Technology company outsourcing

The tech industry has done so much for the global economy. Technology companies shaped the ways everyone works, including communications and consumer behavior. Some even became household names such as Slack, Apple, and Microsoft.

This advancement became possible thanks to outsourcing. It has brought a lot of benefits to the technology industry in that it helped businesses reach their global consumers better.

Even with the rise of automation, tech businesses continue to outsource their roles to increase the value of their services and keep up with the trends.

Why do technology companies outsource?

Technology companies outsource for different reasons.

Lower costs

The operational costs in countries such as the Philippines, India, and China are relatively lower than in more developed nations. 

Thanks to massive government support, these destinations can provide high-quality services, optimal infrastructures, and tax benefits to companies delegating technology work.

World-class expertise

Offshore destinations produce high-quality workers from top universities and workplaces in their area. Equipped with the skills needed, they are trained and ready to work with startups and enterprises to innovate their services.

New markets to reach

Outsourcing also gives opportunities for technology companies to tap into new markets. They can learn more about their consumers, their behavior, and preferences more easily since they can directly tap remote employees from the area.

Outsourcing innovation for technology companies

While experts still debate whether businesses should outsource innovation, technology companies are already doing so. 

By delegating innovation to offshore countries such as the Philippines, they get to increase product quality and make them suit the global consumer’s taste. This move even resulted in cost savings, higher profit, and a shorter production cycle for their products.

Some of the most outsourced innovation roles include research and development, information technology (IT), and software development.

Other outsourced roles

Aside from innovation, technology companies outsource the following roles for their convenience.

Data entry

Automated functions still need human labor that will supervise them. Along with other administrative functions, technology companies use data entry to improve machine learning, making their systems more efficient.

Outsourcing data entry makes it easier for them to handle this task. Tech startups won’t have to waste their time focusing on data entry for their business, making it more valuable.

Digital marketing

Technology companies should not miss out on expanding their audience base. They need to target the right market and generate bigger leads to make it work. 

As a solution, tech companies usually outsource marketing to small firms or BPOs offshore. This helps them cost-effectively hire top marketing teams, further increasing their ROIs.

Recruitment

The tech talent gap is even more prominent than in any other industry – it is said that this is one of the biggest barriers to the adoption of emerging technology. This is why companies should be equipped with the best talent acquisition team to maximize their talent pool.

Delegating recruitment processes helps them overcome this gap. They will have access to a vast talent pool onshore and offshore, making finding suitable workers for their roles easier..

Human resources

With the increasing employee demands and expanding workforce, they need to ensure that each of their needs is still taken care of. 

They can delegate human resource functions to offshore teams that will take care of employee management for them. They will handle everything from training, onboarding, to performance management and payroll to help decrease turnovers.

Top BPOs for technology companies

Most successful technology companies are complemented by service providers taking care of their operations on their behalf. 

Getting the right outsourcing company can be challenging for first-timers in the BPO industry. However, they can overcome this with the proper planning, education, and advisory service by their side.

Outsource Accelerator is the most reliable outsourcing advisory and marketplace for companies of all sizes. We have a comprehensive directory of more than 2,500 BPOs from top destinations like India and the Philippines.

For those learning about outsourcing, we also list over 5,000 articles, outsourcing videos, and 350+ podcast episodes as educational content.

Outsource Accelerator helps businesses connect with the top BPOs suitable for technology roles. To start, check out the Top BPO companies guide here.