The annual Diversify Sportsfest gets bigger and bigger each year. At the rate the company is growing, this should not be surprising. October is a busy month for everyone at Diversify, and special events like the Sportsfest are fun and meaningful affairs that let everyone see a different, more casual side of the people they see every day.
The 2018 Diversify Sportsfest is a celebration of competition and the chance to establish stronger camaraderie with each other. It serves as a high point for later in the year and a chance to also show off athletic prowess.
A Three Way Contest
For the third straight year, Diversify’s Sportsfest was held once again at the British School Manila. It’s always great to be in familiar territory while welcoming new people to Diversify’s favourite sporting venue. Much like last year, basketball, badminton and volleyball were the three events the Sportsfest centred around. Similarly, the day started with an Oath of Sportsmanship that all the athletes participated in, followed by a lively Zumba session that put everyone in an active mood.
Of course, there was a higher level of anticipation in this year’s Sportsfest than in previous years. There were more participants and teams for each of the games this year due in part to the company’s expansion in 2018. If last year’s highlight was the “Makati vs. BGC” rivalry, this year upped the stakes with teams from the newly opened Twenty-Five Seven site. No longer just a contest between two offices, this year’s Sportsfest now meant three talented offices with more teams to get involved.
Introducing the Diversify Cup
The Twenty-Five Seven teams were not the only additions to the Sportsfest. During the opening ceremony, Diversify’s management team introduced the Diversify Cup. Not only was this going to be a symbol of bragging rights for the winner, it was also the start of a brand new tradition for all of Diversify’s sportsfests.
As explained by COO Jez Batulan, each site will play for the right to take home the Diversify Cup and display it in their respective office. It will remain with the winners until the next Sportsfest for their chance to defend it.
Upping The Sportsfest Competition
In previous years, RSC teams often dominated all the events. The teams of Twenty-Four Seven were determined to avenge last year’s loss— eager to show their rivals how much they have improved. Meanwhile, the rookie teams of Twenty-Five Seven were intent on making their mark in their first ever Sportsfest.
In the badminton events, the action was fast-paced with no team wanting to let up. With three divisions happening this year – men’s, women’s and mixed doubles – it was anyone’s game. To the surprise of many, Twenty-Four Seven defeated RSC in the Men’s and Women’s divisions while RSC won in mixed doubles.
As the badminton games were happening, loud and lively cheers echoed from the basketball court of British School Manila. Not to be outshined by their neighbours, Twenty-Five Seven brought a new level of intensity to Diversify basketball. The rookies trounced RSC’s and Twenty-Four Seven teams and finished the tournament undefeated.
Later in the afternoon, the indoor arena was converted to a volleyball court for the final matches of the day. RSC’s volleyball team, keen to prove their long-standing dominance, skillfully won all their games— showing everyone why they were the best.
Crowning The First Diversify Cup Winners
Crowning the champion of the 2018 Sportsfest was not as easy as it was in previous years. The friendly rivalry between RSC and Twenty-Four Seven took an unexpected turn. After tallying the results of each event, RSC and Twenty-Four Seven tied for first place. Faced with an unprecedented situation, the game officials had to review the score of each team in every event to break the tie. In the end, RSC’s experience and grit once again proved to be unmatched as they were named the first winners of the Diversify Cup.
By the end of the day, everyone was all smiles amidst the exhaustion from all the games. The competitive spirit was alive in Diversify and helped many of us feel closer to each other. New rivalries were born and are proving to keep friendly competition alive while forming bonds with new and old teammates. More than anything, forging stronger relationships have always been an underlying theme of every Sportsfest.
Competition often shapes our best selves and allows us to show our full potential. Whether it’s professionally, personally or athletically; this will always ring true. As this year’s Sportsfest draws to a close, our teams earned a much-needed breather, but you can bet that teams are already preparing for next year’s games.
Social media makes it easier for people to interact with their favourite brands. Because of it’s accessibility, it provides to retail companies adds a layer of transparency that today’s consumers prefer. They connect on personal levels with brands that often makes them loyal to particular brands or retailers. This interactivity is mostly due from the work social media managers do.
More retail companies recognize the benefits of having social media managers and what they can do for their business. While platforms like Facebook and Twitter are seen as extensions of customer service, social media management requires a specialized skill set apart from the usual customer service representative. Their tasks are often misconstrued as simple when the truth is that their role is a lot more nuanced. Forward-thinking retailers already leverage social media managers to augment their customer service efforts.
