Retention In The World Of Outsourcing

Are your team members happy?

Welcome to the Ethical Source, where we will explore the A-Z of building global teams, news, and the future of ethical outsourcing.If you are new to the world of ethical outsourcing this newsletter is for you.

This week’s edition: Improving retention in global teams

The outsourcing industry has a reputation for having low retention rates. In fact, according to QATC, the BPO industry experiences a 30-45% turnover rate. That not only poses a challenge in maintaining talented team members but it also impacts the quality of the services your company provides.

There are several reasons why BPOs have a low retention rate, with 20-50% retention in BPOs based in countries such as India, the Philippines, and the US. Traditional “call centers” are often the ones that struggle to retain talent due to the lack of flexibility and below-living wage pay, which leads to the loss of talent, increased recruitment costs, and overall unhealthy work culture.

The vast majority of workers believe that their work is not just a transaction. McKinsey research shows that 70% of employees say their sense of purpose is defined by their work. This means that when a company’s purpose is meaningful and contributes to its community, team members are more likely to perform better and show greater commitment to their work.

Choose your outsourcing partner wisely

A good retention rate is not only an indicator of organizational stability and employee satisfaction but also a testament to the effectiveness of talent management and leadership within the company.?

This is why partnering with an outsourcing company that has a high retention rate is essential to ensure the well-being of your team members and the quality of the services you provide to your clients.?

By choosing a partner with a commitment to ethical outsourcing, your business will:

• Contribute to the creation of a sustainable and socially responsible work culture
• Ensure the fair treatment and development of your team members
• Increase team member satisfaction leading to low attrition rates
• Establish a positive brand reputation

It's not just good for your business – it's a step towards making the whole outsourcing industry better.

Ethical outsourcing practices can address the root causes of turnover, and contribute to the development of a more ethical and sustainable outsourcing industry. Vetting for an ethical outsourcing partner is a proactive step towards ensuring that your business establishes a foundation for high retention rates.

If you want to learn more about retention rates in the outsourcing industry, check out our recent article How High Retention Rates Can Maximize Business Success, and stay tuned for more outsourcing content every Friday.

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