In today’s business environment, every organization needs an advantage – a way to improve productivity, access the best talent, & makes positive impact on operational profitability while maintaining quality. If you have been researching options, you have likely come across remote FTEs. This is not simply a trend; this is a shift away from traditional ways of staffing an organization. Remote FTEs provide many cost-effective ways to manage organizations and are quickly becoming essential to businesses looking to grow smartly. Everywhere you look, you can find articles and with each passing day, you see more and more. You no longer have to manage the risk of having to “invest” in large amounts of capital for things like office, equipment, and numerous hidden admin costs, so you can onboard additional members to your team. Let’s look at the reasons why this is an advantage your organization can not afford to overlook.
The Hidden Costs of Traditional Staffing
When hiring a traditional in-house employee, you’re not just paying them a salary; there are many additional costs to consider, such as:
- Office Space & Utilities: Rent, utilities (including electricity and internet), maintenance, cleaning, and property taxes.
- Equipment & Infrastructure: Computers, software licenses, desk & office furniture, phones, and IT workforce.
- Benefits & Perks: Healthcare, retirement savings plans, paid time off (vacation and holidays), sick leave, and other employee benefits.
- Recruitment & Onboarding: Time and money spent on advertising the job, inviting applicants for interviews, background checks, and initial training.
- Administrative Overhead: Payroll processing, managing HR, compliance, and other administrative tasks.
- Opportunity Cost: The time your in-house resources are spending on non-core activities and what activities could be outsourced.
The hidden costs can increase the true cost of an employee anywhere from 1.25 to 1.4 times the employee’s actual salary (sometimes more)! This is where the benefits of savings caused by remote staffing become astounding.
Realizing Real Savings with Remote FTEs
Using some form of offshore FTE model, or just hiring remote professionals, is a complete shift in your cost structure. It can certainly reduce outsourcing costs in several ways:
- Reduced Overhead Costs: This is probably the most obvious savings. By using remote FTEs, you have effectively reduced or eliminated having to pay for office space, utilities, and often, equipment. Your remote staff is most likely working in their own optimized environment.
- Access Downgrade Competitive Vendor Base Retention: The cost of living and average salaries vary significantly across different regions and countries. If you tap into a global pool of talent, you can find highly-skilled individuals whose salaries, comparable to major metropolitan areas in your home country. This can result in significant reductions to your labour costs.
- Lower Recruitment & HR Burden: The advantage of working with a remote FTE provider is that they do the work of recruiting, vetting, and often initial onboarding. This can save your HR team a lot of time and resources.
- Flexible Scaling: Is scaling up or down, based on the project requirements, an issue? The remote FTE model provides incredible flexibility to build out a team without the burden and long-term costs, compared to the traditional hiring model. This flexibility will directly contribute to savings in remote staffing.
- Emphasize Core Competencies: By outsourcing non-core functions to remote FTEs, to can focus on strategic initiatives with your in-house team performing high-value functions. Improving the productivity of your in-house team will indirectly contribute to overall cost savings, either directly or indirectly incurred in the outsourcing equation. This includes having more time to focus on essential strategic tasks, like how to develop a successful digital marketing plan.
Your Partner in Cost-Effective Staffing
Using remote FTEs is definitely a smart move from a cost-effective staffing perspective, but it can also start to feel difficult to engage in the global talent marketplace, ensure quality, and effectively govern remote teams. This is where KHP REMOTE FTE can help.
We provide businesses like yours with the capability to easily hire highly trained, diligent offshore FTEs who immerse themselves within your operations. We manage the recruitment, HR, infrastructure (if hiring a dedicated team), and ongoing support difficulties to make sure you can realize the maximum savings on your cost-effective remote staffing and your outsourcing expenses without all the headaches.
Whether you are seeking assistance with administration, digital marketing, IT, customer service, or specialist roles within your industry, our dedicated teams are well experienced to take on your requirements as an extension of your team, providing support and driving efficiencies to allow you to free up resources to plan your next strategic move.
Would you like to make your operational expenditure a strategic investment and create true cost-effective staffing? Do not allow hiring as you have always known to limit your opportunity.
Just as we focus on cost-effective remote staffing for broad business needs, partners like MCKIOL specialize in providing expert outsourcing solutions for legal process and healthcare operations.
Contact KHP REMOTE FTE today to learn how our remote FTE solution includes significant outsourcing cost savings and increases sustainably for your business.