Evolving Your Customer Service Team
It can be said that social media managers are the busiest people of any retail company. Because of social media’s reach and real-time interactions, social media teams need to be highly responsive and available 24/7.
As part of customer service, they interact with customers on a daily basis on various platforms. They establish a certain rapport that can lead to potential brand loyalty among consumers in the process. Retailers who successfully integrate their social media and their customer service will see more value added to the customer experience.
A Specialized Role
A common misconception for social media managers — and by extension customer service teams – is that they have an “easy” job that anyone can do. This often leads to the wrong assumption they can be replaced just as easily. Social media managers require analytical, strategic, creative, communications and other skills that set them apart from anyone who has an active presence on Twitter. As a top influencer puts it, “[it] involves being creative like an artist but also learning to be the ‘data scientist’.” In addition, many social media managers today have specialized knowledge in retail and other industries that can help when interacting with customers. This knowledge can help upsell your company’s products and services. When properly integrated to your company culture, they become fully invested in your vision and how you aim to reach more customers.
Shaping Your Online Reputation
In the age of social media, your customer service team is responsible for how your company is perceived. As a Forbes article puts it, customer service is called the “human face – or voice – of your brand”. Social media has made it easier for people to share their personal experiences with companies, whether positive or negative.
In a recent survey by Sprout Solutions, 81% of people said that social media has helped increase accountability among businesses, saying it helps encourage transparency and amplifies issues. Additionally, 45% of consumers said they use social media to share their positive experiences with a brand. With a good, well-trained customer service team, they will be able to provide quality service and support that customers will rave about.
Finding the best Social Media Managers
Quality customer service is essential for medium, large or listed companies. While resources may be available locally, it can be a very costly endeavour. Smart companies today acknowledge the value of an offshore customer service team that operates on a 24/7 basis. Most of all, they provide excellent service and value to a company at a lowered cost.
The traditional outsourcing model of hiring solely call centre agents is becoming an outdated practice. As demand for more specialized, competent customer service steadily increases, companies should no longer consider it a minor role. Because of this, the role of social media managers should not immediately be dismissed as easily replaced. Their back office support keeps loyal customers satisfied while also attracting new ones due to their professional approach.
Whether in retail or other industries, social media now plays a critical role in letting a business flourish. By working together with a customer service team, they positively shape online reputations that attract a wider audience and making them loyal customers.
Adapting an offshoring strategy is a major business decision that needs to be carefully considered. Most companies that look at offshoring see it primarily as a good cost-saving measure and taking advantage of these cost savings require proper implementation and time.
Many established providers know the challenges that come with an offshore strategy and how to properly service their clients. Through customized strategies and consistent support, businesses and offshore service providers work together towards mutual success.
Diversify has seen first-hand how offshoring can transform businesses. Whether you’re in the retail, finance or even construction industry, there’s an offshoring strategy tailor-made just for you. It’s important, however, that businesses first understand what it means to have an offshore team in the Philippines.
Offshoring At A Glance
Let’s get this out of the way: offshoring and outsourcing have fundamentally different concepts. If your business is looking for more immediate, short-term solution without extra management, then offshoring may not be for you. While traditional outsourcing means engaging a provider to manage your team, offshoring is about working with and managing your own workforce in a full serviced workplace. With offshoring, businesses retain full control over the people who make up their team and their specific roles.
This means there is greater transparency in offshoring since you manage your team members directly. While outsourcing focuses on processes and getting them done, offshoring has a more people-oriented approach. Though implementation takes much longer than an outsourcing strategy would, offshoring becomes more affordable in the long-term.
Having a more hands-on approach is what makes offshoring unique. Businesses have a much larger say in what goes on with their team instead of letting their provider do all the work. This also means training and developing their offshore team. When properly implemented, a team’s output is optimized and they become valuable members of their business.
Your Offshore Team in the Philippines
So where can you find team members to fill these roles? We at Diversify have always called the Philippines the best location for an offshore team. The country is host to a very deep talent pool full of potential team members with specialised skills. With about 400,000 graduates a year, many Filipinos are experienced in a wide range of roles, from accounting, communications and administration. It’s also easy to communicate with a workforce in the Philippines thanks largely in part to their 95% English literacy rate. The BPO industry is a major contributor to the country’s GDP and is poised to become its biggest one within the next few years. The government has long recognized what offshoring – and the BPO Industry – has done for the Philippines and they have taken steps to cultivate it.
