The term ‘outsourcing’ is a coinage of the expression ‘outside resourcing’ and involves the subcontracting of a business process to another party, which is a form of business organisation – in other words, those who use outsourcing, outsource corporate units or internal corporate activities to external service providers. Typically, those activities involve tasks which are not part of the company’s core competencies, such as F&A. Hence, domains such as accounting, controlling and management are more prone to outsourcing, as they want to save costs while gaining more freedom for their core business.
The advantages of outsourcing are obvious: Who outsources business processes that are not part of the core competence of a competent specialist, benefits enormously
Outsourcing – right for my company?It is suitable for all companies - whether they earn 1 million euros or over 500 million euros. Also small companies are prone to outsourcing activities, when for instance they have their accounting and balance sheet drawn up by a tax consultant. In case the company grows rapidly and binds already employees in support or financial expertise, it is important that they choose the right outsourcing partner. In this case it is important that they are equipped with the equivalent systems and offer access to online reporting.
Yes, but...Often companies have legitimate reservations about outsourcing an activity as they fear that there might be issues with handling confidential information and keeping control over their business transactions or even the assignment of their own workforce in the future. At HRV delicate data is dealt with in an absolutely professional and confidential manner and no sensitive information is ever disclosed.
Individual service - not by the numbersCompanies generally tend to argue that outsourcing implies losing track of their accounting, when in fact the opposite is true, as they benefit from new input and ideas. HRV offers their clients access on a Virtual Private Network (VPN), thanks to which they can access their data, accounts and even their business processes at all times. The user is given the possibility to login on a firewall platform (with a username and a password) and can look at their data at their own convenience.
Downsizing may not be the only answer
Even for your employees in the accounting department, outsourcing might implicate less disadvantages as it is generally feared. In fact, a structural change has a positive impact on employees’ performance, as they are able to focus on essential processes while extending their knowledge (specialisation) and working towards a goal.