Outsourcing is now commonplace within a multitude of industries. But the first traceable incident of outsourcing can be pinpointed to the IT industry, in 1989, when Eastman Kodak struck a deal with IBM. IBM was given the task of designing, building, and managing a data centre on behalf of Kodak.

Until this point, keeping services in-house was simply the done thing. However, this new way of doing things sparked change and, since then, outsourcing has only continued to grow as a concept. In fact, as a result of this incidence of outsourcing, IBM became the most prevalent IT provider up until the early 00’s.

These days, however, outsourcing can refer to anything from cleaning and catering to a company’s customer service provision.

Outsourcing is the future and it’s here to stay

In fact, according to statistics for the UK market:

Why is outsourcing so popular?

In short, 71% of UK businesses say cost reductions are the main reason for outsourcing. And considering many businesses have had to find ways to cut back in the light of the pandemic, it’s unsurprising that many have turned to outsourcing.

This is because, as we all know, time is money. And considering the average employee is only productive for an average of 2 hrs, 53 mins a day, hiring full time employees is hardly a cost-effective measure. Not to mention all the additional costs that come with employment, such as NI and pension contributions. When outsourcing, however, you only pay for what you use.

And benefits such as this are becoming increasingly widely understood. In fact, since the impact of the pandemic, 28% of UK companies are planning to outsource at least one aspect of their business.

But what exactly is outsourcing?

Outsourcing is a business practice in which a company hires a third-party to perform tasks, handle operations or provide services for the company. This third-party provider arranges for its own workers or computer systems to perform these tasks or services instead, meaning that the business gets all the benefits of the employees, without any of the responsibility.

Why should I consider outsourcing for my business?

There are many benefits of outsourcing for a business. But getting down to the specifics, when it comes to Customer Service Outsourcing, handing over this service to a third-party can result in a better, more personalised service for your customers.

This is because, when you outsource, you are handing over responsibility to a team of experts in that area. Not only does this mean your customers get better, more professional service, but it also means your business saves resources that would otherwise have been spent on training. Essentially, because a third-party company is only focused on one task, they are able to perform that task better, faster and cheaper than the hiring company ever could.

Not to mention the fact that determining the number of staff needed at any one time is a mathematical conundrum. Either businesses overstaff, costing valuable revenue spent on salaries, or they understaff, to the detriment of their customer service. As a result, the question is not why would a business outsource, but rather, why would a business keep things in-house?

How have other businesses used outsourcing?

These days, outsourcing is primarily used when a business has an influx of demand that it simply does not have the resources to handle. As a result, outsourcing tends to be a strategic decision in order to fuel growth. In fact, large enterprises such as WhatsApp, Google, Skype, and Slack use outsourcing, and we all know they’re not doing too badly.

Google, for instance, outsources everything from virtual assistant work and IT work to development and more. WhatsApp, which only has 35 in-house employees, outsources all its development to developers in Russia, for a fraction of what it would have cost to keep development in-house. And on a similar note, Skype outsourced the back-end development of its app to 3 Estonian developers that it later brought on as partners.

Cymphony’s outsourcing services

Cymphony specialises in outsourced customer services, and provides services such as 24/7 call answering, managed live chat, appointment booking, and virtual personal assistants and more. As a result, we have the ideal people, tools, and resources to bring the best contact centre services to your clients and business.

By outsourcing with Cymphony, you can gain access to an expert team 24/7. With a highly knowledgeable team working on your behalf, you can benefit from highly trained, skilled representatives who know all the ins and outs of your business to provide the personalised service your customers deserve.

Best of all, with efficient, professional staff working on your behalf, you can rest easy knowing your customers are in safe hands. All this, while improving efficiencies and cutting costs, allowing your business to focus on what really matters.

To find out how Cymphony’s range of outsourced customer services can help fuel your business’ growth, get in touch at enquiries@cymphony.co.uk

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