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Conduct Business on the Go with the New VendorFind App

Mar 7, 2012

By: Arlette Measures

Access to high quality, low cost services can help move any business forward.

But finding such services can be challenging.

VendorFind, a new app by InsideUp, gives you a simple, cost-effective way to connect with the best business services for your needs.

The  app features all of InsideUp’s business service categories (30 in all),  including: Read More

Three Types of Business Processes: How Each is Affected by Outsourcing

May 14, 2014

By: Arlette Measures

Outsourcing non-core activities can allow you to focus your energy on areas in which your company has a competitive edge, while saving money on the processes you’ve outsourced.

Before taking this step, however, it’s important to analyze which activities would be ideal for your company to outsource.

For most companies, business functions fall into three main categories:

Core activities are your company’s indispensable central activities. These are the services you provide or the products you create. Delegating these essential activities to an outsourced provider would, in effect, create a competitor for your own company.

Critical but non-core activities are the strategic types of functions that can have a major impact on the success of your business, depending on how well they are performed. Activities such as marketing, information technology and logistics operations are excellent examples of the type of critical, non-core strategic functions that are vital to your company and, if outsourced, should be carried out by a capable, skilled and trusted provider.

Non-core and non-critical activities are those necessary tactical functions that would have a minimal effect on your business if performed poorly. Janitorial, payroll, security and grounds maintenance are good examples of this type of function. If you are dissatisfied with the level of services from an outsourced vendor of such non-core activities, you can find a new provider with relative ease and negligible financial loss to your company.

Typically, companies have viewed non-core, strategic functions as activities that contribute little to their bottom line. This notion is changing, however, as outsourced processes help companies save money or increase productivity, according to Sergei Tiunov, General Director of the Outsourcing Division of BDO Russia.  “In other words,” he notes, “a non-core business process may start to contribute to the bottom line by being outsourced.”

Local Strategy–Global Benefits

Apr 27, 2014

By: Arlette Measures

So you’ve done your research, gathered all the facts, and have concluded that outsourcing select functions will ultimately benefit your business and help it to grow.

At this point, perhaps influenced by a general belief that outsourcing has a negative effect on the economy, you may find yourself with lingering doubts about whether you’re taking the right step. While you don’t want to anguish unnecessarily over the outsourcing dilemma, as a responsible member of the business community, you naturally want to consider how your decision will impact others.

A recent article in CNN Money addressed this very issue. Quoting Jay Bryson, a global economist at Wells Fargo, the article brought out that while outsourcing might initially have a somewhat negative impact locally, it ultimately does more good than harm. “In the long run it makes things more efficient,” said Bryson.

Offshoring certain functions where it makes most sense allows companies to hire local talent to fill jobs in other departments such as sales and marketing. Often, these jobs actually pay more than the ones outsourced. A paper by the Centre for Economic Performance noted that outsourcing has ‘an indirect productivity effect,’ and that “the cost savings associated with employing immigrant and offshore labor increases the efficiency of the production process, thus raising the demand for native workers.”

The CNN article mentioned above also observed that outsourcing benefits the U.S. economy in yet another way; “Workers in foreign countries who get the manufacturing jobs… can then enter the developing middle class, which in turn increases demand for goods produced in the United States.”

It simply makes sense; strategies that create growth for your business will ultimately benefit the local as well as the global economy.