4 Ways Hybrid Work Can Solve Talent Challenges

As many business leaders are experiencing, and according to an article on Forbes, employees are showing continued reluctance to return to full-time office work. Managers worry that remote work only poses challenges in effectively completing work. According to consulting firm McKinsey, a mix of on-site and remote work is part of the new operating model now and in the foreseeable future. What’s interesting is that in this paradigm, the clear boundaries between in-house employees and remote workers have become less distinct.

Therein lies the opportunity.

When ways of working are changing and managing remote workers is not a core competency, business leaders can turn to options such as outsourcing to a co-sourcing partner. Outsourced onshore or offshore workers serve as an extended team, fitting in seamlessly with the new hybrid work environment.

This article explores the benefits and challenges of managing a hybrid workforce in-house while exploring the role of outsourcing as a solution to overcome these challenges.

Retain and attract employees by offering a hybrid work environment

The hybrid workforce gained traction from its ability to embrace flexibility, promote better work-life balance, and foster a more energized and productive team. A hybrid workforce combines the strengths of in-house employees and remote or outsourced workers who collaborate seamlessly to enhance business outcomes. As businesses increasingly adopt this model to keep up with employee demands, effectively managing a hybrid workforce becomes crucial for sustained success.

Benefits of a Hybrid Work Environment:

1. Enhanced flexibility and scalability:

Companies leveraging a hybrid workforce can adapt swiftly to changing market conditions and project requirements. According to a study by Gartner, 82% of company leaders plan to allow employees to work remotely at least part of the time. Adopting a hybrid workforce model enables businesses to respond promptly to changing demands and allocate resources effectively. Here the hybrid workforce is also operating in other geographical locations, offering companies a greater footprint. Moreover, outsourcing, particularly through offshoring, allows companies to gain access to globally skilled talent, especially if there is a crunch in the domestic pool.

Client Example: A financial institution maintains flexibility by outsourcing data analysis tasks to Premier, allowing it to scale operations based on market demands without compromising data accuracy or security.

2. Cost optimization:

Research conducted by consulting firm Deloitte indicates that 78% of organizations believe cost savings are a key benefit of utilizing a hybrid workforce model. Integrating outsourced talent further optimizes costs through labor arbitrage, resulting in reduced overhead expenses such as medical, training, office space, equipment, and employee benefits. Overall, an outsourced team with a seasoned partner can lead to up to 50% cost savings for businesses without compromising on quality.

Client Example: A healthcare practice optimizes costs by outsourcing medical billing and coding services to a trusted offshore partner, Premier, reducing administrative overhead and allowing in-house staff to focus on patient care.

3. Access to diverse skill sets:

In a highly competitive business landscape, access to specialized skills is crucial for success. A survey conducted by the leading consulting firm, McKinsey, found that 9 out of 10 executives envision a hybrid working model moving forward. Outsourcing adds to this by integrating professionals from a global talent pool. Companies thus gain access to diverse skill sets that may not be available locally. This also ensures the availability of resources required for specific projects and tasks, round-the-clock.

Client Example: An IT-managed service provider (MSP) gains access to a wide range of specialized IT skills by outsourcing cybersecurity services to a specialized team, ensuring comprehensive protection against cyber threats on behalf of its clients.

4. Improved productivity and employee satisfaction:

The flexibility offered by a hybrid workforce positively impacts employee satisfaction and productivity. A survey by Gallup revealed 2 out 3 employees prefer hybrid working due to overall better work-life balance leading to higher satisfaction. With the ability to work remotely, motivation and efficiency also increase subsequently.

Client Example: A staffing agency enhances productivity and employee satisfaction enabling recruiters to work remotely while leveraging outsourced teams for tasks such as time-sheet reconciliation, payroll processing, and other back-office functions.