Data is perhaps the fastest growing and the most critical asset for most companies. With the rise of Big Data compression and proper management have become vital for businesses worldwide. Research shows that organizations spend 70% of their work input on operational improvement focusing on their data entry.
Alarmingly, one out of two companies went down due to ineffective data management, making apparent the critical need for proper data handling. As companies and organizations have started focusing more on data, the offshore data entry market is also expected to grow at an annual rate of 6.01% till the year 2027, which reflects a growing demand for companies who can specialize in effective data handling.
However, as companies start outsourcing more, it is important to know when and how to use these services efficiently.
Companies tend to experience high amounts of data entry work during big projects or deadlines during which they seek external help. Moreover, when your internal teams lack the required skill set or type of technology to manage data effectively, you can consider outsourcing which gives you access to a skilled workforce.
However, to efficiently outsource a specific function, organizations need to follow these steps for a seamless experience with the data entry service provider -
Broadly define the nature of the task to be outsourced, for example, online and offline data entry, image data entry, or data entry for online eCommerce product catalogs.
Identify potential outsourcing data entry services agencies that have the experience as well as the required competency in the market.
Set goals that are realistic like reduced costs, increased accuracy, or reduced focus on operations.
Outsourcing of data entry has several good reasons -
Business organizations can save as much as 40% in operating costs, as there will be no need to pay full-time staff or invest in costly technologies. This allows for a reallocation of resources to core initiatives.
The division of labor necessitated by outsourcing mundane works allows workers to focus on productive high-value tasks that foster growth and innovation, with productivity thus restored to around 40%.
Data collection and processing and management firms are manned by people with higher skill levels in data processing, thus enhancing the functionality of the processes. It is especially advantageous for industries like banking and finance where there is a need for accurate data on processes.
With the assistance of outsourcing, firms can change service levels quickly in the face of unpredictable demand without being bound by any permanent and contractual reserves.
Identifying an outsourcing company is one of the important steps before you finalize a collaborative agreement. First and foremost, determining the requirements for data entry is necessary. Contact suppliers and compare their quotes, services, and technical capabilities.
Be specific on what service level you expect and put in place KPIs that can be used to follow performance. Also, assess the communication methods and services offered by the provider and see whether they suit your organization.
Know whether the cost structure is based on the project or hourly so that you will be able to know whether it is within your range.
It is pertinent to understand how the organizations outsource their several activities to offer quality assurance. For instance, they should use sophisticated quality assurance frameworks, integrating Six Sigma methodologies and Total Quality Management (TQM) practices to minimize defects through rigorous process monitoring and analysis.
It is worth knowing if the provider possesses advanced technologies like blockchain, artificial intelligence and robotic process automation that increase productivity and security features.
Outsourcing takes care of any growth of your business, integrating typical business activities without affecting the quality. Many outsourcing companies deploy cloud-native architectures and microservices for easy expansion.
Verify whether the vendor you are intending to hire could comply with international standards such as ISO, HIPPA, and GDPR, which are meant for the protection of such information.
In outsourcing, the selection of the right partner is paramount, which will determine your success. Below are the best practices to follow in making your decision -
Search for clients’ reviews and video testimonials about potential company's past work.
If possible, seek to hire someone with the appropriate level of specialized experience in the industry or the type of data entry that needs to be performed.
Contact several providers and ask them to submit a proposal that comprehensively describes their data processing services with the expected cost and duration for the project.
Narrow down your choices and talk to the firms remaining on your shortlist to gauge their communication and collaboration styles.
Instead of going in straight away for the long term, you can first begin with small tasks and see if the provider suits the requirements.
Outsourcing data entry tasks should not only be seen as a cost-saving strategy. Rather, this is a strategic move that increases the company’s productivity. For instance, the company can concentrate on its primary functions while enjoying expert skills, high availability, and advanced technologies.
Since there is a steady increase in the demand for data entry outsourcing services that will equal over 351 million USD by 2023, businesses should understand the need for engaging the right outsourcer partner for exigencies.
Through appropriate setting of expectations and figuring out approaches, organizations open opportunities to streamline operations and prepare for future growth in a competitive environment.