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What is Outsourcing?

What is Outsourcing?

What is Outsourcing?

Outsourcing, or offshore staffing, is building a team in a new country, different to where your core business exists.

The main motivation for this is to establish a team with the skillsets you need, but in a much more affordable way. Additionally, if you’re struggling to fill a role in Australia, outsourcing expands your access to a larger talent pool than you otherwise might have.

Building an outsource team also allows you to position your organisation as having a regional hub or launch pad to a new geographic market that is otherwise challenging to service from your home country.

Your Own Team vs By The Hour or Project.

Understanding how outsourcing, or having a full time team that’s yours, differs to paying by the hour or project, is key to knowing what’s right for your business.

Understanding how offshoring, or having a full time team that’s yours, differs to outsourcing, or paying by the hour or project, is key to knowing what’s right for your business.

Your Own Team.

Outsourcing is about investing in a team that’s yours, and works very similar to your onshore team. They work a full time schedule in a location chosen by you, and operate under the organisational culture, processes and hours of your core business. You’re investing in a group of people who will grow with your business, and are there to help on a full time basis, delivering whatever’s needed to achieve that. Outsourcing is a great way of delivering cost efficiency for your organisation when you want to invest time in building a resource that’s distinctly yours.

By The Hour or Project.

By The Hour or Project is about investing in an outcome that’s delivered in a way external to your organisation. This is usually project by project basis – where you pay for a defined result rather than a team members time. You don’t build the team, and the process used to achieve the outcome are separate to your organisation. Common by the hour or project methods are engaging Freelancers via different freelancing websites. By The Hour or Project is often a great first step to trying out the global team model, without the commitment to building your own team.

Both work have pros and cons – and really can be run simultaneously if the business needs it.

Selecting A Country That Works.

Many countries throughout the world are now becoming hubs for global teams, due to their cost competitiveness, deeper talent pool and ease of geographical access.

Select the country that’s right for you primarily depends on time zone alignment, proficiency of language spoken by your existing team, and availability of skillsets needed by your organisation. For Australia, commonly chosen options are India, the Philippines, Vietnam & South Africa.

India Philippines Vietnam South Africa
Average Time Difference
Between Australian East Coast GMT+10
- 4.5 hours - 2 hours - 3 hours - 8 hours
English Proficiency
As rated by EFLearning
Moderate: #34/100 Countries High: #20/100 Countries Low: #52/100 Countries Very High: #6/100 Countries
Skillset Availability
  • Customer Service
  • Digital Marketing
  • Website Development
  • eCommerce
  • Administration Support
  • Graphic Design
  • Customer Service
  • Digital Marketing
  • Website Development
  • eCommerce
  • Administration Support
  • Graphic Design
  • Customer Service
  • Website Development
  • eCommerce
  • Administration Support
  • Graphic Design
  • Customer Service
  • Digital Marketing
  • Website Development
  • eCommerce
  • Administration Support
  • Graphic Design
Accessibility
Travel Time & Average Cost From Sydney
Bangalore: 13 hours 25 mins connecting $1200 return Manila: 8 hours 5 mins Direct $800 return Ho Chi Minh: 8 hours 45mins direct $800 return Johannesburg: 14 hours direct $1500 return

With only South Africa trumping in terms of English proficiency – the better accessibility, time-zone alignment and comprehensive skillsets of the Philippines is why this destination has become the most common choice for Australian organisations to build their global teams.

Managing A Team In The Philippines.

Managing a Philippine based outsource team is different to managing your onshore team, but easily achievable.

With a similar time zone and high english proficiency, getting the contact and communication you need to make it work is a given.

Additionally there are organisations, like Filta, who have years of experience helping coach onshore & outsource teams on how to navigate key cultural differences to deliver an outsourcing team that actually works.

Managing a Philippine based offshore team is different to managing your onshore team, but easily achievable.

With a similar time zone and high english proficiency, getting the contact and communication you need to make it work is a given.

Additionally there are organisations, like Filta, who have years of experience helping coach onshore & offshore teams on how to navigate key cultural differences to deliver an offshoring team that actually works.

A Team That’s Yours.

And that you can visit as often as you like.

Outsourcing allows you to build a team that’s truly yours, and you can work with, in-person, as often as you like, in a real workspace, with the organisational values that matter to you. It also means your onshore and outsource teams can meet in the Philippines, in Australia or anywhere in between, and work together as truly global team they are.

The Philippines also offers a great place to visit for you and your onshore team. With exciting places to see, eat, drink and stay, visiting your team in Manila becomes a perk of the job.

The Cost Advantage.

Compared with the cost of providing onshore office space and building a team, the cost savings are approximately half or better.

This means more resources to help focus on strategy and core client-facing functions onshore – helping build a more robust global workforce.

You can find out typical salary ranges for the roles you need filling by downloading our salary guide

Compared with the cost of providing onshore office space and building a team, the cost savings are approximately half or better.

This means more resources to help focus on strategy and core client-facing functions onshore – helping build a more robust global workforce.

You can find out typical salary ranges for the roles you need filling by downloading our salary guide

Building A Global Team Your Onshore Team Loves.

It’s natural to wonder how your onshore team will take to the introduction of a new outsource team to the organisation. Typically, getting the onshore team involved in the hiring and selection process of the new team greatly bridges the gap, and fosters instant inclusion. Additionally, providing the right training and support for cultural awareness early on in the piece, like what Filta does, helps onshore team members to feel better equipped and to embrace the experience in a more inclusive way. The immense value placed on family in some outsource cultures, like the Philippines, also gears your outsource team members to seek out.

Building a global team your clients love.

Increasingly, organisations are placing more responsibility on their outsource teams in terms of managing client relationships

Great success has been had for small businesses who have built teams that focus on taking on the customer service and challenge handling roles.

Filta has helped establish teams where clients now choose to go direct to the organisation’s outsource team for support, as they’ve found the resolution of their challenges to be quicker and more comprehensive than dealing with the business owner.

How to Get Started.

If outsourcing sounds like the solution you need, the next step is to find a provider who can help.

There’s many providers out there, all across the Philippines – each with their own pros and cons.

So find out how Filta compares:

Outsourcing Not For You?
Learn how else we can help.

By The Hour

You bring the strategy, we’ll provide the implementation. Try out a global team on a project or hourly basis.

Consulting

Assistance with a team that’s not performing, or a deeper dive into how outsourcing fits. Leverage our experience to deliver a custom solution.

Recruiting

Have a role that has to be done onshore? Access a team of global recruiters that will help you find the right person, anywhere in the world.

Want to know
more?
Get in touch.

Want to know
more?
Get in touch.