In the United States, the back office outsourcing company increased at an amazing 7.6% CAGR. Over 40% of the back office sector is made up of banking, finance, and information technology. Industry analysts were concerned about the development of the back-office market due to technological improvements and businesses becoming more hi-tech, but their worries were unfounded thanks to Fintech, e-commerce, and cloud-based product expansion.
Enterprises rely on the back office industry to provide a good client experience and easy interaction. Banks and other financial institutions are benefiting from industry partners’ assistance with onboarding, verification, and even debt management.
What Are The Most Common Operation Trends in the Back Office?
The rising penetration of the Internet attracted the attention of hackers, leading to some of the most serious data crimes ever perpetrated. Because to noncompliance, billions of dollars have been lost, millions of people have been harmed, and even children have been exposed to the internet. Following the disaster, businesses began to develop in-house teams to assist back-office operations, but this increased total costs and made services/products more costly.
Leaders in the back office business resolved to repair their reputation by first becoming compliant and then innovating. PCI DSS, HIPPA, and ISO-compliant outsourcing companies are continually upskilling to provide customized assistance to various types of organizations.
- Cost-Effective: Well! Back office operations came into existence because of their cost-effectiveness. These organizations have a pool of trained employees who take up your repetitive processes and complete them with their industry expertise.
- Compliant: If you are a healthcare organization then your back office service provider must furnish HIPAA compliance but if you are an e-commerce platform then PCI DSS is a necessity for your third-party service providers. All these compliances are required to ensure the protection of users’ detail.
- Up-scaling Ability: Fintech, E-commerce, and Logistics are among the fastest growing industries. Together these sectors are changing the way people buy things, pay for them, and receive the purchased goods. Most of these enterprises are running on seed funds and receive VC funds only after registering substantial growth. To focus on core processes, these industries choose back office outsourcing services and once they are funded by VCs, they expand and look to have bigger teams. Your outsourcing partner must be equipped with skills to instantly upgrade their workforce to suit your business scalability requirements.
- Customer-Centric: All the modern-day start-ups have successfully disrupted saturated sectors because they focused on customers. Be it e-commerce, cab, or hotel aggregators, all of them focused on helping customers have a memorable experience. Your back-office support team needs to be customer-centric too. When outsourcing customer support, social media management, or marketing, you need to ensure that your partners are focused on helping customers have a smooth ride.
Final Thoughts on Outsourcing Back Office Processes
During 2014-15, the outsourcing industry took a hit and everyone labeled it redundant. The outsourcing agency bounced back within 20 months and this time it was equipped with requisite tools and compliances to furnish an exceptional experience at the executive as well as customer level.
