Small businesses can find big benefits in offshore outsourcing, top call center executive says

Online, September 25, 2009 (Newswire.com) - Small businesses have one good reason to think "big" and act like one.

Offshore outsourcing continues to level the playing field by providing this new breed of entrepreneurs access to the same economies of scale, efficiency and expertise that big companies enjoy.

The benefits of offshore outsourcing (to small businesses) are great, said Fred Chua, CEO of Magellan Solutions Outsourcing Inc., a growing Philippines-based call center which caters to SMEs, entrepreneurs and professionals around the world. "We've been focused on delivering the results they wanted despite some economic factors."

Chua understands that small businesses have limited resources, with owners having limited time and attention. According to the US Small Business Association, an average business owner spends 40 percent on routine administrative tasks. "Business owners themselves spend a huge chunk of time finishing tasks that do not contribute to profit margin. Outsourcing allows them to focus on their core business resulting in work that serves the customer effectively."

But small businesses are yet to appreciate the advantages usually enjoyed by bigger organizations. Chua enumerates the benefits of an effective outsourcing for small businesses:

SAVES MONEY AND TIME. Outsourcing allows businesses to dramatically reduce costs on every aspect of their business and eventually increase profits. Call center services in an offshore location like the Philippines can help companies save up to 50-60 percent of the original cost. Chua specifically mentions outsourcing as a cost-effective strategy that also enables businesses save manpower spending, infrastructure and other expenses. More than ever, outsourcing can help them devote on their core business by investing in equipment, technologies, software and other things that can expand their operation.

SAVES OVERHEAD EXPENSES. The company needs to enlarge when it expands production. This effect slows down the efficiency of the business and adding extra cost. Outsourcing can save overhead costs and can add extra staff without having to increase the office.

CONTROLS CAPITAL COST. Outsourcing puts the money in the right places, avoiding expenses especially in the early stages of the business. "It also makes the firm attractive to investors, permitting business owners to increase more capital directly into revenue-generating activities," said Chua.

ENHANCES RISK MANAGEMENT. In every business, there is risk such as change of markets, competition, government regulation, financial conditions, and emerging technologies. Offshore call center providers like Magellan Solutions can manage this risk as they are adept at avoiding those risks. Outsourcing allows them to control over results in various areas, including control in reliability, cost variability improvements, effective implementation of ideas, cost-cutting, and more importantly, the ability to plan.

INCREASES EFFICIENCY. With outsourcing, the non-core business functions can be performed by an offshore call center. The business can now concentrate on its competencies. Magellan Solutions, to date, offers outsourced inbound and outbound services for clients in different industries. Magellan takes care of the other function and thus offers operational efficiency.

KEEPS YOUR BUSINESS COMPETITIVE. Businesses encounter situations when they have too many clients and not enough time. Outsourcing providers can take on more projects without worrying about budget overstretching.

Chua said it is important to choose the right partner to fully enjoy the benefits of offshore outsourcing. Magellan Solutions presently serves eight clients, some of which have been with the company since its establishment in 2005. "Our business has remained steadfast to provide superior value to customers - that's our core mission. Once small business owners have decided to enjoy business growth through outsourcing, we'll be glad to develop an outstanding outsourcing campaign for them."

To see how offshore outsourcing can benefit small businesses, visit www.magellan-solutions.com.

ABOUT MAGELLAN
Magellan Solutions Outsourcing Inc. is a highly dynamic Philippines-based contact center offering a wide range of services to small-to-medium businesses, entrepreneurs and professionals worldwide.

Starting in 2005 as a purely inbound call center, Magellan became highly diversified, servicing both outbound and inbound after a few months of operation. At present, the company provides call center services including inbound and outbound calls, business process outsourcing and non-voice.

Magellan is currently staffed with 250 employees in the company's 300 seating capacity, and growing.