Choose Outsourcing as a COVID-19 Survival Strategy
Posted by Svetlana Milovančev on 26 August 2020
COVID-19 will have a lasting influence on businesses worldwide. Obstacles and vulnerabilities in organizations have surfaced: weak supply chains, ineffective customer communication and delivery, tight margins. Thus, the vast majority of businesses all over the world have the same question now - How to continue operations with the ongoing pandemic?
If you are among them, you are probably trying to find an efficient way to improve your business agility and operational resilience. Research shows a lot of organizations and companies are considering outsourcing in response to the economic struggle caused by COVID-19.
Invest in Digital Technologies
Digital has been identified as one of the business priorities in post-COVID-19 times. According to research from LiveArea, more than half of businesses are going to invest in digital technologies with IT infrastructure, digital commerce and automation as the highest priorities as a result of the COVID-19 pandemic.
It is clear that businesses quickly need to adapt to a digital environment, invest and build upon a strong digital footprint. Those, on the other hand, that have adopted digital technologies will find themselves well equipped to bounce back when things normalize, with strengthened bonds with their existing and new clients.
Automate ⇨ Generate Revenue
Organizations are facing the challenges of staff working from home. They are now dealing with activities and processes that should have been automated before most of their employees had to start working remotely. These are the deciding circumstances for many businesses to consider digitization and automation of their work processes.
One of the biggest problems during the pandemic is keeping distribution efforts that have been severely hampered by social distancing regulations. How to keep distribution centers functional? Despite investing significant resources to implement, maintain and train, delivery times are severely hindered.
This is why automation should be considered - there are good examples of companies introducing AI and robotics in their warehouses thus increasing packing efficiency and minimizing human involvement following social distancing regulations.
Increase Business Agility
Businesses are likely to prosper by adopting new digital approaches. Companies and organizations that create a digital ecosystem as a basis for every action are bound to thrive even during these challenging times.
Why Opt For Outsourcing Services
A lot of companies have had to stop operating due to the pandemic, some temporarily, others permanently. Remaining businesses face difficulties in continuing their existing operations and trying to cope with future demands as a lot of them have to furlough staff and reduce working hours.
One of the most efficient solutions for these businesses is outsourcing services such as IT, customer service, marketing, and analytics. Research shows that about 40% of businesses currently outsource part of their activities, mainly IT development and marketing. On the other hand, over a third of businesses that are not outsourcing at the moment, say they are considering outsourcing IT and development in response to ongoing coronavirus.
Not only will outsourcing enable the continuation of day-to-day operations, but it will also help companies:
► achieve their goals
► reduce overhead costs and
► make sure in-house employees spend their time and energy on core activities thus focusing on what they do best.
In order to stay competitive, companies of any size need to control expenditures, increase their efficiency, and boost profits. Therefore, it is a good idea to outsource activities to seasoned experts and eliminate some uncertainties and risks associated with hiring, turnover, layoffs, and re-hiring.
A reliable outsourcing model provides financial stability as there is a defined, fixed budget. Therefore, it is easy to keep track of costs letting you earmark resources to the parts of the business that are driving revenue.
What if your needs and circumstances change? Your outsourced partner can easily and quickly react and adjust to your changing needs and provide you with on-demand resources.