What are the pros and cons of data management outsourcing?

What are the pros and cons of data management outsourcing?

OABPO Blog Team Published on October 4, 2013
data-management-outsourcing

With all the processes and transactions companies make every day, managing the large volumes of accompanying data can be tedious. As a result, many are turning to data management outsourcing. Like other outsourcing solutions, this comes with potential advantages and disadvantages.

Advantages

One of the challenges of managing data is the lack of resources. Some companies, especially small businesses and enterprises, don’t necessarily have additional funds to form an in-house department. Instead, they can choose to outsource to a third party service provider at a fraction of the cost of hiring a team of data management specialists.

Similarly, many companies simply do not have enough employees to manage their databases. Outsourcing can easily help them with this staff shortage by providing diligent workers to address their data management needs, such as with data entry, data mining and warehousing, and data cleansing.

Data management outsourcing also results in more versatile service options to better address a business’ needs. It also helps in the timely implementations of data-related tasks. This enables a business to focus on other valuable processes to ensure the company’s growth.

Disadvantages

While outsourcing is a viable solution for business’ needs, there are still concerns regarding security. With more people outside their company accessing their sensitive information, many fear that the risks of data theft and loss are increased.

Moreover, the success of data-geared projects may be potentially hindered by problems associated with miscommunications. The company, for instance, may fail to clearly convey instructions, priorities, and goals to their outsourced data management specialist. It is also possible that the outsourcing firm may have inadequate resources and technologies to achieve the desired output.

Results may also be compromised when the provider does not have the required expertise and experience to deliver data management services.

A summary

Outsourcing enables a company to ease its administrative burden and achieve operational efficiency. However, it also comes with potential risks. In general, the success of outsourcing is based on selecting the right provider.

Leave a Reply

JOIN US ON FACEBOOK
Open Access BPO
Open Access BPO3 minutes ago
#CallCenter leaders play a central role in helping campaigns grow. Team leaders especially are responsible for the progress and the quality of service that #CustomerSupport agents provide the brand's customers.

Here are the 5 biggest enemies of great leadership (and a few tips on how to be a good leader): https://buff.ly/3M5iMC0

Find great call center agents and team leaders to manage your brand's growth when you partner with Open Access BPO: OpenAccessBPO.com/get-started

#WeSpeakYourLanguage
Open Access BPO
Open Access BPO18 hours ago
Personalized solutions empower brands to provide high-quality support to their customers and their growing needs.
With the help of a capable #CallCenter, you can be sure these areas are being covered: https://buff.ly/3sCjnTS

----------
Build your hyper-customizable #CustomerSupport, #BackOffice, or knowledge-based support program with Open Access BPO: OpenAccessBPO.com/get-started

#WeSpeakYourLanguage
#CustomerSupport
Open Access BPO
Open Access BPO24 hours ago
With multilingual support comes multiple business growth opportunities. The best way to get aboard the globalization train is to partner with a multilingual #CallCenter: https://buff.ly/3Mmfkms

----------
Open Access BPO's services support over 30 languages. Contact us today: OpenAccessBPO.com/get-started

#WeSpeakYourLanguage
#MultilingualCallCenter
Open Access BPO
Open Access BPO3 days ago
It’s Data Privacy Awareness Month at Open Access BPO!
For our first Weekend Link Roundup, we’re featuring posts about #DataSecurity and #InformationSecurity best practices: https://buff.ly/3weIWMU

Is Data Safe From Security-Related Outsourcing Issues?
https://buff.ly/38tH5uD

Best Practices to Boost Data Security in Call Centers
https://buff.ly/3sAEsya

Educating Your Customers About Information Security
https://buff.ly/3sAEsya

The Worst Threat to Business Data Security: Employees
https://buff.ly/38lgjF3

Deflecting Insider Threats to Data Security
https://buff.ly/3yC5mt5

How Open Access BPO Future-Proofs Your Offshore Operations
https://buff.ly/3wmGuEx

----------
Learn more about smart, secure, and scalable #outsourcing over at OpenAccessBPO.com

#WeSpeakYourLanguage
#DataPrivacy
Open Access BPO
Open Access BPO4 days ago
Having a branded #CustomerService strategy sets your business apart from others, helping grow your customers base and enhancing #CustomerExperience.

Here's how you can develop a branded customer service strategy: https://buff.ly/3L7FrMz

----------
Outsource #CustomerDelight without losing your #BrandIdentity: OpenAccessBPO.com/get-started

#WeSpeakYourLanguage
#CustomerSupport #branding
Open Access BPO
Open Access BPO4 days ago
As more brands grow their digital products and services over digital platforms, it’s critical to educate customers about cyberattacks and information security.
Here’s what you need to keep in mind when doing so: https://buff.ly/3M5rKz7

----------
Partner with an #outsourcing vendor with robust #DataSecurity strategies: OpenAccessBPO.com/get-started

#WeSpeakYourLanguage
#InfoSec #CyberSecurity #PrivacyAwareness
Open Access BPO