Perhaps the biggest reason companies choose to offshore to the Philippines is the people themselves. In a 2017 report by Tholons, the Philippines ranked the top offshoring destination when it came to talent, skill and quality. The report also called the Philippines the “undisputed leader” in customer service, citing a positive business climate, supportive government regulations and its place as one of the world’s largest English speaking nations.
Companies that found success with an offshore team in the Philippines cite their strong working relationship with Filipinos. Clients often call Filipinos hardworking, dedicated, engaging and very personable team members they are happy to have. Some would say this is due to uniquely Filipino cultural traits that other countries don’t have. For one, values of loyalty, discipline and respect are part of the Filipino psyche and they carry these with them to their personal and professional lives.
Offshoring Challenges and A Best Practice
No matter how good any business strategy is, they are not always perfect and can encounter some problems. Offshoring is certainly no exception to this and there are a few challenges that often arise. Because local teams work closely with a team outside their region, cultural miscommunication and challenges may occur. For instance, Canadians or Australians may approach particular situations in a way that Filipinos may not be used to. If companies ignore these cultural nuances or don’t try to find a middle ground, there are likely to be issues. To get around this, consistent interactions with your offshore team in the Philippines can give both sides better insight of each other’s work cultures. Doing this ensures smoother communication and issue resolutions with minimal or no incident.
You’ll hear it a lot from companies that have a successful offshoring strategy in place, but engagement is key. As part of your local team, your offshore team should be treated as such. Forward-thinking companies often check in with their teams to monitor their daily output, routines and overall satisfaction. Being more familiar and engaged with your offshore team helps develop a stronger rapport understanding of their greatest assets and areas for improvement. This close association with your offshore team is something you are unable to do with a traditional outsourced team.
The Long Term Effect
Finding success through offshoring is not something that happens overnight. It requires consistent engagement and development of your team as you establish their roles in the company. But working with the right provider can ensure that your offshoring experience is a smooth one.
It’s through this engagement that they become motivated, dedicated and loyal to your company. By showing how everyone’s roles fit into the overall vision of your company, the more driven they become. This is particularly true when you work with a team based in the Philippines. By expanding your reach, your offshore team becomes an essential asset to your global success. The best part of it all? You can reach new levels of success locally and globally at a fraction of the cost.
Diversify’s experience with the Philippines has made us one of the leading offshore service providers in the country. If you wish to begin your offshore journey with us, feel free to contact us today.
Last July, Diversify took a different approach to their usual monthly huddles. For three weeks, Diversify employees were invited to live green and take part in a themed huddle that introduced a brand new company wide initiative. Not only was it a more laid back setting, but one could say it was also eye-opening and educational.
Through the weekly huddles, the management team of Diversify unveiled the Live Green initiative. In an effort to make the company more environmentally conscious, the huddle organizers outlined some first steps of the initiative and what Diversify will be doing. During the huddle, the hope was that all Diversify employees would start making better eco-friendly changes for the betterment of future generations.
Life with Less Plastic
To kick off the initiative, it was announced that Diversify would be reducing its consumption of single usage plastic items. For the month of August, employees could expect to see a how plastic is used and disposed of in the office. For instance, following the initiative meant saying no to plastic bags and yes to reusable bags. Though not something that happens overnight, the gradual shift to less plastic usage helps Diversify employees become more environmentally aware.
In order to further this message, the huddle organizers put together a small video packaging highlighting the benefits of using less plastic. Not only does it mean a healthier lifestyle with less plastic, but there are also come cost saving benefits that come with it. Most of all, it encourages everyone that their own small actions have a large impact in making the world a better place.
As a way to encourage the reduction of single use plastics, the huddle organizers gifted all Diversify employees with their own metal straws. After talking about what the reduction of single use plastic straws can do, employees were free to use their new straws both in and out of the office.
The First of Many Live Green Projects
The reduction of single use plastics in Diversify is just the start of a bigger environmental campaign. In the coming months, there will be eco-friendly projects to unveil that will instill new habits among Diversify’s employees.
