. There’s no use in sacrificing the level of quality that your customers expect from you if it’s going to cost you your customers anyway. 
  4. Learn about the efficiency of service. One of the advantages of outsourcing is ensuring continuity of business and still maintaining high standards. Having 24/7 support allows you to boost productivity and expand your reach. 
  5. Ensure that there are no miscommunications. Communication is key to an effective partnership. And that is not just between you and your service provider, but between you and your customers. Remember, they are essentially an extension of your company and your reputation is always on the line. But in the most basic sense, if your service provider cannot effectively communicate with your customers, then you are just wasting resources. Countries like the Philippines have long been preferred by foreign businesses and investors for many reasons, including their well-educated, English-fluent workforce.

Contact MicroSourcing today and explore opportunities to grow your business with a variety of services we provide.


Reasons to Outsource Administrative Support Work

by: Mary Christine Galang

Wednesday, August 30, 2017 | Comments (0)

Category: Outsourcing Research / Trends

Administrative support encompasses a wide range of tasks that provide assistance to business operations. It varies from clerical duties such as bookkeeping, planning and scheduling, and documentation to specialized jobs that involve thorough knowledge of specific fields (e.g. legal administrative assistant, medical assistant, accounting support).

Key benefits of outsourcing administrative support services

Outsourcing your administrative support services can yield compelling results. Many businesses adopt the outsourcing model for a number of reasons, including:

Flexibility

The demand for administrative work increases and decreases, anticipated or not, and outsourcing offers solutions to your staffing needs. You can choose to hire additional employees when there's a higher volume of work that needs to be done in a period of time. It allows you to adjust your manpower capacity depending on workload demands.

Cost-saving measure

Administrative support often involves an overwhelming amount of work, which will require you to hire additional personnel dedicated to it. Through outsourcing, you will be able to achieve the same volume of output and ensure the quality of results without having to allocate large expenditure on setting up extra space, buying equipment, and hiring full-time employees.

Eliminates management challenges

Much of the administrative roles tend to be performed by lower-level or entry-level employees. Outsourcing companies take care of the training needs and any other types of employee management tasks. Furthermore, you won’t have to worry about attrition or turnover and repeating the whole process from hiring to training new hires. Your outsourcing provider relieves you of these common management headaches and allows you to focus on your core business operations.


Accounting is part of your company's bottom line and is considered as a vital, non-core business function. It also involves a wide range of tasks that include payroll, accounts payable, accounts receivable, inventory, cash management, cost of goods, and bank and credit card reconciliations. These are key areas that need direct and constant oversight.

Why outsourcing accounting tasks works

Although accounting does not directly generate profits, you can grow your bottom line through outsourcing. Here are five reasons why you should outsource your accounting tasks:

  1. Better time management. These tasks consume a lot of time and are likely to take over daily operations if you are understaffed or your employees are not trained to handle this type of work, hampering productivity. Handing over these tasks to your outsourcing partner frees up significant time off your hands and focus instead on developing your business operations to bring in new customers.
  2. Cut on costs. This is mainly the reason why many businesses, big or small, opt to outsource their business processes. This saves your company on variable costs for as much as 40% each month.
  3. Professional staff. When you choose to partner with an offshore provider, you are effectively hiring professionals to do the job. It also ensures your operations are compliant with laws and regulations. They have a firm grasp of tax codes and the latest tax information and apply them in executing accounting tasks.
  4. Reduce risks. In addition to ensuring accuracy in your processes, having a trusted and reliable outsourcing partner gives you a fresh set of eyes and delegates tasks accordingly to avoid errors.
  5. Increase scalability. Outsourcing allows you to expand and grow your business. It also discerns which areas you can adjust on spending and which business areas to improve or change altogether. It allows you to flex your capacity in staffing and expenditure options, among many others.

For more information on outsourcing accounting tasks, talk to MicroSourcing today.


5 Advantages of Outsourcing for SMEs

by: Mary Christine Galang

Wednesday, August 23, 2017 | Comments (0)

Category: Outsourcing Research / Trends

The outsourcing industry has been a strong economic driver for many countries across the globe, particularly in India and the Philippines and many businesses have long since taken advantage of it. From simple back office jobs to knowledge and information sectors, there is no undermining the rise in demand and variation of services being outsourced.

Nowadays, outsourcing is not limited to larger companies. Due to technological innovations and continuous changes in policies and regulations, small- and medium-sized enterprises (SMEs) are now also facing a more challenging operating environment.

The focus for most SMEs (and startups as well) is to ensure that their business cultivates a high competitive advantage. For this reason, outsourcing has become a popular choice.

Outsourcing advantages

To break down, here are five advantages of outsourcing for SMEs:

  1. Lower costs. This is the number one reason why many companies, big or small, choose to outsource in-house functions. You can avoid large expenditures such as equipment, renting or buying office space, as well as traditional manpower costs like employee benefits. Your savings on fixed costs can be directed instead to variable costs, allowing your business to allocate your capital to revenue-producing activities.
  2. Work efficiency. Primarily, outsourcing ensures continuity of operations, which cuts on delays. But its most important time-driven advantage is that time-consuming tasks can be passed on to your outsourcing partner.
  3. More focus. In relation to the aforementioned factor, SMEs who usually multitask in order to meet with operational demands can now focus on developing their strategies and core competencies.
  4. Access to experts. Outsourcing companies are staffed with highly competent, trained personnel that often specialize in niche or various fields who can substantially improve your company’s performance.
  5. Reduce risk exposure. A crucial factor in any project of any scale is risk assessment and analysis. Seasoned outsourcing companies handle and manage this for you. Furthermore, they can also act as your advisor in terms of risk reduction and mitigation.

