Outsourcing is one of the favorite topics nowadays. Generally, it means giving the contract to a third party to meet up a specific business purpose. The idea came up in the 1980s. At that time, companies grew essential, and more specialized skills were required. Then the companies realized the importance of external workers. If they were given a specific task, they could deliver the job faster with more efficiency because of their skills.
By the nature of work, outsourcing can be done domestically and internationally.
What is the Concept of Outsourcing?
Our resources are limited, and one person can't be specialized in all skills – which leads to shaping the concept of outsourcing. Outsourcing is prevalent among budget-conscious businesses all over the world. We can say that it is merely a process in which companies delegate business functions to external vendors in offshore locations. Many large and small companies are adopting outsourcing to flourish their business. At the same time, they can reduce operational and infrastructure costs that they need to carry out these operations.
Outsourcing allows using the resources and knowledge of another business in a consulting or partnership relationship to address short-term or long-term needs. Here the primary focus should be on core competency.
Types of Outsourcing Models
There are different types of outsourcing models. Day by day, new ideas are generated, and more thoughts are shaped. The most common forms of outsourcing model are as below:
Sometimes a company requires more people that are skilled. On the other hand, they often do not need their services full time or do not even have the resources to pay for them. Therefore, they go for staff augmentation. This model is usually used when a company decides to offer extra services that they currently lack.
Project-based outsourcing applies to companies that run irregular projects. Such projects are of low to medium complexity. These projects have well-defined requirements and deliverables. Companies want to have a dedicated team to take on the job of these projects so they can use this model of outsourcing. As a benefit of such an outsourcing model, no interruptions incur on their regular operations.
Contracting is similar to staff augmentation, where labor is used hourly, daily, weekly, monthly, or yearly. In this approach, a specific process or service is transferred from a company to the outsourcing partner. It may involve licensing. If the business owners wish to control the process being outsourced, out-tasking engagements are best for them.
In this approach, a third party on behalf of a company maintains the proactive management of office operations or infrastructure. Hire a managed service provider (MSP) to perform all ongoing responsibility for handling, monitoring, and problem-solving for selected business functions. Managed services are commonly seen for IT functions. But this may also include outsourcing HR activities, daily operations, and production support. Managed service can make the job easier for business owners. It is also helpful for cost control, improved risk management, availability, efficiency, and productivity.
This outsourcing model refers to a company locating its dedicated resources in another country. This allows the companies to use the maximum advantage of top talents at a relatively lower price. At the same time, they can maintain control over their process and service delivery.
Through outsourcing, companies get the chance to get closer to their clients and gain access to new market opportunities.
KPO (Knowledge Process Outsourcing)
KPO is the concept of outsourcing core knowledge-based work and information-related business activities to the third-party service provider in consideration of some amount.
BPO (Business Process Outsourcing)
BPO can be defined as contracting specific responsibilities and operations for a particular business process to a third party such as a Call Center.
If taken generally, BPO is a task that a company may need an add-on but is not dependent on. This is mainly done to save costs.
The 11 Core Advantages of Outsourcing
Global outsourcing in and of itself is neither all good nor all bad. For most of outsourcing, it depends on what the business needs are. In the past years, outsourcing has been treated as a negative approach to doing business. But over the years, the situation has changed.
Outsourcing has been a widespread practice for many companies. It ensures a steady increase in productivity, quality of services, profits, and overall business growth. With the development and availability of internet facilities, it is blooming as the years go by.
- Low Labor Costs
- Low Overhead
- Competitive Pricing
- Increase Profits
- Task-Specific Staff
- Increase Efficiency
- Grow vs. Run
- Time Zone Advantage
- Not Training Competition
- Help 3rd World Country
- USA Standard of Living
Importance of Outsourcing in Today’s Business
There are many reasons which reflect the importance of outsourcing in today’s business. The key reasons for which a company would consider outsourcing is goods are:
The outsourcing industry has continuously surprised those who work with giant Wall Street during the last few years. Most of the outsourced work nowadays usually ends up in third-world countries with a highly educated and dedicated young population. These outsourced employees typically cost less than their first-world people. This reality created outsourcing an exciting option to look into. Here services or products can be obtained for a far lower price while achieving the same level of quality. Although even when the condition is not quite as good as could be done internally, the cost savings are so significant to the management that they accept it without further thinking.
Services outsourced sometimes include internal business departments like finance or IT, where significant cost savings can be achieved. Therefore, outsourcing helps lower expenditures on fixed costs and control variable costs resulting in substantial savings.
