Business

Published on October 30th, 2020 | by Bibhuranjan

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Primary Benefits of Rural Outsourcing

Rural outsourcing is also known as outsourcing or domestic sourcing. It involves sending work to service providers who live in rural areas where the cost of living is lower. It’s alternatively used by companies that need to avoid negative aspects of outsourcing to significant countries such as India and China. These companies know that this is a cost-competitive alternative.  Large and small companies can find IT service providers, at a lower cost in rural communities. Some tangible and intangible benefits accompany domestic outsourcing.

Security

The data of any company is a crucial asset. Over the past few years, there have been several data breaches of companies working with foreign companies. Most domestic outsourcing is fitted with security features such as hardware VPN access, 24/7 monitoring. Also, they are strict about physical access guarantees and have lots of CCTV feeds. They are less likely to be interrupted by terrorist attacks or geopolitical events; thus, such companies enjoy smooth production.

Cost-Effective

Companies that outsource talent to rural areas enjoy benefits, including transparency, ingenuity, innovation, and team culture, while spending very little. Resource providers pass the low cost of real estate, wages, and living to their customers associated with rural areas. Looking at wages alone, they save up to 40% compared to outsourcing in urban places.

Corporate Social Responsibility

Many companies use the service providers located in rural areas to help such places to thrive. Sending IT talent to rural communities helps to invest in them through donations of time and money to sports teams, schools, etc. Several companies depend on these rural service providers to help them create jobs in rural areas. Not only does this benefit these companies but also all those involved.

Closer to Home

When service providers work in rural areas, proximity is everything. It saves companies much time and money because it’s easier to catch a plane to meet the service providers face to face than meeting them in a foreign country. It’s easier for them to follow up on their projects so that they can go as expected. Also, IT departments are enlarging, needing more space. Domestic outsourcing helps companies buy additional spaces to control capital expenditures, thus saving on costs.

Protection of Intellectual Property

Protecting intellectual property legally is crucial when using service providers to outsource a project. Copyright laws are usually ignored by countries working abroad. Though breaching a contract is possible, it’s hard to do so in domestic outsourcing. This is because legislation is strictly enforced by companies having projects in rural communities.

Above is a guide about the benefits of rural outsourcing. Whether it’s IT service providers or real estate projects, most companies using service providers in rural communities enjoy several benefits. Security and low costs give them peace of mind in any project they set. Rural areas are also large and provide enough space where companies can set conference rooms and hold meetings. Again, a lot of time and money is saved because many involved companies don’t need to travel abroad to meet with the service providers. Projects set in rural areas are quickly inspected, and it’s hard for them to fail due to proximity. Companies should consider outsourcing as many benefits accompany it.


Photo by Austin Distel on Unsplash

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About the Author

Bibhuranjan

Editorial Officer, technofaq.org I'm an avid tech enthusiast at heart. I like to mug up on new and exciting developments on science and tech and have a deep love for PC gaming. Other hobbies include writing blog posts, music and DIY projects.



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