From trash segregation, better energy conservation and recycling programs, the Live Green initiative will be spread out over the next few months as Diversify becomes more environmentally conscious.
Following Diversify’s Core Principles
It was certainly confusing at first for some employees why July’s huddles focused solely on environmental issues. As the organizers explained, the Live Green initiative is deeply rooted in what Diversify stands for. When Diversify becomes more environmentally conscious, they show respect and understanding to their surroundings and the people around it. By making an effort to see these changes as a company, they embody the excellence that Diversify has consistently strived to produce. These are the core principles Diversify is founded on.
Although a much different huddle, there was a sense of excitement in the air among Diversify’s employees. By the end of the huddle, many had become aware of what they can do to help the environment in their own unique way. Through this collaborative effort, Diversify’s Live Green initiative is well on its way to becoming a success.
Some of the most successful companies today are no stranger to the advantages of outsourcing. As a constantly evolving business strategy, modern outsourcing has become a favored approach for companies of all sizes. With businesses becoming more global and interconnected, outsourcing has helped them stay competitive amidst a constantly shifting landscape.
Of course, acceptance of outsourcing cannot happen overnight. New, bold business methods will always have some level of pushback from those comfortable with traditional approaches. Even the most effective strategies developed may be seen as unfavorable when they are not implemented properly.
Today, modern outsourcing is more hands-on. Rather than working for companies, outsourced teams collaborate with them, acting as an extension of your local team. This means freeing local resources and cost savings, making way for more value adding opportunities opening up locally.
An Outdated Method
When looking back at the outsourcing controversy from the Royal Bank of Canada in 2013, many experts admit that avoidable mistakes were certainly made by RBC. While outsourcing does mean sending functions overseas, its purpose could have been communicated much better. By gaining a better understanding to outsourcing, its real impact could have been analyzed and anticipated better. By RBC’s own admission, they acknowledged their lack of sensitivity and worked to offer job opportunities to those affected.
As a silver lining, RBC’s actions also led many employers to reevaluate their use of an outsourced workforce and understand what it meant to use them.
Where Outsourcing is Today
Plenty has changed with outsourcing since then, with the development of better technologies and communication tools. This also means a change in how outsourcing is viewed and managed by companies today. Gone is the traditional definition of assigning mid to low level functions to a team based overseas. In its place, there is a growing need for a more qualified, cost effective workforce that can handle different functions across many industries.
Canada is certainly no stranger to the challenges outsourcing brings, but it has also reaped much more from the benefits it has brought. Through its constant evolution, outsourcing methods have become more effective and more specialized, showing the importance of flexibility and better management. By taking advantage of the new, modern outsourcing approach, businesses can get a leg up and compete with others on a global scale.
The Benefits of Modern Outsourcing
When businesses adopt a modern outsourcing approach, it means that they get to work on a smarter level. Additionally, it will help them focus on better strategies that prioritize cost, growth and efficiency. Canada has seen an increasing number of enquiries from companies searching for these diverse and productive workforces, as they have become aware that outsourcing is not what it used to be.
Some businesses still view outsourcing as it was 5-10 years ago. The traditional approach of recruiting a provider to manage low-level functions with minimal input has certainly proven itself to be a good cost-cutting strategy. IT outsourcing in Canada for instance continues to be reliable approach for some.
However, times have changed and so has the way we do business. Thanks to our interconnectivity and advances in technology, it is much easier collaborate with teams that can provide quality work at reduced cost.
To stay competitive, businesses need specialized workforces that can handle more major roles. This means tapping into the potential of a highly skilled talent pool that can take on these functions and operate on the highest level, all at a reduced cost.
This modern approach to outsourcing also means being more hands-on and managing your team member’s roles, responsibilities, even career trajectory. In effect, they become an extension of your local team, aiding in your business growth and expanding your own global presence.
No Longer a “Set and Forget” Process
One of the biggest pitfalls traditional outsourcing had was that companies gave nearly free reign for their providers to manage their teams. It sometimes meant shifting priorities on the fly and immediately recruiting and replacing team members just to meet their objectives.
To get the most out of modern outsourcing, it starts with effective management of those you will recruit to your team. Proper training, constant engagement, and your own local input can make all the difference for you to find success. While it does entail more time and responsibilities than traditional outsourcing would, your business will stand to benefit greatly in the long run.