Outsourcing can play a significant role in access to higher-quality products and services. Some business processes or products are very focused. They can outsource to another dedicated organization provides access to more top quality. For example, the computer maker doesn't need to specialize in making microchips. They can outsource it and get a higher quality product. Then they can assemble their products. As outsourced companies offer an international standard knowledge base that delivers the same output level, access to world-class talent is much more comfortable.
Any business with suppliers for their input manufacturing process can be the best example of outsourcing part of their manufacturing process.
Since hiring outsourcing can be relatively cheaper, a business owner can hire two people at a time who can do the job of one. This makes it more comfortable and quicker to finish the work at hand. On the other hand, connecting has become more accessible than ever with high-speed internet and software. It allows being linked from one part of the world to communicate with someone in the other part of the world. Therefore, distance is not a problem here.
It can be found that some outsourcing companies even work the same hours as the regular office does. It ensures that the work is done promptly.
Outsourcing allows the flexibility to pay for precisely what a company needs. If a company with a whole finance department staff works, it has to pay the salaries even during downtimes. But for outsourcing, the same company has to pay the financial services for the hours worked.
Likewise, if a business needs only a small number of inputs for their manufacturing process, it would be a waste of money and time to build the capacity to manufacture that component themselves. And the business can be able to maximize the use of external resources. Thus, outsourcing provides the flexibility to only pay for what you need.
A change in operation
We all know that difference is always a good thing for any company. By outsourcing, a business gets an open platform to change its procedures. Several people who work in outsourcing help the company shares the best operational knowledge. Such knowledge allows the company to achieve excellence in functional changes.
Such operational changes help to improve overall businesses by increasing productivity. Profit is the by-product of the entire process.
Improve and maintain business focus
Most outsourced tasks are added–on functions and are time-consuming. Therefore, a business can fully attend to its core business processes by giving outsourced. These impacts positively on the overall market.
Access to new market areas
Outsourcing also helps companies to get access to the latest market zones. Some companies deliberately involve outsourcing to explore and gain access to new market areas. They do it by taking the point of service delivery or production house closer to their end-users.
Share and mitigate risks
Partner Company also helps to relieve different risk factors for the mother company. They do it by distributing and delegating operations issues. Especially offshoring allows companies to minimize risks at the highest scales.
Free internal resources
With outsourcing, companies can quickly free up their internal resources. The management can use them for other internal functions, focusing on essential activities.
Other than these, we can also keep the following benefits in our mind for which outsourcing can be helpful for businesses:
- It gives more free time for family and friends
- Learn to trust others, especially vendors
What tasks can outsource?
It is found that when people outsource their admin to someone else, they can focus on hitting growth targets. They are holding their contractors accountable simultaneously. This makes them scale faster.
Nowadays, hiring the role is evident, not the tasks. This will help to build a team. And eventually, a group that will work together to achieve the goal aiming as a business owner through accomplishing the tasks. If we can go through the below vital tasks, we will also have a clear notion of the advantages of outsourcing.
To make it simple, the roles can be:
- General Virtual Assistant (GVA)
- Audio / Video Editor
- Content Writer
- SEO / Web Marketer
- Graphic / Web Designer
- Web Developer
Role wise tasks are as follows:
General Virtual Assistant (GVA)
Email & Schedule Management Tasks:
Filtering E-mails & Managing Spam – Major tasks can be to maintain the mailbox with proper follow-up of the spam emails.
Database Building & Updating Contacts or CRM – Storage, Maintain and enrich the database with updated contacts.
Answering Customer Service Emails /Tickets / Chat Support – Serving the customers with e-mail response and chat support.
Sending of Greetings e-Cards, Event Invitations, etc. – Follow up on the event dates and send e-Cards and other invitations.
Calendar Management - Involve scheduling meetings, slot availability, etc.
Appointment Scheduling – Planning appointments among different parties.
Travel Arrangement and Planning – Designing different travel schedules with a proper travel plan.
Reminder Services – This is mainly scheduled reminder services.
File Storage & Organization Task
Dropbox & Google Drive Organization – Maintain the files and pictures in Dropbox and Google Drive accounts.
Data Entry in Word or Google Docs – Completely, data entry works in word files.
Generating & Managing Spreadsheets – Data entry and management in excel files.
Preparing Powerpoint & keynote Presentations – Designing Powerpoint presentations as per requirement and providing data.
