When small and medium enterprises (SMEs) decide to expand or internationalize they commonly have certain flaws or inefficiencies in certain management areas. This does not mean that the company does not offer an attractive service or product but rather that it lacks required or skilled staff to efficiently manage certain business areas.
Fortunately, in recent years, the outsourcing strategy has evolved in such a way that there are several companies or individuals engaging in managing different processes to facilitate this task for other companies.
According to the National Institute of the Entrepreneur in Mexico, this alternative provides outside assistance to SMEs in non-core administrative tasks, making room for spending valuable time on fully focusing on the product or services. This generally leads to an increase in productivity, and consequently, in earnings.
The idea is to offer more added value to customers by improving the quality and management of the outsourced processes by reducing processing times and costs
It is essential to analyze which areas (if any) require being allocated to an outside provider to improve business and gains. For example, if the company starts penetrating international markets for the first time and does not have international trade trained staff, an excellent tool would be to engage an outside service to prepare the documentation and procedures related to this operation to improve productivity.
Outsource magazine describes how this practice was traditionally used in peripheral activities (cleaning, maintenance and transportation), but that the increase in globalization and competition in the past decades has led to its application in processes of greater importance to companies (design, marketing, IT, accounting and distribution).