Outsourcing services to a third-party specialist can offer major benefits to UK companies, it has been suggested.
John Ellis, managing director at Nexus Vehicle Rental, commented that outsourcing is “a cost-effective and time-efficient strategic business function”.
“It can allow a business to gain a competitive advantage through the allocation of specific functions to a specialist external service provider,” he stated.
Mr Ellis said outsourcing can help companies achieve their business objectives through operational excellence.
“Small companies routinely outsource important accounting and HR functions, while large companies turn to outsourcing to cut costs,” the expert noted.
“By doing so, they are able to focus on core activities, introduce cost and efficiency savings, reduce overheads, maintain operational control, increased staffing flexibility and improve propositions and performance.”
He said that whether firms are outsourcing to lower costs, increase production, or improve customer service – the process of selecting service providers begins with a clear set of goals and the means to actively manage service delivery.
“Outsourcing through the right partner will open up opportunities for organisations to utilise skill sets and expertise they normally wouldn’t be able to access without large financial and HR investments,” Mr Ellis added.
Just as companies can outsource their finance, human resources, and IT functions, they can also use specialist providers to manage administration and customer service.
By using virtual offices, small companies can take advantage of professional phone answering and messaging services, providing a suitable point of contact for customers.
Small companies may not be able to afford their own customer services department, or even another member of staff to handle enquiries through the day, but with a virtual office there is no need.
Businesses can simply pay a specialist third-party provider to act as their receptionist, handling enquiries and forwarding on calls, messages and details about potential new contracts at the owner’s convenience.