Staffing and Turnover Rates During an Outsourcing Transition

Tuesday, October 18, 2011

Handling the transition to an outsourced business process is rife with challenges. While properly documenting the transition and all necessary procedures is critical, it's also important to monitor staffing levels at both the service provider and the outsourcing firm.

Essentially, business process outsourcing is about hiring external, highly-skilled professionals to handle routine procedures - be it accounting, customer service or data management. Because BPO firms tend to take on the personnel requirements of such tasks, outsourcers tend to overlook the staffing and turnover conditions of their provider.

"Ideally, the contract will define the education, skills, language capabilities and levels of experience required for each outsourced position," points out Brad Lillis for Business Finance magazine. "However, it is also essential to ensure staffing requirements are actually being met by the service provider during transition."

Organizations should interview and approve candidates for positions that require specific skill sets and validate that their service providers retain such experience, Lillis adds.

To prevent a disruption during a transition, companies should conduct a careful reduction of resources needed to handle operations through the process of outsourcing a process.