Why Would You Outsource Your Back Office?
These days if you are a small or medium size business owner, there is a chance you have a lot of competition in your industry. So how do you stand out from your competition? How do you get customers who have tons of choices to choose your business for their needs? One key ingredient is to be laser focused on what exactly your customer wants and providing that product or service to them every time at a high quality. This takes hard work. It takes a perfectly executed plan to achieve high quality service. It also takes an efficient back office to help with meeting these goals and quite often this is the area that companies fall short.
What is a back office?
A back office is the part of a company that consists of support personnel who do not directly interact with the client or customer. They are a major part of keeping the business running and most likely the company would fail if the back-office personnel did not exist.
Your Back Office can play a major part of keeping your business running.
What services fall under the back office?
Some of the most common back office services include:
Accounting
IT Services
Pay Roll
Claims Adjudication
Inbound/Outbound Call Centers
Data Entry
Mailroom Services
Customer Support
Administrative Support
HR Services
If you are a small or medium size business, you may have a hard time keeping up with these services. Many companies have now started to outsource these back-office services so they can focus more on having a better relationship with their current and future customers.
Benefits of outsourcing your back-office
Back-office outsourcing can help reduce the cost of staffing
When you outsource your back-office jobs, you are reducing the headcount of staff you have to pay. You are also eliminating expenses such as medical benefits, liability insurance and the expense of resources such as computers, desks etc. This can reduce your headcount costs by 15% - 25% according to Jumpstart HR LLC.
If you outsource these services, all of these expenses are taken care of by the company you contract with. The staff is the outsourcing company’s own and they are responsible for not only expenses but for training and managing which also gives you more time back.
Back-office operations can run more efficiently
When you hire an outside company to control your back office, they are solely responsible for just that work and no other parts of the company. This is their focus. You don’t have to worry about dealing with staffing conflicts, recruiting new staff or training staff. The outsourcing company will take care of all of that and you can focus more on connecting with your customers or leads.
Focus more on your customers and their needs
When you leave all the back office responsibilities to an outsourcing company, you are giving yourself and your direct staff time to focus on connecting more with your customers. This will hopefully allow for more time for more sales! And lets be honest, that is what we are looking for right?
If, as a small or medium size business owner, you find you are stretching your resources too far to try and get everything done in your company, it might be time to consider outsourcing your back-office. This will give back time for you and your staff to focus more on developing more of a relationship with your customers and hopefully expand and grow your company.
If you are interested in talking more about how a customized external back-office might help for your business, please reach out to us and one of our executives would be happy to chat with you.