Enabling growth - lessons learnt

Outsourcing for growth needs a clear direction and a strong partnership

There is no “one-size-fits-all” solution to enabling growth through outsourcing. Each organisation, relationship and agreement is different. But if the vision is clear and if the partnership is working together in the same direction, then outsourcing can be the enabler of choice for all aspects of organisational growth.

So, what are the key learnings from our clients, industry experts and research?

1. Set the direction

Determine what type of growth you want to achieve and what role outsourcing will play in supporting these objectives.

“If you’re looking to expand your customer base, then outsourcing your customer service can deliver instant scale and flexibility to cope with increased customer demand while ensuring a high-quality service. Getting new products into the marketplace quickly requires a streamlined and flexible supply chain infrastructure which outsourcers can implement rapidly. Entering new territories can be bolstered by your BPO partner’s multi-lingual contact centres, established IT processes or cross border payment platforms.” Matthias Mierisch, Chairman and CEO, Arvato UK & Ireland

2. Focus on growth

Growth has to be an explicit objective of the outsourcing partnership from the outset, built into a flexible contract.

“If the pricing model is all about unit cost, then you won’t get the support you need for growth. By the same token, trying to make contracts so watertight that they legislate for every possible scenario will stifle the partnership’s flexibility and, as a consequence, its ability to help you grow.” Punit Batia, Finance and Accounting BPO Leader, Deloitte

3. Choose the right partner

Clients and industry experts agree that cultural alignment and a shared vision for growth are key.

“Outsourcing is just like any partnership. If both parties fit culturally and share the same goals, then there’s great potential to succeed and grow.” Kristian Bromley, Managing Director, Firebox

Unlocking potential

With outsourcing playing a key role as a growth agent for many UK businesses, it is a sector that is becoming an even bigger contributor to economic growth.

Of the senior BPO clients that outsourced as a means to boost growth, 67% have increased profits, 53% raised sales and 30% created more jobs. No wonder that 87% will continue to use outsourcing to support growth moving forwards. Coleman Parkes Research

As a result, an industry that’s already contributing 8.5% to the UK’s gross value added (GVA), will continue to outgrow the wider economy by 4.75% per year until 2016. Oxford Economics / Nelson Hall / Capital Economics

Growing with Arvato

We apply a partnership approach, collaborating with clients to understand their growth strategies, the ultimate long-term aims of the business and how we can help achieve them – whether that’s by increasing revenue, extending their customer base, entering a new market or growing existing market share.

By supporting ambitious BPO programmes across the private and public sectors, we’ve expanded together with our clients and as a result have grown 20% on average and doubled our headcount in the UK and Ireland over the last five years.

If you’d like to hear more about how we could support your growth strategy, please get in touch via email at: openoutsourcing@arvato.co.uk