Reliability Key Consideration In Outsourcing Industry

Even though most businesses could be considered money-focused, we hope most companies also appreciate that there’s more to good business than simply cost-saving and good revenues.

Other more subjective elements to business are just as important, we believe – and it seems we’re not the only ones; in fact, the Grant Thornton International Business Report found that a business partner’s reliability, trust and other ‘non-technical’ traits are actually considered far more important than mere monetary considerations, the Supply Management website reports.

The report interviewed 2,500 senior business executives in 36 global economies and determined some of the drivers behind what is deemed a good outsourcing relationship.

Some of our favourite figures from the report show that while cost was considered an important factor in outsourcing relationships, with 43% saying so, reliability came top – securing 56% support. Third in the list was another subjective trait: trust, with 40%.

However, if looking at results specifically from the UK, trust was actually replaced by providers having an understanding of the client’s business as the third most important trait.

When it came to specifics regarding what makes for a positive outsourcing relationship, good communication between client and provider came first – at 88% – closely followed by the quality of the relationship – at 87%. Third in the list came the experience of the provider, specifically its relevance to the client, at 82%.

Commenting on the more subjective traits, like reliability and trust, that were deemed most important, Samantha George – head of outsourcing at Grant Thornton UK – said: “[These] ‘softer’ and less quantifiable elements of an outsourced relationship are more often the ones that make the most difference.”

Are you surprised to see cost be pushed out the top spot by the subjective quality of reliability?