Most Commonly Outsourced Services

Most Commonly Outsourced Services

In today’s dynamic business environment, you may be seeking innovative strategies to optimize your business operations. One such strategy that has gained a lot of popularity is outsourcing. So, what are the most commonly outsourced services?

This strategy encompasses services ranging from healthcare and insurance to customer service and information technology. It enables companies to streamline various aspects of their business operations. In this post, we will discuss outsourcing services across diverse domains and explore their benefits for businesses. 

List of Most Commonly Outsourced Services

Enterprises are constantly seeking ways to maximize productivity and efficiency. Their common objective is to reduce the cost of non-core operations and focus on core aspects of the business. One business strategy that has gained significant traction in recent years is outsourcing, driven by access to specialized expertise and increased flexibility.

This practice has revolutionized the way companies operate and grow. It entails designating tasks and projects to external vendors rather than handling them in-house. By embracing this practice, you can effectively navigate challenges and capitalize on opportunities.

With outsourcing, your enterprise can thrive in an increasingly interconnected and dynamic business environment. But what services can utilize this approach? Here we present a list of some of the most outsourced services: 

  • Healthcare Outsourcing
  • Insurance Outsourcing
  • Customer Service Outsourcing 
  • IT Outsourcing

Healthcare Outsourcing

In the evolving healthcare landscape, medical institutions face increasing pressure to streamline operations and improve efficiency without compromising quality. As the demand for healthcare services increases, healthcare providers must ensure excellent patient care while managing various tasks. Hence, healthcare companies often decide to outsource certain functions to focus on their competencies.

Common Healthcare Functions Outsourced

The most common functions that healthcare companies outsource include:

  • Medical billing
  • Medical coding
  • Medical credentialing
  • Complete Revenue Cycle Management (RCM) process

Medical billing

Healthcare processes plenty of medical records on a daily basis, so medical billing can be a complicated and demanding task in this industry. For that reason, many turn to outsourcing their medical billing to a specialized company. Outsourcing to third-party vendors allows the company to verify patient eligibility, handle pre-authorization, and boost productivity.

With their expertise, the outsourcing providers can improve billing accuracy and accelerate revenue cycles. They can ensure claim submission, payment posting, and denial management without delays or errors, enhancing financial performance. 

Medical coding

Medical coding involves assigning codes to medical procedures, diagnoses, and services. Accurate medical coding is essential for proper reimbursement and compliance with regulatory requirements and coding standards. 

By outsourcing, healthcare providers gain access to certified coders proficient in various coding systems. These professionals aim to minimize coding errors. Outsourcing medical coding tasks frees internal resources and enables the staff to focus on patient care and other strategic initiatives. 

Medical credentialing

Credentialing is a critical process that ensures healthcare professionals meet quality standards and have the necessary skills and certifications to care for patients. This is a time-consuming and comprehensive task.

Therefore, outsourcing credentialing services can streamline workflow, minimize errors, and reduce the administrative burden and paperwork. It can improve efficiency by verifying and updating data frequently and accurately. 

Complete Revenue Cycle Management (RCM) process

Comprehensive RCM outsourcing encompasses all revenue cycle stages, from appointment scheduling to final payment reconciliation. It involves identifying, collecting, and managing payments from patients or insurance companies. To explain more in-depth, the RCM process involves submitting medical billing claims to an insurance company, assigning medical codes to procedures, converting medical services to billable charges, and finally collecting patient payment.

Outsourcing these services offers revenue optimization. By outsourcing the entire revenue cycle, healthcare providers can achieve greater efficiency, improve cash flow, and enhance financial performance.

Common Healthcare Functions Outsourced

Insurance Outsourcing 

Insurance companies commonly seek innovative and convenient ways to streamline and scale their operations. Hence, they outsource services to reduce costs and focus on their core competencies. By outsourcing, insurance companies can mitigate risks and improve efficiency and innovation. 

They can expand their Global reach and access new markets. Overall, outsourcing insurance services allows companies to stay competitive, adapt to market changes, and focus on delivering value to their customers.

Commonly Outsourced Insurance Functions

Examples of commonly outsourced insurance functions include:

  • Back-office support
  • Certificates management
  • Policy checking, proposals & quoting
  • Cancellation notices

Back-office support

Insurance companies commonly face a multitude of administrative tasks. Opting for insurance back office support allows agency owners to streamline operations, reduce overhead costs, and improve service quality. 

Whether it’s managing policy documents, processing endorsements, or handling cancellation notices, outsourcing partners provide efficient and reliable support. They enable insurers to focus on core business objectives.

Certificates management

Managing insurance certificates is vital for complying with regulatory requirements and contractual obligations. By outsourcing, insurers streamline certificate issuance, tracking, and renewal processes.

With their expertise, the outsourcing partners ensure accuracy and timeliness. They ensure compliance with the industry standards, thereby reducing potential risks and enhancing customer satisfaction.

Policy checking, proposals & quoting

The process of policy checking, proposals, and quoting involves meticulous attention to detail and timely response to customer inquiries. Outsourcing these tasks enables insurers to streamline underwriting processes, improve turnaround times, and enhance customer experience. 

Outsourcing providers leverage industry expertise to deliver accurate quotes, customized proposals, and seamless policy issuance. By doing so, they can ultimately drive operational efficiency and revenue growth.