PDF Conversion, Splitting, and Merging – Conversion of different PDF files with edit options.
Administrative & Blogging Tasks
Transcription of Video and Audio Files – This is mainly translating audio or video audio into text.
Simple e-Book Layout or Formatting – Managing e-book outline and format.
Preparing Online Meeting Minutes – Getting meeting minutes online.
Report Creation – Preparing different formal reports.
Forms Creation – Preparing different forms.
Document Template Creation – Generating different document templates.
Online Research – Researching with the help of the internet.
Data Mining & Development or Lead Generation – Examining the existing database to grab new information.
Blog Publishing Management – Writing and managing official or public blogs.
Moderating Blog Comments – Follow up and control blog comments.
Adding Tags & Images to Blog Posts – Creation of add-on tags and images in the blog post.
Receptionist Duties – Perform as a receptionist with various duties.
Voicemail Checking – Follow up on the voicemails.
Sending Client Invoices – Managing clients' invoices and addressing them correctly.
Basic Bookkeeping (MYOB, XERO & QuickBooks) – Practice online accounting by using the software.
Personal Errands (Purchasing Gifts Online, etc.) – Similar to –a commerce application.
Project Management & Training Tasks – Dealing and managing projects and training activities.
Project Management between You and Team members – Arranging projects among the team members.
Manage Team Collaboration Software - Confluence, Slack, Smartsheet, Trello, Wrike, Monday.com, etc.
Preparation of Training Materials – Write up, edit, and train materials.
Training of New Virtual Staff – Arrange to school for others.
Deadline or Deliverable Tracking – Follow up on the timeline and another deliverable.
Social Media Management Tasks – Managing social media pages.
Creating Facebook Fan Pages / Groups – Concentrate on managing Facebook fan pages and groups.
Posting and Scheduling Facebook Insights – Regular monitoring and following up the Facebook content postings.
Promoting Facebook Pages – Arrange promotions by giving ads and managing the Facebook pages.
Collating and Interpreting Facebook Insights – Make the Facebook page enrich and engage in informative matters.
Creating a Twitter Account – Creating and maintaining new accounts on Twitter.
You are managing and Increasing Your Twitter Following – Continuously maintaining and improving the contents and posts of the Twitter account.
Schedule Tweets and Track Mentions and Hashtags – Maintain proper track for hashtags.
Create and Manage LinkedIn Account / Profile - Creating and maintaining professional accounts on LinkedIn.
Create Pinnable Images on Pinterest - Creating and maintaining professional accounts on Pinterest.
Scheduling and Tracking Pins – Organizing and follow-up Pins.
Create and Manage YouTube Account – Creating and maintaining professional accounts on YouTube.
Upload Videos on YouTube – Publish and manage the videos on YouTube.
Moderating YouTube Comments – Regular follow-up and control of YouTube comments.
Uploading Videos to other Video Sharing Sites / Social Media – Post and manage videos to any social media site.
Answer inquiries and Messages on All Channel & Profiles – Response to different query-related messages.
Create Slideshare Presentations – Design different Slideshare presentations.
Creating a New List in E-mail Marketing Software – Create and update new leads in e-mail marketing.
Adding and Removing Subscribers from Lists – It is just maintaining the subscribers.
Creating and Scheduling Broadcast E-mails to Promote Content – Design and manage the promoted content with the e-mail address.
Editing Follow-up Emails and Auto-responders – Manage and follow up e-mails and generate autoresponders with contents.
Creating Email Newsletters – Design e-mail newsletters with promotional content and manage the same.
Editing / Proofreading Emails – Coordinate different components in proofreading e-mails.
Audio / Video Editor
Basic Editing of Audio Files allows the addition or deletion of audio files.
Removing Background Noise from Audio and Video – As basic editing in audio and video files.
Adding Intro’s and Outro’s to Videos – As a part of basic editing.
Basic Photoshop / Image Editing (Not Graphic Design) – Edit photos with Photoshop software.
Power press (Podcasting WP Plugin) Installation – Use of Power press.
Podcast Setup on iTunes – Set up digital audio files on iTunes.
Podcast Insertion on a Blog post – Mainly inserts the digital audio files on any blog post.
Content / Blog Post Creation – Write up content and logs.
Guest Blogging / Ghost Blogging – Writing on any blog anonymously. As a guest post writer, the writer will be writing interesting/informative blog posts featuring given website products for placement on external blogs/websites. These posts are all considered “ghost-written,” meaning that the posts may not contain bylines, and if they do, they may credit other authors.
