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Business Functions that are Good Candidates for Outsourcing

Businesses today are always looking for ways to keep their costs down and get more done with less. Planning is one way to do this, but it’s not the only way. You can outsource many of your functions, allowing you to focus on your core competencies and improve the company’s bottom line.

The list below offers some great ideas for outsourcing business functions. Each has its benefits and drawbacks, but all are good candidates for outsourcing.

Customer Service

With hundreds of thousands of customer service representatives available, there is often little reason to keep a large, full-time customer service staff on hand.

Customer service outsourcing allows businesses to scale back their staffing levels during lulls in consumer demand without disrupting services. There are several companies available to help.

Customer service representatives from outsourced firms can pick up the phone, answer email queries and handle other customer service needs, allowing your company to focus on its core competencies.

Business Process Outsourcing (BPO)

It refers to any business function not part of the core product or service being offered. Processes that are good candidates for outsourcing include human resources, payroll, inventory management, and marketing.

Do you find yourself overwhelmed by administrative tasks? It might be time to outsource these functions to a company with the resources required to handle them without sacrificing quality or speed.


Outsourcing the daily upkeep of your building or equipment can help you cut costs on labor while making sure that everything is fully functional.

Many commercial cleaning services franchise opportunities are available that can handle all of your maintenance needs. They are beneficial if you are in the middle of a remodeling project or tearing down old equipment to make new.

Security Services

If you find yourself hiring security staff or contracting out the management of your current team, it may be time to look into outsourcing your security needs. Commercial and residential security services can help by monitoring access, providing guards, and more.

Security service providers often work with businesses in various industries to provide tailored solutions for each client’s unique requirements.

Recruitment and Training

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Finding and training qualified employees is a significant drain on most company’s resources. It takes time and money to find the right people, plus more time and money to train them.

Most companies today are looking for ways to save money without sacrificing quality or speed of production. It may be more cost-effective to outsource recruitment and hire instead of wasting time recruiting, interviewing, and training employees yourself. Quality outsourcing can cut recruitment time by half or more and even do background checks, drug screenings, and other screening forms, so you don’t waste your money.

Financial Services

Many businesses outsource their financial services to help free up cash and focus on core competencies. It includes payroll and government compliance (taxes) to bookkeeping and financial planning.

Typically, outsourcing your financial functions means shifting responsibility to a CPA or other qualified professional who can handle all of your business’s financial needs. With the proper assistance, you will increase efficiency and improve your company’s bottom line.

Logistics Services

If you are burdened with supply chain management, it might be time to look into an outsourcing company that can take over part or all of your logistics management.

Outsourced logistics companies provide warehousing, transportation, and more. With the right outsourcer, you won’t have to worry about creating a complex shipping system for overseas customers or finding local warehouses — they will handle every aspect of your supply chain for you.

Human Resources

Like recruitment and training, outsourcing your human resources function can free up valuable time and money. Instead of hiring a full-time HR manager, you can turn over these critical functions to an outsourced HR provider who can handle everything from benefits management to sexual harassment complaints.

By outsourcing these functions to a qualified provider, you can save money and ensure that your employees are treated fairly.

Research and Development

If you have an R&D department, but it doesn’t contribute directly to your product or service, it may be time to outsource this function as well. By hiring research help on a contractual basis, you can reduce costs by paying only for the specific tasks you need to be performed.

Information technology is a lucrative industry for outsourcing companies to branch into. As the demand for new technologies increases, so does the need to have qualified R&D employees.

In today’s business environment, a single company rarely has all the resources and expertise required to accomplish every function necessary to run a successful operation. Outsourcing as much as possible can free up your time and money so that you can focus on what matters. You can improve your bottom line by outsourcing these functions and get back to what makes your company unique.

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