With increasing labor costs and other overheads, especially during COVID-19 pandemic, more and more organizations are outsourcing their business processes. While there may be enough local staff, finding the right skills may be a challenge, an option to solve this problem is to outsource. With that being said, the gig economy, particularly the freelancing websites, is very popular today and prides itself in catering to all types and sizes of businesses. The concept behind this term ‘Gig Economy’ is the availability of workforce for specific business processes instead of handing over the entire project. Companies go for short term gigs to avoid labor cost on permanent employees. These short term responsibilities may relate to any field or area- from marketing to website, payroll to accounting, bureau services to document management and so on. Why Not to Go for Local Staff? You might ask why is it necessary to outsource if the companies already have a local staff at work. Well, there a number of factors behind this decision. First, is the flexibility and versatility of skills and expertise, which local staff doesn’t usually have. For instance, if a company already has an IT team with without networking experience, then there is no better option but to outsource the task. The best part of outsourcing over working with local staff is the reach to skills available in the entire world. There are no limitations or boundaries to recruit workers. If they possess skills and expertise and desire to work for the company, it doesn’t matter where they are from. Next is cost reduction, which is one of the crucial things for a company on a budget. The company just has to create a job advert, wait for remote workers or teams to apply, interview the appropriate matches and pick up the best one to get the job done. There is no need to arrange all resources and workforce. Is it Necessary to Outsource Business Process? Practically, there are two reasons for outsourcing business processes – companies cannot always hire new local staff for short-term or seasonal requirements or there is limited funding for infrastructure and other resources. So, outsourcing to such the ‘Gig Economy’ that specializes in the respective field is a great option. Not only are you assured of finding the right fit but you will also see incredible reduction in their overheads. However, the important fact is that these short-term services are not always worthy of the investment. The demand for work usually fluctuates and this is when local staff comes to the rescue. Freelancing is a huge market that is still growing over time. For some organizations, it works as the blessing in disguise because of its global reach. Unlike the local staff, which is limited to a certain area and possesses specific skills, the gig economy promises to keep the clients satisfied no matter where and how they want tasks to be done. In short, gig economy is the source of getting specialized assistance from anywhere across the world. Organizations are no longer required to carry out recruiting processes to meet their short-term work requirements. All you need to do is to find the right platform for the availability of third-party organizations and see the results.