SEO Writing – This writing focus on using specific, targeted words or phrases to take the attention of the search engine in particular ways.
Press Release Writing is a media communication directly related to announcing something newsworthy.
Newsletter Writing – This is news of activities of different businesses or organizations sent by e-mails to all members, customers, employees, or other selected groups of people.
Copy-writing – Deals with the process of copywriting procedures.
Directory Submission – In short, it is the activities of off-page optimization.
Article Spinning – This is the technique of writing used in Search Engine Optimization (SEO), where it reduces the similarity ratio of redundant pages or pages with thin content.
Article Marketing is a content writing type of advertising in which companies write and distribute short articles to all outlets or branches.
SEO / Web Marketer
Site Analysis – This is the analysis of website performance to improve the site to generate more traffic.
Keyword Research for Blog Content – Systematic keyword research using different online tools for the blog.
Competitive Analysis – Systematic methods of SEO competitor analysis with online tools and data.
Landing Page Set-up/Creation – These are creating different campaign pages.
WebMaster Submission – After the final creation of the website, submission of the URL tool in Google or Bing.
Sitemap Submissions – Creation of a list of pages and adequately incorporate those into the website.
Off-page optimization for a post or page – The techniques used to improve a website's rank on the search engine results page (SERPs).
Social Bookmarking – Most social bookmarking instruments allow the client to tag the substance and give a portrayal. It is merely opposite to the sites simply gathering the URL.
Creating a Social Bookmarking Tracking Sheet – Follow up on the created Social Bookmarking.
Blog Commenting – Off-Page Optimization – This is blog-related optimization.
Forum Participation / Moderation – Creation of different forums and controlling those forums.
Creating Backlinks / Link Building – Managing the backlinks and link building to optimize the websites.
Weekly / Monthly Google Analytics & Traffic Reports – Track and follow up the Google analytics and traffic data weekly or monthly.
Monthly Keyword Ranking Reports – Track and follow up on the keyword ranking monthly.
Designing Logos, Banners, Icons, eBook Covers, and Headers – Design different contents of websites.
Designing Info-graphics Images (Content provided) – Enrich the contents with info-graphic images.
Designing Websites, Creating Mock-Ups – Planning by proper layout to finalize the ultimate websites.
Designing Landing / Sales / Opt-In Pages – Optimization of in pages of the websites.
Basic Video Editing (Splicing Intros & Outros with Raw Footage) – Normal video editing as per the requirements for the websites.
Support and Develop WordPress (PHP) Websites – Creating and further developing the WordPress websites.
Install WordPress Plugins and Themes – Install the full version of WordPress, including Plugins.
WordPress Theme Customization – Personalization of WordPress themes and plugins.
WordPress Functionality and Plugin Enhancement – Making websites more functional with enhanced plugins and others.
Site Maintenance / Security and Troubleshooting – Work with maintenance, security, and troubleshooting issues so that clients can have easy access to the websites.
CRM Integration & Social Media Integration – Link customers and social media with websites.
Payment Gateway Integration – Link with different payment gateway interfaces.
Install and Support an Email Ticketing System – Coordination to automated support service and e-mail tracking system, for example-ZenDesk.
Therefore, many jobs can be outsourced nowadays, and the list is increasing day by day.
What should you never Outsource?
As the above list of outsourced criteria and its benefits, there are a few issues that we need to keep in mind not to outsource. Those can be discussed as follows:
It is undeniable that a recruiting firm should not outsource recruiters a recruiting is their core competency. On the other hand, a chef should not hire somebody to design the menu and cook food. The best way to create an effective outsourcing plan is to determine what the company is good at—what sets that apart from the competition.
Therefore, the company should figure out its core competencies, whatever they are. Then we should do everything to keep them in-house. The company should not farm out these services to third-party talent. It is better if those talented individuals work for the business.
It does not mean that certain support services directly related to these core competencies cannot be outsourced. But the major decision and dissemination of content should stay in-house.
This cannot be set forcefully. Corporate Culture is built over time. It is like an intangible asset. The internal culture and employees make the innate drive and determine the "feel" of the office.
It will be awful to see and experience that strangers fire people. The company should not do that to its employees, even not previous ones. We know several third-party companies offer such services. But it is always advisable to handle this unpleasant situation internally.
A manager consulting an outside expert is acceptable if the situation demands. But as a potential leader, he needs to be able to meet face to face and convince his employees to deliver both good and bad news.
