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6 areas that companies may consider outsourcing to a third party

Why outsource when you can do it in-house? We all understand that transitioning business processes to third parties seems frightening and unforeseen. However, outsourcing can bring big benefits to your business when your company is scaling bigger and better.

The business case for outsourcing varies by situation, but the general benefits are as follows:
– lower operation costs
– increased efficiency
– access to skills or resources
– more time to focus on strategic planning

Let’s now take a look at which are the 6 areas that companies may consider outsourcing to a third party while leveraging on the general benefits:

Human Resource
Human resource tasks have the potential to take up a lot of your time, especially when your team grows. Every time you hire a new person, your human resource obligations grow proportionally. Also, mishandling your human resources (failing to pay salary on time or properly and hiring a poor employee) can cost money or create headaches.

As such, depending on your needs, you can either use a recruiter to find talent, a payroll company to process your employee’s salary or a professional employer organization (PEO) to manage their benefits.


Businesses may hire a third party to handle all company payroll functions to save time and money. It reduces the need for an in-house trained payroll employee, maintaining payroll software and always staying compliant with the updated legislation.


Marketing / Lead Generation
Other than managing the marketing entirely in-house, companies can think of outsourcing pieces of the marketing program to third party vendors. Examples are lead generation through a custom landing page or search engine optimization (SEM) and search engine marketing (SEM). Working with a third party vendor gives you access to people with technical skills on how to gain better search engine and visits to your web pages.


Solution/System need to be up to date. But what if, users have increased in large numbers and your current system prototype unable to support. That’s where outsourcing to a third-party developer company who has the knowledge to create another solution/system prototype that able to scale will helps. Hiring a developer that has the skillset will take time and money.


Tax Filling
Attitudes to tax are changing with this tax decisions are under scrutiny like never before. Filing of GST and taxes are taxing issues. By choosing a qualified and experienced third party, they are able to bookkeep your taxes, submit on time and prevent penalties from the government. Your finance team is able to better focus on AR, AP, and budgeting.


Creating a delivery network, coming up with a designated fleet and hiring the right staff to manage the delivery operations is incredibly complex. The costs associated with vehicles, hiring and managing staff are massive numbers. Furthermore, the time needed to ensure delivery operations are bitter and tedious. Instead, outsource delivery to a delivery company and only paying per individual delivery and tapping on a fully-scalable system will be a better choice while meeting customer satisfaction.


Overall, it depends on individual companies whether outsourcing or doing in-house will be a better choice. The most important when outsourcing will be to choose a qualified and experienced third party which then will be a great investment and first step towards a lower and higher-value workload.