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Don't Layoff Staff; keep Your Business Alive and Outsource

The benefits of outsourcing staff before and during a recession are hard to ignore, time and money.

These are worrisome times. The global economy is facing an imminent recession, and businesses are searching for ways to cut costs, streamline operations, and maximize efficiency. This past year we have seen companies like Netflix, Wayfair, and Tesla all cut costs by halting new hires and laying off portions of their workforce. Many of these same giants are changing the ways that they reach new customers and take care of existing customers because of the economic instability attached to a looming recession.

But it is not the apocalypse yet. A shrinking economy can provide opportunities for bold moves. When the competition is contracting and recalibrating, there are some time-tested levers that can lead to explosive growth. One such lever is outsourcing.

The Benefits of Outsourcing During Economic Downturn

During, or hopefully, a recession, it may seem counterintuitive to outsource revenue-generating operations. Many leaders fear that adding an outsourcer is just adding cost and overhead when they are trying to streamline and pull back investments. The fact is just the opposite! Outsourcing is a capital expense, meaning you get the headcount and/or revenue-generating team you need to grow without the detriment of taking a significant short-term hit to your balance sheet. An outsourced revenue team does not tie down the organization with added operating expenses, nor does it burden your existing teams with added responsibilities brought on by "right-sizing" operations, aka making people do more with less.

While the immediate advantages of outsourcing are well-documented, there are many benefits to outsourcing, especially when facing economic turmoil. When chosen correctly, an outsourcing partner can help businesses reduce costs, improve efficiency, and give them expertise.

Let us take a look at the benefits.

Cost Effective

Outsourcing provides significant cost savings for organizations. Look at it this way, you are an organization that runs its business in Los Angeles, where the cost of living is 90% higher than the national average, and you have an in-person employee quit; how much do you lose in that situation? In short, it is a lot—compound that with the time it takes to find and train a new employee. The cost of rising inflation on salaries, benefits, and more can make it clear quickly that losing an employee can be painful.

With an outsourcing partner like Tele-Help, you don't have that issue—simply dollar for dollar. An Example, one of our large healthcare partners, a Califonia-based company, is located in Los Angeles, where the cost of living is 63% to 75% higher than in Mexico City, Mexico. It is not only simply the cost savings on salary but benefits, technology, facilities, etc. The savings really add up.

Aside from the dollar amount, you can save time as well. When you lose a salesperson, on average, it takes 10 weeks of searching and training to only become productive after 6 months. On average, it takes Tele-Help 3 to 5 weeks to hire a sales team. More than 50% faster! Plus, we do all the searching!

Avoiding Burnout

Layoffs will happen during a recession. Which results in more work for the remaining employees. Often, after the initial shock of "surviving," the remaining employees pick up the workload previously performed by their once co-workers. Outsourcing is a great way to avoid the resulting impact on morale and subsequent negative impact on productivity - as well as the added stress associated with an overload of new work on an employee.

When you outsource, the first thing many of our partners realize is that their sales teams don't need to pick up extra slack when an employee quits. "The show goes on", especially when layoffs happen, there is natural stress in the air. Giving your best employees the resources they need to be successful will only benefit your business.

Improved Efficiency

When work is redistributed to a smaller pool of employees due to a recession, some high-cost employees may end up spending their time on too many less important projects. Outsourcing can help companies avoid this problem when they're short-staffed by giving tasks to the outsourced staff. As an example, companies feeling the economic downturn will lay off many in their demand generation teams, leaving the remaining to absorb all other accounts or drop long tail accounts that are not providing as much value. Either way, your team is going to feel overwhelmed, and you are going to lose valuable income. With an Outsourcer, like Tele-Help, you can distribute accounts efficiently, so you don't lose customers, and you give your staff the time to focus on the proverbial "whales".

Be the Solution

When you bring in an outsourcing partner to your organization, you're the one who saved the team from falling into pieces during an already stressful time. You're the one providing an answer to the overwhelming to-do lists, the impending loss in revenue, and the many late nights that you and your team will feel without the help of an outsourced ally.

To address the elephant in the room, some people fear that hiring an outsourcer is bad for morale because the team will see it as hiring their own replacement or that it will add more work to their plate because they need to be trained and "brought up to speed." While there are pros and cons of outsourcing, it must be weighed carefully before a decision is made. However, for many businesses, outsourcing is a smart way to reduce costs and remain competitive.

At Tele-Help, our business is a worldwide solution based in Las Vegas, Nevada, and sourced out of Mexico; we are primed to save you money while not being too far from home like Far-East solutions. We can say for certain that when you hire us, it is the complete opposite of hiring "your replacement"; it is hiring a team that can get things done for you so you can focus on the big picture.

Our No Commitment Process

We know you have a lot going on, so we want to make considering Tele-Help effortless.

Contact us via or 888-511-3654, and we will assess your needs for your open roles or outsourcing and provide you with a proposal and candidates to consider. If you like our proposal and candidates, we will move forward with a partnership; if not, we will work to earn your business, and worse case, a "no" cost you nothing

We look forward to working with you!

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