When challenges can be transformed into opportunities.
With the Covid-19 crisis affecting the global economy and thousands of businesses worldwide, companies need to adjust budgets, to be more flexible than before and to adapt to these unprecedented times. Some industries are adapting to the changes quicker than others thus managing to continue working without interruption because of the economy in collapse.
Some of the major changes the global pandemic has led to are listed below:
- BPO services turned out to be the most flexible
Traditional outsourcing services such as manufacturing experienced serious delays, and many stopped their processes because of lockdown restrictions. BPO companies optimized their processes in times of Covid and have become more flexible, thus reacting in a quick manner despite the challenges. The sudden switch from physical offices to remote work without lowering the satisfaction levels of both employees and clients was a challenge which was successfully handled. The crisis is changing the way of communication and process management of BPO companies. All the tools and the technology used had to be adapted to make sure that the work flow continued without interruption.
- Considering new outsourcing destinations
Another major change which the Covid-19 led was the way businesses choose an outsourcing destination. Guaranteeing a high level of flexibility and ensuring infrastructural requirements to maintain services when offices are closed was challenging for most of the low-cost outsourcing destinations. The most popular country for outsourcing in 2020 was India, according to the Tholons’ 2020 Global Innovation Country Index. However, more and more Eastern European countries are now considered by companies as attractive destinations because of business continuity, outsourcing operational maturity in characteristics such as:
– Infrastructure – Most countries managed to demonstrate cloud adoption, while video services have become the new way of conducting business meetings. Eastern European countries have some of the best internet infrastructure and close to 100% of employees’ accommodation has all conditions for remote work.
– Talent and skill – With remote work, companies are now able to easily hire talent from across the world and thus become more opened to managing outsourced teams.
– Flexibility – Digital innovation was something many Eastern European countries managed to quickly adapt to.
The European countries emerged as preferred outsourcing destinations in 2021 with their qualified technical resources, while established destinations like India have experienced constraints in terms of infrastructure which has made the business environment more complex to manage.
Countries like Bulgaria have a well-developed Internet infrastructure and outsourcing operational maturity. This is crucial for the outsourcing sector because processes should always run smoothly and without any disruption.
- Greater need for ITO services
Due to the shift to home office, many questions related to data security were rising. IT outsourcing has been another highly demanded service due to safety concerns of the companies’ data being put under attacks. The need for cloud services was also present which is why more companies have turned to ITO partners during the Covid-19 crisis.
Despite the negative global impact of the pandemic, the outsourcing industry has completely transformed in a way that embraces flexibility and resilience. What is more, in 2020 alone, 65% of enterprises were likely to make more investments in the field of BPO services which has contributed to the overall growth of the industry.