Outsourcing is a trend of modern business

4 min read
Outsourcing is a trend of modern business
Picture: Putilich | Dreamstime
Share

Personnel outsourcing is a fashionable trend of modern business. Personnel outsourcing service is becoming more and more popular in the modern world and business.

If a few years ago the word “outsourcing” caused fear and distrust and often scared people away, today it is discussed in the media, advertised on the Internet, written about it on social networks, organized seminars and conferences, where they talk in detail about the rapid development of outsourcing in Russia . Companies offering this service claim incredible benefits for the client.

Today we decided to find out if this is true together with Ruslan Khalimmetov, head of the development department of the Job Person outsourcing company.

What is outsourcing?

Outsourcing is the transfer by the customer company of non-core business processes for servicing by another company specializing in this area.

In our case, this is the provision of personnel to the customer’s facilities and control of their work. Processes are usually transferred for a long time.

Management: functions and types of professional art
Management: functions and types of professional art
13 min read
Editorial team
Editorial team of Pakhotin.org

Despite the fact that outsourcing schemes are actively used in foreign countries (USA, Germany, Japan, etc.), in Russia it has become a fashionable trend relatively recently, but has already managed to conquer the market and declare itself as an advanced technology in the field of business management. organization processes.

According to Ruslan Khalimmetov, the peak of outsourcing development in Russia will come in the nearest future: “In 2-3 years outsourcing practice in Russia will be developed as well as in the West”.

Using outsourcing services can be difficult, such as reduced control over the quality of work or difficulty in choosing a reliable supplier. However, if the outsourcing services were rendered poorly, it is much easier to terminate the contract with the company than to fire a full-time employee or the entire department.

Pros of outsourcing

What are the main benefits of outsourcing?

Outsourcing
Picture: Vaeenma | Dreamstime

Positive aspects include the ability for managers to focus on key business processes. By outsourcing certain functions, the owner of the company uses best practices in providing non-core processes. Moreover, now there is a general trend towards the use of non-coring – transferring not a separate process for outsourcing, but a whole area of ​​non-core activities for effective management.

Emotional intelligence – the skill of recognizing emotions
Emotional intelligence – the skill of recognizing emotions
8 min read
5.0
(1)
Editorial team
Editorial team of Pakhotin.org

The use of outsourcing or non-coring will allow companies to get real results from the work of departments without distracting management to operational tasks, reallocate company resources and reduce operating costs.

Outsourcing market in the world

How can one explain the fact that even now, when the development of outsourcing around the world is approaching peak values ​​and many companies have long and successfully used personnel outsourcing in their business processes, some do not even want to hear about it? After all, the benefits of using it on the face:

  • Reducing the cost of work, which is achieved through cost reduction and cost control. The cost of outsourcing services is always lower than the total costs of a company running a business process on its own (salary to staff, organization of jobs, purchase of equipment, etc.)
  • Improve the quality of the resulting products due to the narrow specialization of the outsourcer and the possession of the necessary knowledge and technologies in their field.
  • Minimization of risks associated with the implementation of business processes: the outsourcer will not get sick, will not go over to the side of competitors and guarantees the fulfillment of assigned duties.
  • Increasing investment attractiveness.

Cons of outsourcing

As for the possible disadvantages that play a decisive role in the decision to use outsourcing services, here we can highlight the following:

  1. The competence and suitability of the employees of the outsourcing company may not correspond to the declared one, as a result of which the service may not be provided at the proper level.
  2. The absence of a well-established system of control and management over the actions of the outsourcer on the part of the customer of services.
  3. Risks of information leakage.
Outplacement – soft dismissal system
Outplacement – soft dismissal system
5 min read
Ratmir Belov
Journalist-writer

Thus, the advantages of using outsourcing are quite strong, but possible problems also take place and can influence the decision-making process on the use of outsourcing in the company’s business processes.

How it works

How do leading companies minimize risks when transferring business processes to outsourcing companies?

Outsourcing
Picture: Andrii Yalanskyi | Dreamstime

To develop a system for getting the most out of outsourcing, several principles must be observed.

  1. Analyze the quality of the outsourcer’s work, take part in the selection of candidates and the formation of a team.
  2. Specify in the contract a description of the service provided, the rights and obligations of the parties, and agree on the level of quality of this service.
  3. Develop a system of control and reporting during the performance of work by an outsourcing company.
  4. Indicate in the contract on sanctions for disclosure of confidential information: it is much easier to hold an outsourcing company liable than full-time staff, and the risk is the same in both cases. Plus, the performer values ​​his reputation, so he will keep your secret a secret.
KPI – key performance indicators
KPI – key performance indicators
6 min read
Editorial team
Editorial team of Pakhotin.org

In the case of competent observance of the terms of the contract and control over its observance, high results in work can be achieved.

Personnel outsourcing today is not just a service or type of interaction, it is a modern strategy that gives a powerful impetus to development, enhances the competitive advantages and investment attractiveness of the company.

Article rating
0.0
0 Ratings
Rate this article
Editorial team
Please write your opinion on this topic:
avatar
  Comment notifications  
Notify of
Content Rate it Comments
Share

You may also like

What reduces employee performance?
5 min read
Olga Nilova
Olga Nilova
Lead Recruitment Consultant
Agile – flexible software development methodology
5 min read
Editorial team
Editorial team of Pakhotin.org
Innovation management: functions and main types
5 min read
Editorial team
Editorial team of Pakhotin.org

Editor's Choice