INSIGHTS

OUTSOURCING 2020

In today's day and age, outsourcing has certainly has certainly revolutionized the way businesses operate. Initially when outsourcing took the world by storm, it was restricted to functions such as payroll process and data entry. It later went on to include the customer service operations market, bringing outsourcing to the forefront with more and more corporations taking notice.

Today payroll outsourcing has become a key business strategy for both small and large corporations who believe in devoting 100% to their key business operations and outsourcing the rest to payroll vendors. While most companies across various industries swear by the advantages of payroll outsourcing, the debate still continues over its long-term sustainability.

From startups to large enterprises, payroll outsourcing continues to be a choice to gain competitive advantage in the business scenario. Businesses are moving over to multiple platforms - cloud, social, mobile etc., stakeholders are getting geographically distributed; in such a disparate environment, payroll outsourcing has been able to conveniently adapt to rapidly changing business environments.

In the current business scenario, it is all about "outsource and survive", and efficiently staying ahead in the competition.

Payroll Outsourcing Trends for the Future:

Outsourcing relationships are now more standardized, and process and people driven rather than price driven. This change is believed to level the playing field for outsourcing vendors.
Cost pressures will pave the way for custom outsourcing contracts that are flexible in their scope of delivery.
Small businesses and startups will witness a higher adoption of payroll outsourcing in order to reduce the operational inefficiencies and increase their time to market.
More high-end critical business functions will be outsourced in the next decade.
As businesses move towards cloud outsourcing; support and development will increase.

So will payroll outsourcing survive in years to come? YES. Outsourcing will continue to survive in the future, as it provides companies the access to specialized skills and save on time and effort, which can be channeled into the other core business ventures.

Insights by Propay Partners.