Looking to the Philippines
It’s no secret that Canadian businesses have found success with traditional outsourcing. By changing their view and adapting a more modern approach, we can definitely see more businesses of every size find the same level of success as their predecessors did. Much of this is predicated on finding the right offshore provider to work with.
The Philippines has emerged as one of the major players in modern outsourcing. This should come as no surprise as outsourcing and the BPO industry is the second biggest contributor to the country’s GDP. The Filipino talent pool is incredibly deep as a result of this, boasts a 94% English literacy rate. Many global companies have called the Philippines a second home for their business, largely in part to their use of the modern outsourcing model.
The quality of work provided by the Filipino workforce is second to none. What’s more, collaborating with a modern outsourcing team in the Philippines means even better cost savings. This provides Canada many opportunities to outsource different functions beyond the usual healthcare and IT industries we often outsource to. Finance, retail, fast food and construction are just some of the industries today that recognize the need for a modern outsourcing strategy.
Partnering With The Right Provider
In recent years, we’ve seen an emergence of more modern outsourcing providers that can help businesses realize their objectives. These providers live and breathe the modern outsourcing trend and have rooted themselves in countries like the Philippines to fully tap into their potential. Modern outsourcing requires a deeper commitment than traditional outsourcing, but the right provider will ensure businesses have a seamless transition into adopting it. Although it’s possible for trends to change over time, partnering with the right provider will guarantee you are ready to take on and adapt to any challenge that comes your way.
By properly considering the different factors that go into partnering with a modern outsourcing provider, companies of different sizes will be able to leverage themselves into global competitors. For Canadian businesses, there hasn’t been a better time to adapt this more modern approach than now.
The retail industry is experiencing a beneficial yet challenging transition. With more retailers going digital, online shopping has become more competitive. This means knowing a little bit about everything in the digital space and going beyond what it traditionally means to be a retailer. Some of the most successful companies today see what it means to adapt current business trends to their advantage. They know how to make the most of their business without spending too much.
This is where offshoring comes into play. With more retailers looking at a bigger global presence in today’s online landscape, staying with the trend has become more important than ever.
What Retailers Need To Know
Many retailers may be thinking that offshoring roles are the typical ones that appear in the news. It’s true that retailers can benefit from offshoring their customer service and administrative tasks. Delegating these functions will certainly contribute to further productivity and efficiency in their operations.
However, offshoring is now not just limited to these roles. With the ever changing business landscape, the need for more specialized, highly trained roles has become a priority. This has resulted in wider markets, better brand awareness, and a stronger presence online for many retailers. Through proper implementation, many in the retail industry have become aware of the potential offshoring teams have as they take on important roles and collaborate with their local teams.
In other words, if you still haven’t considered offshoring to help your retail business, there’s no better time to start than now. Let’s look at some of the roles that you will be able to offshore.
More and more finance roles are being sent to offshore teams. These roles have ranged from accountants, analysts, bookkeeping and overall financial administration. Whether they’re a medium, large or listed business, the retail industry can take advantage of offshored financial roles. The cost savings incurred would be significant compared to what they would hire locally. The most experienced retail companies today see where the current business trends are going, including offshoring.
The very idea of offshoring such vital roles would have been unheard of only a few years ago. Letting an offshore team handle a company’s financial responsibilities might have even been seen as taboo. However, offshoring has shown that any of the roles listed can be handled at very high levels. Today’s technology has made it easier for people to communicate and collaborate better regardless of where they are in the world. That is to say, if you haven’t thought about hiring an offshore accountant, your competitors may already have.
When you think about the retail industry, you don’t normally associate it with IT roles right away. In fact, many retailers would probably say that handling the backend of their website isn’t in their priority. However, this line of thinking needs to be changed, especially in the current business environment.
Part of the success of retailers like Amazon and Loblaws is their understanding of ecommerce’s impact in today’s society. They see the real value of establishing a strong online presence that allowed them to scale their businesses based on consumer demands. In order to do this, they needed a strong back office support from an IT team to handle different channels of their businesses. Through regular maintenance and data handling, an offshored IT team allowed them stay competitive at a lowered cost.
