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5 Tips for Outsourcing Data Entry

Finding the right data entry service provider is no simple task. Even determining whether or not the process should be outsourced can be a difficult decision for many organizations. When looking for a data entry service provider, we have found that there are a few best practices in making an initial assessment.

Here, you will find five tips and a handful of questions to consider as you make the decision on outsourcing data entry services:

  • Determine the cost of these data entry tasks internally
  • Decide how much security you need
  • Review source documents and if they can be outsourced
  • Determine vendor qualifications
  • Decide if these tasks can be done offshore

1. What does it cost to currently perform these functions internally?

To better understand whether outsourcing data entry services is right for your organization, the first component to think about is how much these tasks are already costing you. Specifically, we’ve found these four functions are most critical:

  • Direct labor costs
  • Supervisor costs
  • Equipment and software costs
  • Physical cost for space

Once you have determined these four internal costs, you will have a baseline from which you can start comparing vendor quotes.

Related: Why your business should outsource data entry

2. What physical and electronic security measures are important to protect your valuable information?

Are your service organizations required to have a SOC I Type II audit report, or other certified organizational control report? Do your current vendors process financial information, personally identifiable information (PII), or protected health information (PHI)? Whether your organization has explicit rules regarding vendor security or not, you will want to know the safeguards your service providers implement to protect your sensitive data.

3. What are your source documents like, and do they lend themselves to be outsourced?

Interview your business process owners and understand their requirements. How quickly will they need access to data once source documents have been sent to the data entry vendor? If the documents contain sensitive information, consider the different methods of file transmission and how each might impact your business.

Related: How to choose a data entry provider

4. What are your vendor qualifications?

Can you tell from a prospective vendor’s website or marketing brief what qualifications they have? You will want to factor in past performance, references, case studies, and certifications. While they may vary in importance to you, carefully considering each will help you make the best decision for your organization.

5. Can the work be done offshore, or is it required to be done domestically?

Many service providers operate from India, China, and other countries with lower costs of labor. You will want to take into account the nature of the ongoing working relationship – will you be working with a US-based project manager in your time zone, or with someone 12 hours away?

Related: Onshore or offshore document management?

Get your data entry project off the ground today

While these tips may serve as a starting point in your search, we have found that every organization has its own set of factors to consider when deciding whether or not to outsource. When reviewing these tips with your business process owners over the course of your evaluation, we hope you will contact us at ILM if you believe we may be a good fit. With decades of experience and a proven track record of providing accurate and timely data, ILM is ready to help you get started today.

Need another reason to choose ILM as your data entry service provider? Learn about our Every Time Guarantee now!

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