Outsourcing in Recession Times

From the looks of things, we are going to have a struggling economy in 2008 at best, and a full-blown recession at worst. Financial prognosticators are still mixed on whether or not to call the slowdown a recession, but if this isn't a recession, then I don't know what is. People are strung out on credit card debt and having trouble paying their bills on time. The equity in their houses has diminished and they can no longer draw upon that to shore them up. Their investment portfolios are not generating any supplemental income, either, as the stock market keeps plummeting.

Meanwhile, prices are rising everywhere we shop, including the supermarket. Eating out has become a major extravagance. On the up side, we can get a good deal on a new car and cheap upgrades on our cell phones. There are great sales on clothing, but we buy more than we need. Well, I could go on and on.

Companies in every sector at every level are making plans to lay off employees. How can outsourcing help hold the bottom line? Many business processes that have been done internally can be outsourced, which can save business owners a substantial amount of money. Most outsourcing providers can perform business processes at about 50% of what it would normally cost to do the function internally.

Take accounting and data processing, for example, a typical administrative function in any business. Our company, GO Global, provides high-quality BPO services at a cost that can amount to a savings of 50% to 60%. Besides cost savings, outsourcing is part of a strategic business plan to create a more streamlined organization positioned for growth.

Other benefits are reductions in capital expenditures and fixed assets, an increase in control of operating costs, and improved speed of information and response time. Maybe we need to stop worrying so much about 2008 and look at the bigger picture. Isn't it time to institute change that will put your business in a growth mode for the next decade?