Small and Medium sized Enterprises have experienced increasing relevance to the world’s economy over the years as governments are generally unable to meet national employment needs, as such, they have focused on creating enabling environments for businesses to be created and for them to thrive. This trend is expected to remain and even grow over the next decades.
While SME participation is increasing in national economies, the SMEs are dealing with a shortage of the required level of expertise to successfully run and scale their businesses. This is considered one of 3 most recorded challenges and risks to SME success in Nigeria. This post and name the posts and embed link proffer some relevant solutions for growing businesses through outsourcing.
Fret not, outsourcing isn’t a complex exercise that your growing business is not ready for. It simply refers to a contract-based agreement between business owners and external services providers where the vendors provide staff for a certain business activity or simply take control of a certain business activity on behalf of the business owner on an ongoing basis. Outsourcing when properly employed is a great business strategy and adds value to your business by transferring risk to and gaining proficiency from professionals for a certain business activity.
Importance of outsourcing to SMEs
• Outsourcing corroborates with the principle of division of labour as it hastens the execution of Ideas by specialists without distractions.
• Outsourcing allows SMEs access to a quality of expertise that they may not be able to afford on a full time basis.
• Outsourcing reduces the risk of failure owing to the introduction of an expert into the organisation’s process.
• When SME owners outsource, it gives them room to focus on the core business and more important strategic activities – growth.
• Outsourcing ultimately (in most instances) saves the cost of employment (which is more than just salaries) and training employees, which are not prudent expenses for a growing business.
• Outsourcing ensures you only pay for utilised man-hours and not for staff downtime.
Our Outsourcing Programme, which covers either or a combination of HR, IT, CRM, Secretarial Services, Tax Compliance & Accounting is run under our SME Faculty. For more information on our Outsourcing Support, send an email to firstname.lastname@example.org