How to Scale Your Business With Business Process Outsourcing

Generic placeholder image
Nick Herbach


This a guest post from Nick Herbach who is the CEO and Cofounder over at Spoke, an outsourcing firm focused on high growth businesses.


During market downturns, be it the financial crash of the early 2000’s or the recent contraction from Covid19, many businesses from Airbnb to Slack have still continued to scale quickly by adapting to times of uncertainty. In this situation, having to provide service to your customers without your team being centrally located.

You can still scale your business while keeping the reins on your payroll budget and hopefully this post will provide you with some guide on how to achieve this.

Many Fortune 1000 companies are able to shoulder this burden and continue to operate relatively normally due to their well established remote workforce offshore. This backbone is called Business Process Outsourcing (“BPO”). A $150 billion a year industry, BPO has been powering remote workforces solutions for the Fortune 1000 for over 3 decades. 

Here are 2 important advantages for outsourcing operations:

Cost Efficiency: Outsourced service providers can complete business processes at lower costs due to economies of scale, specialized and refined processes, and cost of living advantages globally. 

Higher Flexibility: Outsourcing functions allow organizations to use their internal resources for core competencies and essential business functions while removing a bulk of the overhead for the back office. High flexibility doesn’t mean low skill though. Just as with your current team, hiring seasoned and experienced employees while implementing proper training creates an efficient well-oiled machine. 

Smaller businesses can still make use of BPO by working with firms tailored to startups and SMB’s, such as Spoke. For those not ready to invest in a BPO, here are some tips we’ve compiled over the years from running remote teams. We tried to keep them broadly applicable so you can apply them to your work-from-home staff during this period.

Weekly huddles: Eat the frog first and go over performance from the prior week. Cover what went well, and what could use some improvement and why. Then move on to social topics, Netflix (Tiger King, the employee soccer game, etc). It’s important to always wrap up with team performance and what is expected for the week ahead. Additionally, randomly select someone different to send notes to everyone. This keeps everyone paying attention during the meeting and ensures there isn’t a meeting slide, a problem where items can get drawn out over several meetings

Culture maintenance: Force participation on Slack channels. For instance, if we’re having a virtual happy hour, have people create a poll and vote for a location. The more votes we get, the bigger the budget. 
Technology & accountability tools: Use of Trello or Airtable to automate who is responsible for what and what happens once a task is completed. There will be less face to face meetings so make these tech platforms the meeting rooms.


About the Author

Spoke is an outsourcing firm focusing primarily on high growth businesses and small to medium-sized businesses. We structure our client relationships as long term partnerships, building highly skilled and curated teams who slot seamlessly into your organization to fuel growth while retaining the cost savings traditional outsourcing provides. 

 

Related Articles

business_risks
February 24 • Risk Management Tips

How to Identify and Manage Your Particular Business Risks

No matter the size of your company, knowing your particular business risks is crucial. Some vulnerabilities are too big to ignore, potentially causing your company significant loss or setbacks. As we frequently advise, purchasing a general liability (GL) policy works tremendously as the foundation to a robust risk management plan. But what about the other

commercial-insurance-costs
January 12 • Risk Management Tips

7 Bad Practices That Hike Your Commercial Insurance Costs

It might seem like a chore to keep your commercial insurance costs low. Here are some pitfalls to avoid that will help maintain your budget-friendly goal.

December 30 • Risk Management Tips

IPO Insights: 7 Considerations for Late-Stage Companies

Preparing for an IPO can seem like a daunting task for late-stage companies — but it doesn’t have to be. Considering these tips will make the process more manageable.

insurable risk
December 8 • Risk Management Tips

What Is an Insurable Risk?

Identifying an insurable risk from an uninsurable risk is tricky. Here’s a closer look at how insurers categorize specific exposures.

tech_companys_mistakes
December 1 • Risk Management Tips

6 Big Tech Company’s Mistakes We Won’t Forget Soon

Errors, faux pas, mishaps; it’s only natural to expect them in our everyday lives. In the business world, however, these incidences make a much larger splash. The ripple effect is often devastating — and unforgettable. This post examines six mistakes that famous tech companies made and the lessons we can learn from their blunders. 1.

captive_insurance
November 24 • Risk Management Tips

When Does Captive Insurance Make Sense?

Captive insurance is popular with technology, rideshare, and on-demand companies. Here’s how it works best.