In-House vs. Offshore Data Processing
Many businesses debate whether it's more advantageous to manage their data processing internally, or through outsourcing. However, statistics indicate that businesses are favoring offshore IT services to help them better leverage their data.
Forbes states that "... no organization should have second-class support groups. They should outsource those functions to someone else who makes their living doing this."
Offshore data processing is a cost-effective, efficient solution for businesses who want to utilize their data effectively without going to the expense of restructuring their existing architecture, implementing the proper data processing technologies, and training IT personnel.
According to a 2016 Global Outsourcing Survey from Deloitte, 78% of global businesses feel positive about their relationship with their outsourcing company.
Businesses can better manage and utilize well-organized data when choosing to outsource to professional data entry companies who are equipped to handle these critical tasks quickly, cost-effectively, and with a business's particular needs in mind.
What Is Data Processing?
Data processing is a complex task that involves a combination of specific tools and technologies, along with the skills of experienced data processing specialists to convert data into a usable form.
Steps involved in data processing:
- Data Validation: Verifying accuracy and consistency across the data and removing redundant, incorrect data.
- Data Sorting: Arranging the data according to specific parameters depending on client needs, usually in a certain sequence.
- Summarization: Minimizing the data to the most relevant, important aspects.
- Data Aggregation: Multiple parts of data is combined to further organize information according to specific needs.
- Analysis: Data is then compiled and organized so that critical information can be obtained and interpreted to provide businesses with unique insights.
- Data Reports: Data is summarized and configured to provide Business Intelligence.
- Classification: Data is segregated according to various customized elements.
- Database Creation and Storage: Data is structured and uploaded into a database according to need, and stored for easy, convenient retrieval or archival purposes.
Data processing also requires experienced data processing technicians who are experts in diverse computer technologies, such as software and tools for word processing, spreadsheets, desktop publishing, design, and database management.
Benefits of Outsourcing Data Processing
Choosing to outsource data processing operations can enable businesses to convert their raw, messy, unstructured, unclean data into usable, actionable data while remaining productive and focused on core strategies.
- Focus on Internal Processes: Remain competitive by focusing on growth and innovation instead of wasting time and money-allocating company resources to implement and maintain an internal data processing team.
- Superior Cost Management: Benefit from a more consistent IT budget that's applied towards outsourcing data processing support teams rather than incurring unpredictable expenses from in-house data processing departments.
- CyberSecurity Expertise: IT and data entry outsourcing firms are familiar with how to handle potential hacking attacks and prevent security and privacy breaches of your important and confidential data.
- Disaster Recovery and Backup Technologies: Obtain preventative disaster recovery and backup procedures when outsourcing to a data entry firm who is equipped and well versed in the latest disaster recovery and backup protocols for either flood, cyber-attacks, fire, or other natural disasters.
- IT Experts and Complete IT ToolBox: Access to data management experts who are skilled in data processing across industries such as financial, travel, telecom, medical, retail, manufacturing, IT, and Research to ensure faster, more accurate completion of all stages of data processing.
- Faster Turnaround Times: Data entry outsourcing firms feature high-speed scanning equipment and advanced software, combined with around the clock services to cater to a global clientele, to significantly reduce data processing time and produce quality output on demand.
Disadvantages of In-house Data Processing
Organizations may not be aware of the complex nature of in-house data processing. It demands specialized labor, machines, software, and maintenance to transform raw data into applicable, functional, and valuable information.
- Expensive Tools: Requires specific data processing tools that are expensive to acquire, implement, and train personnel to use properly.
- Maintaining Internal Data Processing Departments: Business's internal departments can become quickly overwhelmed by the volume of work involved in data processing, which can negatively impact operations, revenue, efficiency, and productivity.
- Maintaining IT Support Teams: In-house IT support teams necessitated implementation of automated equipment and trained IT personnel, as well as additional costs for equipment and software maintenance and upgrades.
- On-Going Training and Personnel Churn: The costs and time spent hiring and training employees are substantial, especially when they move on to different opportunities with other companies.
Professional Offshore Data Processing
Data processing is part of critical data management practices and an investment that enhances decision making, data governance, and growth across vital business functions.
Data Entry Outsourced (DEO) enables businesses to leverage consistent, quality data with our automatic data processing tools and technologies, and highly trained technicians. With over a decade of experience in providing targeted data processing solutions, DEO enables organizations to utilize robust data in a standardized format to support meaningful business applications. Contact us to get started