Skilled New York Jobs Being Lost To Cheaper Outsourcing

executive-511706_1920Over the past 10 years we’ve witnessed a massive surge in the number of services being outsourced to companies in Asia who propose that they can carry out a skilled service but at a much lower cost.

Couple this with the development of much more advanced software systems and cloud based programs and we witness the demise of some very important business support professions here in New York.

In this article we discuss if these changes are a good thing or if we should be cautious about trusting so many essential business functions to a machine and/or a faceless outsourcer.

In general we look to software development and innovations as a good thing. Typically the advances in software and cloud based applications has enabled us all to lead better and more efficient lives. But we must not forget that such innovations often threaten the livelihood of whole industries.

Typically when we consider this we think of lower skilled or more labour intensive jobs. However the sophistication of software developments nowadays is beginning to threaten more skilled professions. An example of such professions include payroll, bookkeeping services, and translations services.

But it must be remembered that for such services software should only serve to improve the role of the payroll administrator, tax specialist or professional translations. It should not replace it. For in such roles human input is key and mistakes can be costly.

Similarly when it comes to outsourcing to overseas companies you should be cautious. It is great and very tempting when you consider the cost savings that can be made. But think of the cost of a mistake. Who is responsible if someone in India messes up your companies payroll.

An example of a particular service which many Indian firms have developed around is search engine optimisation. SEO agencies specialise in the practice of moving a website up the search rankings. For many local businesses it can prove to be very lucrative in generate a reliable stream of new leads and sales. But what happens if the Indian firm gets it wrong? Google will penalise the website meaning that it will no longer show the site in its search results. This would be a catastrophic occurrence for any business that has grown to rely from traffic it receives online. It could destroy a business.

Additionally do we want a country where people no longer choose to train in these professions due to lack of job prospects?

Our advice is to proceed with caution. If you are going to entrust a large proportion of responsibility of any of the services discussed then please make sure you still have someone within your company who is constantly monitoring for quality.

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