Outsourcing accounts for 22% of the formal workforce

The growth of outsourcing services over the last 18 months is quite noticeable and has become an excellent option for business owners who want to strengthen and upgrade their staff in an efficient and economical way. According to information from a report published in the Brazilian magazine Exame “the IBGE suggests that 22% of formal workers are outsourced and specialists in Personnel Management expect that this figure has a positive outlook for growth in the upcoming years.”

“Outsourcing is increasingly becoming more prominent and is helping many business owners to diversify, upgrade, and improve their staff in an efficient and cost-effective manner. In a lot of cases, there is more of an advantage to procuring an outsourcing company for financial, accounting and tax activities than to choosing the traditional route of a company hiring its own staff. In addition to the practicality and low costs, one of the greatest benefits is having extremely well-prepared professionals boasting extensive experience in a number of different industries,” stated Luiz Albieri, a Partner at Albieri and Associates.

If you want to outsource your staff or your company’s work procedures, but are still unaware of the key advantages of outsourcing, take a look at the tips we have listed for you.

1 – Less bureaucracy and less effort

One of the primary advantages of outsourcing is that, when contracting an outsourced team, the business owner will deal with fewer bureaucratic procedures than if opting to hire employees in the traditional manner. Consequently, internal costs linked to organic hiring, such as HR staff time, holiday management, absences, leaves, performance evaluations and all other associated concerns are also reduced.

2 – Prepared professionals

For example, the financial, accounting and tax areas are filled with processes ranging from more simple activities, such as bill payments, to more complex ones, such as calculating and declaring taxes, attending audits and accounting reconciliations. Bearing this in mind, when a business owner chooses to outsource part of these areas, specialized and trained professionals from the outsourcing company can be relied on to execute them. The same thing happens when outsourcing other departments. The business owner will always have a well prepared staff to perform outsourced services.

3 – When to outsource employees?

Outsourcing can be done at any time and in various areas at the company. A good practice is to identify the less strategic activities within the organization’s administrative routines, such as issuing invoices, accounting reconciliations, filling out ancillary obligations, billing, bank reconciliations, etc. Because they consume a lot of effort on the part of the staff, outsourcing these activities allows an employee’s time to be directed toward more strategic and business-related functions, generating significant benefits over time.

4 – What are the next steps for outsourcing?

Once you’ve decided to outsource employees for your company, you need to start the outsourcing process, which is very simple. Simply choose a company that complies with the new regulations on outsourcing (Law 13.429/17), has a good reputation, negotiate business conditions and you’re ready to go.

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