Running a business can be a very demanding task, and increasing its dimension or scaling to a global level can bring an entirely new set of challenges. Company owners need to ensure that the business is run smoothly, whilst also ensuring that revenues grow and clients are satisfied. However, there is also the challenge of being fully compliant with legislations throughout multiple jurisdictions, as well as staying cost-effective and maintaining a flawless back office. But how does one secure the perfect balance without getting overwhelmed and without spending too much money on resources?

UK Outsourcing: the best for keeping your company on track

A solution that most companies are familiar with is the outsourcing function. This allows the business to delegate planned or ongoing business activities to another organisation. As an example, if you think of payroll outsourcing, what comes to mind? You will hire a company to calculate, distribute and process your businesses employee payslips based on the countries’ legislation. The outsourcing company will then cover all of the reporting and additional work required. Most companies can perform payroll in-house, however a third party will significantly lower the cost of labour, technology, administrative burden and non-compliance which ultimately contributes to the bottom line.

Outsourcing is usually based on a fee for service model, this is where the service provider will perform a set of services based on an agreement. However, when you run a global organisation there may be further requirements or needs of the business and that’s when the managed service model may be required.

UK managed service provider: a partner with proactive approach and strategic potential

What is a managed service provider (MSP)? A MSP works towards ensuring a business is working as effectively as possible, by suggesting improvements on certain processes or replacing those processes with innovative solutions. The MSP will find ways to reduces costs, whilst also maintaining the same level of quality, ensuring that customer satisfactions is always top priority. A managed service model is a proactive approach to service delivery that focuses on a deep understanding of the needs and processes of a client.

The main advantage of a managed service, regardless of the service being provided, whether in payroll, accountancy or other specified areas, is real integration within the business. The best MSP’s have global reach that ensures seamless expansion of clients’ businesses to any locations across the globe, whilst always maintaining a single point of contact and the best local expertise are available.

Choosing between UK outsourcing and UK managed services

How to choose and what is better for your business? For starters, both options are cost-effective and offer the best in expertise, technology, innovation and reduce a great number of business risks. To make a choice, it is important to revisit the key difference: outsourcing is reactive, while MSP is proactive and for every establishment a different approach is suitable. To unburden your business from any administrative work and shift the responsibility from yourself, so that you can focus on the core business matters, then outsourcing is the right match for you. This option can work for both small and medium sized enterprises or large international corporations.

However, if your business has complex requirements, ambitions to expand globally or you need a strategic steering wheel, then a managed service provider is what you are looking for. The accountability and foresight for your success and effective operation is what makes a managed service option unique.  The fact that a single point of contact can cover and manage multiple vendors for you, no matter what the location, ensures that running an international business is a piece of cake.

Here at Accace Adept, we have a wide and vast range of experience with the two approaches both available locally and globally. Our team is ready to discuss with you the options available and the best approach for your business needs. We can assist with taking your accounting, payroll and HR administration to the next level, or find the best solutions for you with our team of tax, legal and corporate advisors.

Michelle Martin

Managing Director | Accace Adept

Book a meeting with Michelle