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How Corporate Culture Affects Outsourcing Relationships

by: Sarah Joson

Thursday, November 13, 2014 |

The report "The Culture Value Chain: Business Impacts Defined" by Frost & Sullivan highlighted the advantages of having a strong corporate culture.

The report discovered that a large number of organizations team up with a third party service provider for customer support, and that clients who prioritize cultural compatibility are more likely to succeed in the long run compared to those who focus on cost savings.

If possible, businesses should find outsourcing partners that have similar experience, environment, and practice as they do. The key areas they should look into are employee engagement and top-line growth, especially if their internal voice operations are culture-focused. By doing so, they can prevent "cultural misalignment", which is a threat to successful outsourcing relationships.

Tephen Loynd, Contact Global Program Director at Frost & Sullivan, pointed out that both parties should be at the same page when it comes to culture. This creates a neutral environment that will reinforce the partnership in the long run. He added that even premium brands strive to achieve a great company culture, because they know that it plays a crucial role in creating a positive customer experience.

Loynd added that top-line growth for clients of outsourcing companies is usually built on low attrition rates, long tenure, and proper motivation for employees.


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