With your website in place, your retail business will no doubt need leads and traffic that will direct people to it. This is where a smart marketing team becomes effective. Their understanding of trends and consumer behavior shapes the strategy and direction your business should take. This is especially important in the retail industry, where there are numerous specialized interests that can be catered to. Through smart content distribution, your marketing team can be a dedicated source of asset creation that ranges from blogs, research papers, infographics and even short video presentations. In turn, you retailers can turn browsers into potential buyers.
The content and direction online that a marketing team can create is vital to any retail business. Working with them also does not need to be a costly endeavor. Many industries have espoused their satisfaction of working with an offshore marketing team, and these benefits can also be carried over into the retail industry.
Working With The Right Provider
It’s certainly an exciting time to be in the retail industry. With more tools and technology in place, businesses can reach more customers than they previously could. We’ve seen already how major companies have utilize offshore teams to their advantage by assigning them mid to high level functions they can manage.
Diversify continues to work closely with clients in the retail industry and we understand their different needs. Through a collaborative process with us, our clients have produced strong results and have been able to free up resources for further ventures. Drop us a line today to start your offshoring journey.
As technology continues to advance at a rapid pace, the need for traditional approaches becomes less prevalent. Stories of the rise of artificial intelligence or AI in the workplace have become more and more prevalent. This is both an exciting and cautious time for the offshore outsourcing/Business Process Outsourcing (BPO) industry. We previously predicted that it would be the trend to watch out for, together with the decline of the traditional call center. Though this does mean automating plenty of low, entry level functions, adapting automation puts businesses in the forefront of trends and ahead of their competition.
The Philippines, in particular, has been preparing for this major transition. After all, the BPO industry is poised to become the highest part of the country’s GDP within the next five years. We’re seeing different voices in favor of automation, while others see the future effects on the Filipino workforce. Let’s take a look at some of the insights presented.
The Rise of AI
Even on a surface level, most people are aware of what AI can do for any business. The successful implementation of AI in the BPO industry in particular would mean a massive increase in productivity. Menial and repetitive tasks such as administrative work can become automated, allowing for the allocation of resources in different areas of focus.
The Philippines remains cautiously optimistic with the implementation of AI. Lawmakers understand the concerns brought about the possible loss of jobs and how it will affect the overall business climate. They assure companies that AI would “compliment” current technologies rather than replace them outright. Furthermore, experts encourage further training and upskilling in special areas as these are areas that need to be strengthened. Experts in the Philippines also predict that automation will gain major traction in the next three to five years.
The Drawbacks To Come
Still, skepticism around fully automating functions in the BPO industry still remains. The concerns surrounding it are not unfounded either. The biggest issue being what it would mean for employment. While some see the implementation of AI as an opportunity, others see it as a threat to their livelihood. Despite the assurance from the government, fully automating processes with AI would mean losing over 1.3 million jobs in the Philippine BPO industry alone. If companies are not able to provide alternatives for their livelihood, it becomes detrimental to the industry and the Philippines as a whole.
Additionally, we are already seeing some of the problems that automation has brought to some major companies. YouTube, for instance, caused a stir among its most prolific users with the demonetization of different videos due in part to buggy automation. Facebook’s automation problems are also well documented, with some writers observing it as both a blessing and a curse. Few have observed that AI’s biggest flaw comes with being unable to properly address context with the content being produced. Errors as a result of automation, especially on a major scale, have had unintended consequences.
Finding The Balance
Human interaction is an indispensable asset to any business and in many ways, forms its heart. For all the convenience AI can bring, many people still prefer a “boots on the ground” approach. As Sudhir Agarwal, CEO of Everise, stated “people like talking to people, not machines.”
The BPO industry is never one to shy away from new technology, and AI is no different. If companies are able to take advantage and the quality of work that comes out of the Philippines, they will no doubt have an advantage in the coming years. Part of what makes it such a resilient industry is its ability to stay relevant together with emerging trends. The Philippine workforce has proven again and again it is able to overcome challenges in order to produce quality, world class work. Companies are now seeing both the importance of AI, and the significance of upskilling their workforce. Much like offshoring, the implementation of AI is set to create more jobs rather than decrease them. Slowly but surely, more companies are accepting the next step in a constantly changing business landscape. Those that recognize this are now finding the right balance with new technologies and the people behind it.
