In the lion city of Singapore, many companies choose to outsource their business processes as a cost-effective strategy for operations and staffing. The revenue for this service is predicted to reach 3.04 billion USD in 2024.
However, in Vietnam, the utilization rate of business process outsourcing is only a quarter compared to the lion city. There may be three misconceptions below that have hindered the adoption of this service.
IS BUSINESS PROCESS OUTSOURCING COSTLY?
Cost is always a prerequisite condition for businesses when deciding to outsource a service. Leaders often think that in order to fully utilize business process outsourcing, from project operations to output commitment, they must pay a huge cost.
However, in reality, outsourcing service providers will design a model based on the needs and finances of the business, to limit cost and ensure transparent, monitored, and informed activities.
Instead of maintaining a large staff to perform non-core processes, with a team of experienced experts in specific fields, business process outsourcing provides specialized expertise without the need for reinvestment in training and developing employees, saving costs and time.
“Furthermore, with the same level of cost, when using business process outsourcing at professional service providers, businesses also gain access to experts who understand the domestic market well, have extensive experience in implementing business projects domestically and internationally,” says Ms. Ly Ngoc Tran. At Talentnet, we are currently working with over 30 experienced consultants and advisors, providing business process outsourcing solutions for over 300 projects in various industries for Vietnamese businesses.
WILL OUTSOURCING ENSURE KPI LIKE INTERNAL EMPLOYEES?
Many companies believe that they need to hire an entire business department for complete management and operation. However, heavy workloads, especially during goal completion phases, often limit the time allocated for strategic tasks such as setting new directions, evaluating effectiveness, etc.
“The first quarter of each year is a nightmare for the operations and business departments. Not only do I have to start the yearly plans, allocate personnel and operation costs, but I also have to ensure business results. I have to concentrate on planning while training the sales team and cannot handle all the work,” says My Hanh (35-year-old Head of the Issuance Department at a bank in Ho Chi Minh City).
At this point, business process outsourcing is a suitable solution for companies. This solution can help with some tasks such as designing candidate search processes, training teams. Additionally, business process outsourcing also covers critical elements such as proposing strategies, business objectives, and project implementation.
Furthermore, companies are “guaranteed candidates” during the effective service period. That means if a candidate resigns during the probation period or cannot meet the company’s needs, the company will be provided with a replacement candidate to ensure the initial KPI.
According to Ms. Tran, before seeking a reliable partner to outsource business processes, companies need to identify which non-core tasks can be outsourced. Then, they should evaluate the core tasks. From there, leaders can balance and choose which business areas to outsource. The ultimate goal of outsourcing is to ensure KPIs for projects.
Leaders can consider Talentnet’s business process outsourcing solution. Besides cost considerations, when signing a contract, Talentnet commits to achieving the partner’s business goals and KPIs, as well as ensuring project execution complies with the current labor regulations and minimizing potential legal risks for the company.
HIGH DATA LEAKAGE RISK
In the era of Industry 4.0, data is considered the “new currency” within companies. The biggest challenge for businesses is how to secure and internally circulate large amounts of data. Many leaders believe that outsourcing, especially business process outsourcing, can easily lead to data leakage and reduce security.
In reality, when cooperating, the data security of customers is committed by Talentnet. “For many years, Talentnet has always been a reliable partner for hundreds of large and small businesses with outsourcing human resources and business solutions. Especially, projects implemented within business process outsourcing comply with labor regulations and minimize legal risks for the partner,” Ms. Tran affirms.
* Talentnet’s business process outsourcing service can help solve the three basic misconceptions of Vietnamese businesses. Learn more about Talentnet’s solutions at: [https://www.talentnet.vn/vi/dich-vu/dich-vu-nhan-su-thue-ngoai/bpo-thue-ngoai-quy-trinh-kinh-doanh?utm_source=pr&utm_medium=pr&utm_campaign=hro2024](https://www.talentnet.vn/vi/dich-vu/dich-vu-nhan-su-thue-ngoai/bpo-thue-ngoai-quy-trinh-kinh-doanh?utm_source=pr&utm_medium=pr&utm_campaign=hro2024)