5 Reasons to Outsource Your IT Support

by: Mary Christine Galang

Tuesday, August 22, 2017 | Comments (0)

Category: Outsourcing Research / Trends

Outsourcing IT support has become a global phenomenon, with the rise of innovative technology that offers various opportunities for growth. With that said, the market has also become increasingly competitive, which demands companies to come up with strategic ideas and processes to be able to survive and prosper.

The Computer Economics' IT Outsourcing Statistics 2016/2017 survey reports a 10.6% increase in IT outsourcing budget, which is a complete shift from the downward trend in the last four years.

Cloud-based applications continue to dominate, with 65% of companies are outsourcing a significant portion of their in-house IT functions and using Software as a service (SaaS) applications to meet the rising demand.

A reliable and 24/7 IT support is valuable to ensure efficient and continuous management of your data, as well as protecting it.

Common IT functions

Some of the common IT functions are the following:

  • Website hosting or operations
  • Strategic planning and asset management
  • Server or application hosting
  • Cybersecurity and data protection
  • Infrastructure (hardware, software, network installation, and support)
  • Help desk
  • Email management
  • Disaster recovery
  • Database administration (data backup, recovery, and transfers)
  • Data center functions (data processing and storage)
  • Application maintenance
  • Application development

IT outsourcing benefits

To start with, all of these come with a hefty price tag. That is why it has been crucial for many businesses to have a reliable IT support. Here are more reasons why you should consider outsourcing:

  1. Cost management. Small- and medium-sized enterprises (SMEs) don't always have the financial capability to set up their own IT infrastructure and keep a 24/7 staff on employ. For larger businesses, offshoring IT processes not only reduce costs but is an opportunity to your bottom-line profits.
  2. Refocus your priorities. Turning over IT functions will not only give you peace of mind but time to devote to your core business processes. Although IT support is undoubtedly a high priority (unless the nature of your business is in the IT field, which in case it is the highest), it is highly technical in nature and some need complete oversight.
  3. Share the risk. A third-party IT support provider divides the risk, especially infrastructure. Therefore, it gives you more control and flexibility in managing your entire company.
  4. Offload your internal resources. Saving up on large IT expenditures allow you to allocate your resources to other processes that will grow your business.
  5. Access to expert personnel. With specialists and professionals at your disposal, you are guided through the changes in technology, as well as advised on any potential risks you may face at any given time.

Top 10 Reasons to Outsource

by: Mary Christine Galang

Wednesday, August 16, 2017 | Comments (0)

Category: Outsourcing Research / Trends

Businesses nowadays consider outsourcing as a strategic step to gaining competitive advantage. Business process outsourcing providers are considered as partners rather than just a contractual business that carries out major functions that aren't necessarily considered as core business.

Before, cost reduction was one of the main reasons why companies outsource - it still is, but today, there are several critical areas that businesses carefully consider when choosing an outsourcing partner that ensure their core competencies are fully utilized.

Reasons to outsource business functions

Here are the top 10 reasons to outsource some of your business processes:

  1. Reduce and control costs. Outsourcing allows you to lower expenditures on fixed costs and control variable costs that can result in significant savings.
  2. Improve and maintain business focus. Most outsourced tasks are time-consuming. By turning over these, you can fully attend to your core business processes.
  3. Tap world-class talent. Offshore companies offer a global knowledge base that delivers the same level of output, but with great quality.
  4. Share risks. Your partner company helps mitigating risk factors for your company by dividing and delegating operations.
  5. Free up internal resources. These resources can be allocated to other functions, or better yet, to your reserves.
  6. Gain access to resources. This is incredibly helpful especially when your company is experiencing internal resource crunches.
  7. Streamline time-consuming tasks. With efficient delegation, you can increase accuracy by streamlining time-drive and time-sensitive tasks.
  8. Maximize external resources. Outsourcing provides you with flexibility and control, especially when it comes to unforeseen scenarios that may affect your position in the market.
  9. Access to new market areas. You will be able to gain access new markets and establish local presence ahead of your competitors.
  10. Realize the benefits of re-engineering. Outsourcing can help your business achieve dramatic enhancements in your core and critical operations by redesigning your business process.

To help you find the right outsourcing solution for your business, get in touch with MicroSourcing today.


5 Outsourcing Tips for SMEs

by: Mary Christine Galang

Monday, August 14, 2017 | Comments (0)

Category: Outsourcing Research / Trends

Small- and medium-sized enterprises (SMEs) face the challenge of handling and managing various tasks, not to mention rising expenditure in order to keep up with the competitive market. Outsourcing has proven to be a valuable business strategy for a variety of reasons: to keep costs down, better allocate resources, and to meet the demands of running a business.

Outsourcing checklist

As a result, outsourcing companies have become strong partners for SMEs and continue to attract more SME clients. If you are decided on committing to an outsourcing partner, check on the following things first:

  1. Functions to be outsourced. Make an assessment on which business processes you need to turn over to a third-party provider. The most common functions that SMEs outsource are IT support, customer support, virtual assistant (VA), human resources and recruitment, PR and marketing (traditional and digital), and social media management.
  2. Company reputation and history. It's important to screen your potential outsourcing partners and find out if they are the right fit for you. How long have they been in the industry? If you can, look up previous work for other clients, how many and who are their clients (past and present), are they updated and compliant with all the laws and regulations, and what type of outsourcing services they offer and specialize in.
  3. Payment terms. Outsourcing companies offer flexible arrangements that you are most comfortable with.
  4. Control on operations. Contrary to assumptions, outsourcing gives you more control and minimizes risk at the same time.
  5. Contract. Have them draw up a contract for you and see if you both agree on all the terms.

Learn more about MicroSourcing’s services that best fit for SMEs today.


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