Small to Mid-sized Business Outsourcing

Prior to the advent of globalization and modern hasty technologies and communication advancements, the business world was way more simple and traditional than it is now. Companies that comprised 500 employees were considered gigantic firms. Such firms used to be very competitive and profitable. However, after the advent of new business strategies and methods facilitated by revolutionary technologies, business witnessed transformational changes and began to become more gigantic and actually global. Hence, those midsized businesses became way less competitive and much less profitable. Moreover, return on investment rates of such businesses became very low, especially with the continuously increasing business costs such as energy and oil process, as well as other resources. Midsized and small businesses are usually inapt to upgrade their technological services because such upgrades require formidable expenditures and a lot of time; especially that these businesses implement traditional business strategies and methods. They usually fail to realize the great, remarkable benefits that outsourcing can bring about for them.

The small slate of employees or workers such small and mid-sized businesses have makes the portfolio of skills and expertise such businesses shelter so meagre and limited. Thus, these mid-sized businesses’ needs and wants are not met efficiently. This makes such businesses inapt to increase their efficiency and productivity (to be profitable), as they do not have the factors for a good business strategy that would make them improve their processes, reduce costs and time that can be allotted to developing the core competencies of the business as well as expansion and growth.
Recently, a plethora of outsourcing services has been emerging. Legions of such outsourcing services are ideally compatible with small and mid-sized businesses needs and goals. Application service providers (APS’s) are amidst such extremely crucial outsourcing services. Application service providers are gradually beginning to be used more widely. Application service providers provide computer-based services that empower small and mid-sized businesses and spare them the formidable expenditures on specialized software. They also diminish the time and costs involved in upgrading specialized software and technological services. Moreover, APS offer the mid-sized business and actually any business with unstoppable technical support for flexible working. Hence, application service providers are extremely crucial for such businesses and they are anticipated to thrive and become indispensable for a lot of mid-sized businesses.

Small and Mid-sized businesses usually have internal expertise and technological skills’ dearth. Most of such businesses do not have enough experience in aspects as vital as customer relationship management. This is usually the case because such small and mid-sized businesses do not have ample money to recruit a whole slate of managers and directors for customer relations management, rather they allot this money and capital resources to improving fundamental aspects and core competencies that they feel are lagging. Outsourcing provides these businesses with customer relations management and other crucial services that are necessary for any firm’s success in today’s global market. However, offshore outsourcing has proved to be more diversified and suitable for mid-sized businesses than onshore outsourcing. Hence, small and mid-sized businesses should not remain stagnant regarding outsourcing; rather they ought to start outsourcing their management and technological tasks to other service vendors offshore. This is the mere path towards continuity of small and mid-sized businesses.


SMBPO - Small Medium Business Process Optimization