Outsourcing and telecommuting are two buzzwords oft-heard in the modern workplace. In today’s competitive job market, employers and prospective employees alike are interested in understanding these trends and how they could potentially affect their workplace and future.

Outsourcing

Outsourcing is the practice of contracting with a third-party organization to provide services, technology, or goods along with the associated costs and risks. Outsourcing partnerships enable companies to access a larger pool of specialized expertise, resources, and technology than if they were to perform the services in-house.

Common areas for outsourcing include payroll processing, software development, customer support, and other specialized services. Companies who outsource may also benefit from the cost savings associated with the services or goods as they pay the third-party rather than employing the expertise in-house.

Telecommuting

Telecommuting, also known as working from home or teleworking, is a form of flexible working arrangement in which an employee works remotely from their home or other offsite location, while retaining the same job duties and tasks. Telecommuting may occur several days a week or just a few hours a week, depending on the job and individual preferences.

Telecommuting offers potential benefits to both the employer and the employee, such as greater productivity, better work-life balance, and improved efficiency. However, not all positions are able to be telecommuting options, and employers must consider logistics, compliance issues, and other potential challenges when deciding if telecommuting is feasible.

The Trend: Workplace Flexibility

Outsourcing and telecommuting are both examples of a larger trend in the workplace: workplace flexibility. Employers are increasingly offering flexible working arrangements to their workforce to remain competitive and drive efficiency. Businesses who are able to offer flexible working arrangements, such as more flexible hours, remote work options, and job sharing, report higher employee satisfaction, engagement, and productivity.

Workplace flexibility is also being embraced as a way to help employees with their work-life balance and reduce stress. With the ability to work remotely or outside traditional hours, employees are able to create better schedules that accommodate their personal needs.

At the end of the day, both employers and employees benefit when workplace flexibility is embraced. Employers are able to access a larger talent pool and reduce overhead costs, while employees are able to better manage their workloads and create a better work-life balance.