Not all the issues can be outsourced to get a solution. A company cannot run without facing some difficulties along the way. Nevertheless, if company management doesn’t understand how to solve a problem, it is not a good idea to hand the situation over to a third party thoughtlessly. The vendor may miss the critical point related to the client.
If it is an extreme necessity to outsource complicated issues, make sure the team in charge has a thorough understanding of the matter. This will help the company to fix a problem properly as a benchmark selected by the authority.
Key persons like managers
Whatever may be decided to outsource, it is not a one-and-done deal. The company still needs a dedicated team to stay in touch with vendors. They also need to keep track of progress and answer any questions. Managerial controls should be kept in-house to avoid delays, confusion, and low-quality work.
Third-party contractors and freelancers cannot manage the private business as their managers can. Therefore, hire and train personal managers for internal and external work projects.
Insight strategies & planning
The internal management and leadership team must own the vision and mission of the organization. They also uphold the secrecy of strategies and planning. Outsourcing can be perspective and helpful, but only the management team can regulate when and who should promote to high-ranking leadership positions.
Nowadays, many excellent training courses and online learning can participate in employee development. A complete set of an employee cannot be outsourced. With the help of training, it is the best practice to develop internal employees.
As new jobs are opening up, many options are created, and the market improves. Thus, preservation can play a significant role here. This can feel them ‘priority.’ This will prevent him from getting resigned.
What are some of the concerns involved in outsourcing jobs?
There are a few issues to be kept in mind with outsourcing jobs. Those can be explained as follows:
5 C's of Business Process Outsourcing
Communication – Research says that interaction with new partners is significant and vital in getting the job done without hassle. Consistency in the submission orders and information requests between the parties helps accomplish the outsourced job.
Control – Likewise the above communication, control over the vendor or third party is also a primary concern.
Cost - Partnerships can be complicated and costly, especially if expectations, requirements, and charges aren’t established correctly. Therefore, this is a concern. Proper workflow processes between companies can help monitor cost areas that influence profit margins. It also helps to make the success of the programs.
Coordination – This coordination is also a significant concern in outsourcing. Critical coordination lies in establishing good relationships among the partners like communication and control.
Customer – Customers are the main in any business. Customer satisfaction with any product and experience can quickly become an issue for controlling that experience is outsourced.
There are also many other issues involved in outsourcing jobs. Reliability is one of them. A reliable vendor means secured investment. It is good to check the vendor’s history, testimony, etc. are essential.
The quality of the products and services provided by the outsourced vendor is also an issue in outsourcing jobs. Here the organizations or clients can take any free trials offered by vendors. Certifications such as ISO 9000 and CMM (provided by independent rating agencies) can be essential for the quality deliverable vendor.
Data confidentiality and safeguard is also crucial issue in outsourcing jobs. The vendors should maintain data privacy seriously. Infrastructure security includes firewalls, access controls, data encryption, etc. Human resource security involves pre-recruitment checks, signing of non-disclosure agreements, etc.
Unknown risk prevention, transparent financial dealings, law, and regulations are the vital issues to be considered significant involvement in outsourcing jobs.
We have to keep these above issues in mind when outsourcing jobs. If we can balance all the problems correctly, we will succeed in outsourcing.
Is it cheaper to outsource?
Outsourcing is indeed getting favorite day by day because it helps save money. From the above discussion of the overall benefits of outsourcing, one of the significant advantages is the cheaper part of outsourcing.
Recent research has proved that companies can save up to 60% on operating costs if they turn to outsourcing instead of hiring full-time employees. Such a drop in overall cost incur as the companies can avoid the bloated salary of the employees, but they can also escape from health insurance, vacation pay, and other benefits payments.
To bring out the maximum benefits from outsourcing, many companies outsource from developing or least developed countries as they can find resources at a low cost. There is a massive difference in the wage patterns of the western developed countries and the developing or least developed countries.
When outsourcing is on, the cost goes down. Therefore, in exceptional cases, outsourcing is cheaper. On the other hand, infrastructure is not required in outsourcing resulting in tremendous cost-cutting.
Is Bangladesh a new competitor in the global outsourcing game?
Despite turbulence in global markets, Bangladesh is considered one of the world's major outsourcing markets. It is assumed that IT professionals in Bangladesh are very skilled and well trained. Currently, the government of Bangladesh has taken steps to ensure that they keep up with the global standard.