Like any business strategy, offshoring is not without its challenges and issues. If applied incorrectly, offshoring can result in a negative experience, with companies not realizing what it can fully do. Many horror stories surrounding offshoring mistakes often come as a result of mismanagement or insufficient knowledge about what it does. Awhile back we looked at some common offshoring mistakes that companies often make. Since then, we’ve seen some improvement in some aspects, while also noticing new concerns that should be addressed.
Avoiding Common Offshoring Mistakes
The offshoring of key functions to reliable providers continues to show itself as a proven business strategy. Companies see the real value of sending functions of all levels to teams that they are wholly responsible for. Getting an idea, therefore, of what offshoring means is also being aware of the limitations it can create. Many of these may sound obvious but even some very established companies have overlooked some of these factors on occasion.
Overlooking Due Diligence
Due diligence is important for any professional collaboration, not just with offshoring. Your grand ideas and visions for a more global presence can certainly be helped with an offshore team. However, without making due diligence checks on potential providers, this can have more negative consequences before you even get started.
Companies that want to offshore need to maintain a level of diligence when they consider their provider. No matter how confident companies might be in the integrity and output of their chosen provider, they still need to conduct due diligence to see if they are indeed up to the standards they have set for themselves. From the quality of talent to their chosen location’s infrastructure, due diligence is an indispensable part of the offshoring process. Once in place, companies can begin to look at other factors that could affect their offshoring experience.
Impatience with Implementation
Offshoring’s unique cost saving approach is what many businesses consider its greatest benefit. So much so that some companies want their strategies to get off the ground as soon as possible. However, doing so many increase risks and could become a very costly endeavor in the longer term.
The reality is that offshoring is not something that can happen overnight. We’ve talked about how businesses need to be patient with the offshoring process. It will require a deep commitment that will cover the professional and personal development of your offshore team. In fact, we believe that it takes companies at least a year to see what offshoring can truly do.
Before any company undertakes an offshoring strategy, they need to ask themselves if they are ready for the long haul.
Not Prioritizing Visibility
One of the clear differences offshoring has from something like outsourcing and freelance work is in collaboration. Your offshore team acts as an extension of your local team and is as vital to your success as they are.
Unfortunately, this is still something that is overlooked. Offshore teams are sometimes seen as a group of people working abroad at a lowered cost. They are not closely involved in the company’s strategies and are only engaged with when needed.
This is why it is important that all teams – local and offshore – are kept in the loop on daily operations. Doing so develops team engagement, which is important if you want to achieve success on a global platform. Leaving your offshore team in the dark may cause a drop in production, affecting your company’s overall morale.
Unclear Roles and Responsibilities
It’s often challenging for businesses that offshore for the first time to make a seamless transition into it. What offshoring covers can lead to confusion from people not knowing what their future roles will be. You may have an idea of what roles you are looking to offshore, but your team may not fully grasp the scale of their new responsibilities.
This doesn’t just mean your offshore team. Your local team will also be affected by the transition period. If they are not aware of their new responsibilities and collaborations, something as simple as time zones could lead to some initial problems. Good offshoring providers stress the importance of clearly defining roles and working with a set timetable to make sure everyone operates on the same wavelength.
A Lack of Proper Strategy
We’ve made it clear that offshoring is a major business decision that needs to be seriously considered. Given this, a lack of strategy or proper management will result in major consequences. Companies that adapt offshoring without looking at its lasting effects can have a negative on the objectives and responsibilities it set for itself. When properly adapted, a good offshoring strategy will give everyone ample time to prepare for changes, whether major or minor, that are about to happen.
This leads back also to proper management. Even if they are not present locally, you will not get the most out of your offshore team without ongoing management. Sure, it might feel that the work itself might be out of your hands locally, which can lead to some concern. Through proper and consistent management however, companies not only can rely on their offshoring provider, but they also help build stronger working relationships between teams. As we stated earlier, the work that offshore teams do should not be seen as less important in spite of being located in another country.
Collaborating with the right provider
Whatever the size of your business is, there’s an offshoring strategy that’s ready for you. Committing to a major decision like offshoring can seem difficult, but the right providers know how to make it a seamless transition for everyone involved. By being aware of the common mistakes surrounding offshoring’s implementation, you also get an idea of how to ensure you are getting the most out of your teams. As one of the leading offshoring providers in the Philippines, Diversify is committed to ensuring that all current and future clients avoid making common offshoring mistakes that have plagued others.