A new era of outsourcing is rising. This time, businesses are anxious and want to explore new models as soon as possible to increase their flexibility, innovation, and competitiveness. Due to this reason, the whole concept of outsourcing is drastically changing and it is turning to be more complex and diverse as days pass.

Copenhagen Institute of Future Studies published the results of their study about the future of outsourcing. The institute deeply inspected every angle and came out with important information. Companies are using outsourcing not only to bring cost reduction but for a lot of other things as well. A lot say that price reduction is no longer possible because negative results are not welcomed.

Corporations that are in the leading positions of the outsourcing change are developing new outsourcing models and partnership opportunities. Collaborations like these bring originality and flexibility while at the same time back up increased goals and risks. There are four key areas right now that are shaping the transformation so far:

  • Changes in the motivations.
  • Changes in business activities and procedures
  • Changes in the core of agreements and collaborations
  • Changes in the way outsourcing are influencing the workforce

In the New Year that follows outsourcing will no longer help companies to maintain their current basic operations for sure. The focus will be on competencies and market differentiations. This means that companies will use outsourcing to shadow their competitors by having the best talents, resources, markets, networks, etc. out there. Thus, relationships between businesses will become more complicated. The clients will be more involved and will require more capacity and specialization from their outsourcing partners.

Complicated relationships will bringsignificant roles for service providers and they will decide the direction ofthe company. Some are going to be independent and strategic while others willbe more transactional and the clients will only pay for what is brought intoplay.

Organizations won’t stop and will continue searching for ways that will allow them to increase their flexibility and agility. The process will make the organization more flexible to macro-economic changes and at the same time, the employment process will become easier. In 2020, the main employment model will contain collaborative, clear and technology-friendly employees.

Outsourcing will make changes in the labor market and will increase the freelance economy. This has a bad and good influence at the same time. Self- employment and independence is a good thing to some but terrifying for others.

Nowadays everything is changing so fast and if we want to go forward we have to be able to become different as well. Flexibility is the main thing here and thanks to it; outsourcing has a whole new state of networks and knowledge when it comes to business. We are now limitless and the future relies on us. Why? Well because everything comes to our capabilities and thirst for knowledge.