There is More to Outsourcing than Cutting Costs
The outsourcing industry has long been seen as a way to cut costs, hence it has always been characterized by the “Lowest Bid” approach. But it’s time for this to change.
We are at a tipping point in the customer experience story. Businesses must understand that outsourcing is not just a cost-cutting tool. On the contrary, as customers continue to seek easy, effective, omni channel and personalized interactions with brands, it’s critical that companies meet those expectations. And outsourcing is the tool businesses need to respond to these challenges.
There is nothing wrong in prioritizing cost cutting but focusing solely on it is damaging. It forces businessеs to overlook the real and actual benefits of engaging with a specialist outsource service provider.
Cost reduction is Just the Start
There is no arguing with the fact that outsourcing is indeed a very efficient way to save money. However, there are numerous other factors supporting a business decision to engage with a BPO, including access to cutting-edge technologies for a fraction of the cost. Advances in technology, specifically in automation and AI are fundamentally changing the quality of engagement and support that customers receive while also improving cost efficiency.
Advances in technology, specifically in automation and AI are fundamentally changing the quality of engagement and support that customers receive while also improving cost efficiency.
Despite it being one of the most popular topics lately, most of the people and businesses still don’t understand the scale of its value. And conversations around it tend to zoom in on how it can make companies more productive which does stand to reason - if implemented correctly it really does lead to greater output in less time at a lower cost.
No one likes to wait on hold to get to talk to a customer support agent. Similarly, no one likes to engage with a chatbot that can’t answer your questions properly. However, once properly implemented, an AI bot can bring significant improvement in a company’s overall customer satisfaction.
One reason for this being that chatbots can be available around the clock – 24/7 customer service. And even if it can’t answer 100% of the questions to the complete satisfaction of the customer it certainly helps in reducing the load off human employees. It will also have at least provided customers with some sense of satisfaction while they wait for the complete review of their request.
Although the initial cost of deploying an AI chatbot can be expensive, its lower ongoing operating cost means that it is much less expensive than a human employee. Hence, it will significantly speed up response times, satisfaction and improve profitability.
So, the technology complements the human agents and allows them to focus on the more complex issues.
AI can be used to reduce errors which are not just disruptive but purely wasteful. Take the US’s healthcare industry, for example, which goes through almost $210 billion of unnecessary tests and procedures every year. One of the main reasons is that patients get treatment from multiple service providers making it difficult to organize the process. AI can spot duplicate procedures and remove them from the treatment schedule.
Partnering with a BPO provider can help businesses achieve flexibility in many ways.
For one thing, BPOs have the tools to meet customer demand. A BPO can prove invaluable in bringing an improvement in reporting and can provide you with a much-desired market insight. Furthermore, a partnership with a BPO can be beneficial in improving ROI which in turn leads to a much sought-after tangible competitive advantage.
Another reason for call centers to turn to an external provider is perhaps the desire to improve service levels and KPIs. Customer effort – the work customers must do to get their problem solved – matters nowadays more than ever. As Harvard Business Review says: “Delighting customers doesn’t build loyalty, reducing their effort does.”. As someone looking from the outside, a BPO can tell you where the most friction occurs, thus help increase retention. This takes pressure off the business so it can focus on its core purpose.
Another big advantage, often neglected, is that by outsourcing, businesses replace their fixed costs with variable costs, not to mention the headcount reduction that often comes as a result.
For others, reasons to partner with a BPO include improved business continuity and being able to speed up the process of implementation of new and innovative solutions. This is what makes working with an outsourced service provider such a good proposition.
At 60K we engage with our customers from the time of the initial contact. We want to get to know them and understand their reasons for outsourcing because a successful BPO works with its clients to deliver and build a relationship that is more than just a lower hourly rate.
As an outsourcer we try to be open with our clients in everything we do.
We are a leading outsourced contact centre and BPO service provider with global ambitions driven by our local expertise. Founded in 2008 60K is one of the leaders in its field.
We strive to provide high quality services and act as an extension of our client’s business. Through the years, we have proven ourselves as a trustworthy partner that works with global clients who are known as worldwide leaders in their respective business sector. As a professional outsourcer and a reliable business partner, we are boosting the performance of some of our smaller boutique clients as well.
For us the key to a successful business comes from within and is directly related to how positive, satisfied and successful everyone who works for us is.
If you are unsure if outsourcing is right for your business, contact us using the form below. We will be happy to arrange a complementary meeting with one of our consultants.