With some 1.4 million new workers annually joining the workforce, the Bangladesh government’s policy is to differentiate its economy and build its services sector.
Digitizing the Economy
With the first government’s “Digital Bangladesh” objective, it is to boost the diversification of the Bangladesh economy to become a primary source of technology outsourcing. Bangladesh graduates 10,000 students from computer science programs each year to support such initiatives.
Bangladesh has been receiving attention for its drive to digitize the economy in the global marketplace. While nations such as the Philippines, Indonesia, Vietnam, and Lankan are in a competitive business, Bangladesh astounded many industry pundits when represented by the state-run Bangladesh Hi-Tech Park Authority in Bengaluru in March 2017.
An Emerging Asian Economy
More than 100 organizations from Bangladesh export outsourcing and software services to more than 30 countries, with new participants targeting Bangladesh's outsourcing industry.
Three significant current opportunities are supporting Bangladesh’s emergence as an outsourcing competitor in the world:
- Age demography (heavily under 35)
- Low-cost workforce
- Government incentives for the IT service sector
This fabulous combination is helping Bangladesh emerge as a player in the global service outsourcing market.
Opening of ICT Park
The government of Bangladesh is working on building a tech park in Dhaka and Jessore to promote the progress of the ICT sector. This project is well-thought-out as a milestone for flourishing outsourcing. The success of the government’s “Vision 2030” will help to develop Digital Bangladesh.
There are also a few challenges relating to outsourcing in Bangladesh, such as power shortage, slow internet connection & limited bandwidth, and lack of internet banking. Improvements can also be seen here with the excellent support from all levels of authorities with limited resources. At the same time, there are more scopes of progression, and we all expect to work hard until we meet our target.
Therefore, in the context of global outsourcing, Bangladesh has started its journey, and now we need to continue our support so that it can reach its goal.
Skill Development Training
Skill development is crucial in the IT sector as this is a specialized area. Moreover, in a country like Bangladesh, where the IT sector is still booming, it is essential to train and become an expert in a specific area.
We know that human resource is one of the vital competencies for the IT sector. Actuality a populated country with educated persons, it is essential for us to divert such education into IT sectors. Nowadays, there are different government and private organizations offering training as per the requirements of clients with a particular concentration on various components of outsourcing.
Advance IT Center is one of the prominent Digital Marketing agencies working on branding Bangladesh in the IT sector globally. Along with the Ministries and agencies of Government, the Bangladesh Association of Software and Information Services is working on creating skilled IT workforces and employment for them.
The youngsters are very enthusiastic about IT, and they are very eager to take IT as their future profession. Many initiatives are being made publicly or privately to expedite IT interests, such as plenty of computer clubs, programming contests, computer festivals, web designing contests, IT seminars, symposiums, and discussions across the country.
Now e-commerce plays a significant role among the people of Bangladesh. There is a considerable number of publications, and it's increasing. A few magazines are being published in collaboration with international magazines. Independent or Facebook base – both are equally popular among the people, and all are the outcomes of skills that the people are gathering through intensive IT development training.
On the other hand, we have to remember that some unreported and unqualified IT farms are also increasing in Bangladesh, and they are just playing with the hope of the young people who want to take IT as a profession or want to see themselves as SEO Specialist in Career. In this regard, self-consciousness and alertness are essential. Side by side, the Govt. of Bangladesh also have to have a role to play by creating up-to-date policies and monitoring the IT skill developers strictly so that the standard quality is maintained countrywide.
How Does Outsourcing Jobs Affect the US Economy?
Outsourcing is considered a blessing for the US economy. It is believed that if outsourcing didn't exist in the US economy, the standard of living would be much lower. Here, most people, even the poor, live their lives as if they were the king. This has been possible for outsourcing.
For instance, we all know that wages are much higher than in third-world countries. As a result, someone can outsource web-designing siting from the US to another country like the Philippines. Moreover, he can bring out the work at almost ten times lower cost. The economy is all about exchanging money in terms of goods and services. Nowadays, outsourcing is considered one of the significant ways of mobilizing the economy as it creates opportunities to spend more and more money around the world.
The US mainly does technology outsourcing, call center outsourcing, human resource outsourcing, etc. India and China are the major countries that lead the US outsourced market.
In conclusion, we can see that all types of outsourcing can be handled for the business as per the requirement of the business owners. If we look into the vast scope of outsourcing, we can easily understand that it has gone far further than most people ever thought conceivable.