Five Competitive Advantages to Strategic Outsourcing

For niche expertise and in-demand skills, like web development or digital marketing, strategic outsource partners can enable organizations to improve operations, reduce overhead expenses, and otherwise invest their time and energy into core competencies.
by 
Brian Beaupied

In order to stay competitive in today’s disrupted business climate, companies - regardless of size or industry - must constantly be on the lookout for ways to control costs, increase efficiency, and deliver value to customers. The pressure has been turned up as we look at the impact that COVID-19 has had around the world.

For many organizations, this impact has meant budget and staff reductions, postponement of planned strategic initiatives, and adjustments to support remote work. Despite shrinking budgets, demand for new digital services and experiences are growing, tasking marketing and IT leaders to find creative solutions to get more done with fewer resources. Digital channels provide a great opportunity to engage and serve customers who may be sequestered at home.

Enter strategic outsource partners.

For niche expertise and in-demand skills, like web development or digital marketing, strategic outsource partners can enable organizations to improve operations, reduce overhead expenses, and otherwise invest their time and energy into core competencies. With the right partner, businesses can find strategic advantages even during the most uncertain of times.

Here are five ways how:

Gain niche expertise and strategic leadership

Have a specific problem or skill gap within the team, like programming or digital leadership? Digital agencies and outsource partners bring sought-after skills, current best practices, and relevant experience to your industry, organization, and challenges. With skills and expertise that span all elements of software development and digital marketing, a digital agency or consultant on a retained basis can fill a gap on the team or an area of need quickly.

Focus on strategy and core business competencies

Outsourcing non-essential projects and digital support services frees time, focus, and resources for what truly separates your organization from the pack. As part of a continuous innovation strategy, agencies and outsource partners can be “set and forget” for the minutiae, maintenance, monitoring, and general support that syphons time, resources, and focus from internal teams.

Save on labor and infrastructure costs

Good talent is difficult and expensive to find when factoring in recruiting, salary, benefits, taxes, and technology needed to onboard them. Then there’s the time to ramp up and manage a new hire and keep their workload full. An agency or outsource partner will be familiar with current best practices and will have the equipment and technology to plug in immediately. While agencies and outsource partners are an expense, it requires less emotional investment and, depending on the market, is often comparable or less expensive in monthly billings than hiring a full-time employee. Organizations can also allocate agency or outsource support across several areas of need, as opposed to a specific function of a full-time hire.

Increase capacity, speed, and quality

In addition to augmenting or supplementing existing team skills, an agency our outsource partner can amplify production and scale up and down to meet organizational needs. This partner would become familiar with your organization and environments, and can plug in seamlessly with the right scope and specifications and without the ramp up time or potential rework. Agencies and outsource partners are experienced in delivering work to client standards and specs without other day-to-day organizational priorities or distractions. Consider an onshore outsource partner to mitigate the management nightmare of time zone, language, and cultural differences with a higher quality output compared to offshore outsourced teams.

Outside perspective and knowledge transfer

Finding the right agency or outsource partner can result in a mutually beneficial long-term relationship. As these partners get to know an organization, it’s people, and processes, an outside perspective and the organic transfer of knowledge that occurs can help develop your internal talent at the same time.

Interested in another perspective?

If you found the subject matter interesting, we enjoyed this article by Rand Fishkin on SparkToro weighing the pros and cons of hiring agencies and consultants: https://sparktoro.com/blog/why-you-should-hire-agencies-consultants-for-everything-you-can/

How can C2 help?

Our Continuous Support and Optimization (CSO) service provides access to a full cross-functional team of designers, developers, business analysts, and quality assurance specialists to augment internal teams. Beyond an additional set of hands, we get to understand your organization, process, and current challenges and shape our work and recommendations around your most important business goals and user needs. To learn more and see package and pricing information, click here.

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