The COVID-19 pandemic has cast a somber warning for the world market with potential recessions that could impact major economies worldwide. According to global economic analyst McKinsey & Company, current massive populace lockdowns involving around 150 countries around the world are expected to incur losses of USD$ 30 trillion based on current estimates. The outbreak is moving rapidly, and authorities have been reporting very high case counts throughout the Americas and Europe, with Asia as the epicenter of the virus. The global economic slowdown has been fueled by social and physical distancing, causing the indefinite suspension of business operations, travel restrictions, and self-quarantine measures to avoid spreading the deadly virus.
COVID-19: The novel coronavirus and its economic impacts
According to the Centers for Disease Control and Prevention (CDC), the pandemic is expected to reach its peak sometime in April and May this year, with lockdowns and community quarantines necessitating the need for business operations for non-essential products and services to be indefinitely suspended until the crisis has abated.
Can businesses be recession-proof? Yes, it definitely can be
There’s good news. Businesses can still go on by leveraging on remote working environments or the work-from-home model. Advanced technologies, interconnectivity, and agile work systems have provided businesses – small, medium, or large – with the means to ensure that operations can continue, regardless of any situation. One of the most popular nowadays is remote freelance and contractual services, which have recently gained a lot of popularity due to its versatility, efficiency, and affordability. Here are six practical and important reasons why you need an outsourced remote staff to ensure your business keeps on running in the age of the novel coronavirus.
Six reasons to hire outsourced remote services
Health and Safety of workers – The health and safety benefits of outsourcing your staffing needs on a remote work basis go beyond the health and safety aspect. Studies have shown that home-based workers or freelancers were 20%-30% more productive compared to 9 to 5 office or on-site workers. The UK study highlighted that remote work-from-home benefits were driven by reduced stress, commuting time converted to more productive work, less exposure to pollutants, increased level of responsibility, reduced pressure such as micro-management, and greater work satisfaction.
Reduced overhead costs – By outsourcing remote staff, employers and businesses can significantly reduce overhead expenditures. While overhead cost savings vary based on a lot of factors, it is modestly estimated at 15% to 20%. Among the most significant cost factors that are impacted are office spaces, workstations or equipment, facilities, employee training and development, and resource management.
More access to specialized talent – One of the successful drivers of remote working is what is known as the “millennial effect,” where the younger generation of workers have been accustomed to encompassing and dynamic communication channels regardless of location, which bears the same expectations in their workplace environment. Workplace flexibility has become a major factor in most of today’s younger workforce, and providing options for remote work can surely attract highly-skilled talent who are interested in these remote work roles, which broadens the skills and talent capabilities that go beyond the limits of enclosed workspaces and networks.
Reduced salaries – This is, by far, one of the most prominent advantages of outsourcing that can significantly help businesses cope with recession-like situations since outsourcing has been associated with dramatic reductions in labor costs. For instance, outsourcing remote work in the Philippines can cut US labor costs by as much as 70% to 90%, simply because the Asian country has a substantially lower cost of living compared to the US. The Philippines has been noticed as one of the top-emerging skill and talent providers for outsourced services, comparable to other outsourcing countries around the world.
Business continuity – This should be a no-brainer. Outsourced remote services let businesses run unhampered regardless of disruptions in surrounding localities or regions. Business continuity is a critical component of a recovery strategy and one of the best ways to ensure this is through remote work and staffing. According to the Insurance Institute of Business and Home Safety, 25% of businesses fail to re-open after a major event, which includes major catastrophes. On the other hand, around 80% of businesses experience losses for minor events such as power failures, data and security breaches or theft, and interrupted utilities such as water or pipe leaks. This makes business continuity planning a critical aspect of any business, no matter what the size.
Increased productivity – Study findings conducted by insurance company Canada Life revealed that work-from-home personnel ranks their productivity 7.7 on a scale of 1 to 10, compared to a 6.5 ranking by office workers. A similar study conducted by Stanford University also found that work-from-home employees are 13% more productive compared to office workers. For your business to thrive in the era of COVID-19, it is vital to find ways to ensure that businesses remain operational, not just for your benefit but for your customers and those that rely on your business for their livelihood.
We Build Your Teams
Yes. You heard it right. We can help you establish your remote teams to help you adapt in the coronavirus era so your business can take on the challenges of the evolving global markets, no matter what the situation may be. At C9 Digital, we can build the right remote team for your business based on our experience after working with countless global and domestic brands that are looking to outsource their skills and talent pool. We know what top companies, partners, and resources you will need to maximize your chances of success. We are game-changers- a team of artists, entrepreneurs, and business professionals who believe that work should be both challenging and fun. For our clients, we’re the kind of partner who makes sure that your business strategy becomes a resounding success. We’ll help you find the right talents and create a seamless outsourcing experience for your customers. We will stand with you to realize your vision to help you achieve your business goals and beyond. In terms of business development and outsourcing, we help you find the best partners and provide guidance and assistance to help you cushion the impacts of this COVID-19 pandemic. As global executives and entrepreneurs, we can help you scope a high-level strategy for your business and execute tactical decisions to achieve excellent results for your business. We will help you build your best team ever- you can count on that.