Cancellation notices

Managing policy cancellations and processing cancellation notices is a crucial aspect of insurance administration. Outsourcing cancellation management tasks helps insurers handle policy terminations efficiently, communicate with policyholders, and update records accurately.

By outsourcing cancellation processes, they can minimize errors, reduce administrative burdens, and maintain compliance with regulatory requirements. This can lead to improved overall operational efficiency.

Commonly Outsourced Insurance Functions

Customer Service Outsourcing Services

In an era where customer experience is crucial for customer loyalty and retention, delivering exceptional customers is paramount. It is crucial for fostering loyalty, satisfaction, and retention. Yet, managing inquiries and resolving issues can be challenging.

This is especially the case for enterprises with resource constraints or fluctuating demands. However, customer service outsourcing serves as a strategic solution, which is why its functions have become prevalent.

By leveraging expertise and round-the-clock support, companies can enhance responsiveness. They can resolve customer queries promptly, maintain high service standards, and improve operational efficiency. 

Common Customer Service Functions Outsourced

Several customer service functions are frequently outsourced to specialized service providers:

  • Inbound customer support
  • Order processing and fulfillment 
  • Technical support
  • Help desk services

Inbound customer support

These tasks include handling incoming inquiries, requests, and complaints from customers. The outsourcing providers address them via phone, email, chat, or social media channels. Such an approach enables smooth interactions and resolution. 

Order processing and fulfillment

Managing order inquiries, tracking shipments, and processing returns and exchanges are commonly outsourced tasks in the customer service domain. They ensure smooth and transactional experiences, enhancing customer satisfaction.

Technical support 

Technical support outsourcing involves providing assistance with product troubleshooting and installation. It can also encompass usage-related issues to resolve any customer concerns timely and effectively.

Complaint resolution

Outsourcing complaint resolution services involves resolving customer complaints, escalations, and disputes in a timely and empathetic manner. Doing so is essential for restoring trust and satisfaction among the clientele.

Customer Service Outsourcing Services

Advantages of Outsourcing Customer Service

Outsourcing customer service tasks offers numerous advantages, including scalability. They allow enterprises to reduce overhead costs associated with staffing, training, and infrastructure investments.

The outsourcing providers bring specialized knowledge, skills, and technologies to the table. By doing so, they enable efficient handling of customer inquiries and issues with accuracy and professionalism.

Outsourcing external partners can offer round-the-clock customer support. It can ensure timely assistance and resolution for customers located across different time zones and regions.

Additionally, companies can focus on core business activities by offloading customer service responsibilities to external providers. Hence, outsourcing customer service can drive overall productivity and innovation.

IT Outsourcing Services

Technology is the cornerstone of business innovation, efficiency, and competitiveness. Yet, maintaining a solid and agile IT infrastructure can be a daunting endeavor for many enterprises in today’s digital landscape. 

It can be challenging for those facing budget constraints and talent shortages. However, IT is among the largest outsourcing industries around. Hence, outsourcing IT functions can allow your business to access specialized skills, reduce costs, and adapt to evolving technology trends more effectively. 

IT Functions Commonly Outsourced

There are several IT functions that are commonly outsourced to specialized service providers:

  • IT infrastructure management
  • Software development and application management
  • Data management and analytics
  • Cybersecurity services

IT infrastructure management 

IT infrastructure management involves monitoring, maintaining, and optimizing hardware, software, and networks. Such outsourcing services ensure reliability, performance, and scalability. IT outsourcing providers commonly work on demand and can provide tech assistance as necessary. 

Software development and application management

IT outsourcing providers can design, develop, test, and provide maintenance of custom software applications. They also involve processes such as requirements analysis, coding, testing, and support, providing tailored solutions. 

Data management and analytics

Outsourcing data management and analytics involves the collection, storage, analysis, and visualization of data for deriving actionable insights. They can drive critical decision-making and support business objectives. 

Cybersecurity services

Cybersecurity outsourcing services are intended to protect the company’s data against cyber threats and data breaches. They include the implementation of robust security measures, risk assessment, and threat detection.

What Are the Benefits of Outsourced Services?

The concept of outsourced services revolves around the idea of leveraging expertise and resources to handle non-core functions. By doing so, you can save time and costs on hiring and training an in-house team or investing in needed resources.

By focusing on fundamental competencies, you can streamline operations and improve overall efficiency. Business process outsourcing is commonly utilized as it offers flexibility and cost efficiency.

At CLICKVISION BPO, we specialize in tailoring outsourcing services based on the company’s needs. By outsourcing functions such as customer support, data entry, and back-office operations, we enable businesses to concentrate on strategic initiatives and innovation, fostering sustainable growth and competitive advantage.

What Are the Benefits of Outsourced Services

Source: / Photo Contributor: Drazen Zigic


Outsourcing services offer a myriad of benefits across different domains. The most commonly outsourced services include human resources, financial and accounting, customer service, and information technology.

By partnering with reputable outsourcing providers and leveraging their expertise, resources, and solutions, businesses can enhance operational efficiency, reduce costs, and accelerate innovation. They can position themselves for sustained success and growth in the dynamic business landscape.

With a strong background in the marketing industry and healthcare leadership roles, Filip is responsible for CLICKVISIONBPO's sales strategies and onboarding new clients. With a passion for sharing insights gained from his experience, he also shares valuable knowledge through industry related articles.

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