In the late 1700s, American statesman Benjamin Franklin uttered the immortal line that nothing was certain in life except death and taxes. More than 200 years later, he may well have been inclined to add a third certainty to his list – the popularity of outsourcing.
As 2023 continues to gather steam and economic storm clouds build on the horizon, businesses are investing in outsourcing more than ever. Deloitte is predicting global spending on outsourcing could hit $731 billion this year1, while 92% of G2000 companies use outsourcing for IT services alone2. Having started from humble beginnings, the outsourcing industry has become a behemoth during the past few decades and on the back of a pandemic that rewrote the rules of business, 45% of global corporations are planning to increase their use of outsourcing3.
In a year when the Wall Street Journal is telling its readers to brace for slower growth, greater uncertainty and the high likelihood of a global recession4, it makes sense that more organizations are turning to a resourcing model that reduces costs, increases efficiencies and allows greater flexibility. Business uncertainty has become the new norm, with soaring inflation, supply chain issues, rising interest rates and ongoing talent shortages forcing business owners and managers to think outside the square.
Outsourcing fits the bill, but, for many organizations, the thought of employing offshore staff can be daunting. What tasks can they perform? Where should they be based? How do you choose an outsourcing partner? What are the best practices for onboarding?
So many questions but fortunately we have the answers in this complete guide to outsourcing employees.
Employee outsourcing is a business practice in which an organization partners with a third party to recruit and manage staff that perform tasks, handle operations or provide services on its behalf. Various outsourcing models exist but one of the most popular is offshoring, which sees individual staff or entire teams create an extension of one’s business in another country.
Outsourcing is one of the most effective ways for businesses to cut costs, become more efficient and ultimately stay competitive. Key benefits include:
Any type of role can be performed by an offshore employee as long as it does not require a physical onshore presence. Better still, technological advancements mean the list of such roles has grown at a rapid rate due to the rise of solutions and tools that enable remote work. A lack of space means we cannot list every role that can be performed by outsourced employees but they include:
For all of the benefits of outsourcing, it is important to remember that not every offshore provider will be the right fit for your business. Before rushing into a partnership, take the time to investigate a few key factors to ensure a greater chance of success.
Every outsourcing provider will have its systems for onboarding outsourced employees. Rather than discuss the minutiae, let us instead focus on a few universal steps and principles that should be included in any onboarding process for offshore staff.
In an extremely competitive market, the Philippines has established itself as one of the world’s leading outsourcing destinations for numerous reasons:
Source: UNESCO Institute of Statistics
Partnering with a quality outsourcing provider has been a game-changer for countless businesses and the majority of those success stories have included an unwavering commitment to onboarding. Helping offshore staff get off on the right foot will not only allow them to realize their potential sooner but make them feel a more integral part of the business and, in turn, inspire them to deliver their best efforts.
The best outsourcing providers are not afraid to discuss difficult topics. From operations and security to holidays and fee structures, here are 30 critical questions to ask potential offshore partners before signing on the dotted line.
 ISG Research - View (isg-one.com)
 19 Fascinating Outsourcing Statistics & Facts for 2023 (findstack.com)
 World Bank Cuts 2023 Global Growth Projection as Inflation Persists - WSJ
 10 Small Business Statistics You Need to Know For 2023 (oberlo.com)
 2022 U.S. Talent Shortage Survey Results | ManpowerGroup
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