As the global COVID-19 pandemic drove hundreds of thousands of people around the world to home offices as “work from home” (WFM) employees, more companies started looking to deploy offshore teams in lower cost countries to save costs.
India Rep Co., a back office support services company that provides support to companies looking to outsource work, has reported a surge of interest from global corporations looking to cut costs in the midst of the economic recession created by the pandemic.
The company’s managing director, Udit Bhandari, believes the prolonged pandemic lockdowns pushed many corporations to quickly move to a work-from-home model for staff. This has freed them to explore less costly virtual back office alternatives.
“We’ve been fielding a big influx of inquiries from the decision makers of small and medium size businesses around the world looking to reduce operational costs by outsourcing their back office support functions,” said Udit Bhandari, managing director of India Rep Co. “Our clients are finding that when they turn to a virtual team in India, they can accomplish more, faster, and at much lower rates than what they might pay their own in-house teams working from home.”
Bhandari said companies around the globe are going through what he called “the biggest experiment with remote teams to date.” The outcome is that many companies are realizing remote teams open up many avenues for savings. For non-critical processes, it does not matter to these companies if the staff is based in their country or in India.
“Companies have now become accustomed with remote teams and are beginning to experiment with deploying offshore teams in lower-cost countries like India, where there is a large pool of talented, English-speaking manpower with outsourcing costs as low as $5 an hour and established BPO/KPO firms with decades of outsourcing project experience.”
Outsourcing also permits these companies to reduce management costs and their liability, which comes with hiring full-time or contractual staff locally. Other overheads such as IT costs, staff welfare, insurance, etc. are also saved.