The ever-evolving work landscape has experienced significant change in the last few years. Where office jobs were once highly desirable, they’ve lost some appeal. Instead, remote and hybrid working models take precedence.
Remote working became the new normal during the peak of the pandemic. However, now that things have calmed down, many employers want their employees to return to the office full-time. It’s turned into quite the hot topic, with passionate advocates on both sides of the discussion.
Those who want to maintain a flexible schedule have embraced freelancing. Fortunately, employers can benefit from this shift too. All in all, hiring talent on-demand or outsourcing holds benefits for both sides.
What are on-demand talent and the gig economy?
Talent on-demand workers contribute to what is also known as the contingent or shared economy. They’re independent workers that deliver a service to others temporarily. These individuals fuel the gig economy in several ways:
- By working a side job on top of a regular, contract job
- Using gig commercial centres like Fiverr to connect with those in need of once-off services
- Pursuing various impermanent jobs while remaining independent from fixed employment
Gig work is becoming a firm favourite as people regain control of their working lives and financial freedom.
The difference between on-demand talent and outsourcing
Although on-demand talent and outsourced staff often get confused, they’re distinct. Let’s explain:
- On-demand talent includes those who deliver services on a freelance, temporary or consulting basis. In short – they’re not on your business payroll. Gig workers and (independent) contractors fall under this category.
- Outsourcing involves hiring a company to take over a specific business function you don’t want employees focusing on. Simply put, outsourced staff work for the outsourcing company, not yours. Outsourcing payroll, accounting, HR, and customer support are all popular options.
On-demand service providers can be full-time employees with side hustles or self-employed. Whatever the case, they’re part of the gig economy. Outsourced staff, on the other hand, work for a fixed employer.
Why is on-demand work becoming popular?
Nowadays, on-demand work is popular among employees and employers. The reason lies in the perks. When recruiting on-demand talent, companies enjoy lower hiring costs and avoid employee benefits. Businesses also tend to be more productive, innovative, and agile thanks to fresh inputs.
Talent on-demand workers reap plenty of rewards too. Better workload control, work-life balance, and diverse projects draw people to this industry.
Things to consider before hiring on-demand talent
We’ve seen the many perks of hiring temporary help from the gig economy talent pool. And yet, it might not be the best option for every business. Certain companies will see better results when recruiting on-demand talent than outsourcing. It all depends on individual needs and the company’s growth.
Business objectives
Depending on the urgency of business objectives, tasks may be postponed repeatedly. Yet they need to get done too. When a project stays on the backburner in favour of others, hiring talent on-demand to deal with it could be the solution. Especially if it’s a one-time job.
Doing this allows full-time employees to focus on their primary responsibilities uninterrupted. Instead, an outside party swoops in and uses their expertise to complete the rogue task. If the job needs completing on an ongoing basis, like accounting, outsourcing is better.
Company size
When a business is new, it’s a good idea to support the gig economy by hiring freelancers for short intervals. However, once a company reaches the growth or maturity stage, outsourcing becomes the better option. That’s because essential tasks you don’t specialise in, like HR management, still need full-time attention. Without the ongoing support from experts, your business position may weaken.
Outsourcing
When considering outsourcing and talent on-demand for your business, remember the former is often a safer choice. To begin with: there are no surprises with outsourcing. The staff set clear goals and establish predetermined outputs too. On the other hand, on-demand talent and results can be more unpredictable.
The benefits of outsourcing
Workers from the gig economy may offer a host of benefits, but outsourcing is often more reliable. However, reliability is far from its only perk.
By outsourcing tasks like payroll, focusing on what’s important becomes easier and less stressful. Particularly when hiring a company like OPS, with well-established procedures, systems, and processes.
Scalability
Whatever your business needs, there’s an outsourcing option for you. It’s scalable, which means you can increase or decrease outsourced staff as necessary. The best part is they all know what protocol to follow, unlike when hiring new talent on-demand.
Guaranteed business continuity
Supplementing employees with outsourced staff (and those from the gig economy) gives you a hybrid workforce. Their combined efforts help overcome all challenges or unexpected tasks that pop up. Everyone gets to focus on their strengths. Plus, doing so bolsters the company’s position
Maximise productivity
Productivity in a hybrid workplace usually increases because everyone can focus on their duties. Fixed employees, outsourced staff, and talent on-demand all know what they need to do. And for this reason, they have the opportunity to do their jobs exceptionally well.
Access to the latest technology
Hiring a top outsourcing company means enjoying the perks of the best technology without buying it yourself. For example, OPS’ HRMIS software is state of the art. It ensures the outsourcing company delivers clear and faultless results time and again.
Access to systems and processes
One of the benefits of outsourcing over hiring from the gig economy is that the service providers have tried and tested systems in place. In fact, they’ve likely figured out the best way to do the job you need them to do. And if it’s not a perfect fit, they’re sure to customise the processes to your needs.