Coffee Break

Essential Strategies for Managing Non-Core Business Services

In every business, some tasks are not the main focus. Often, these include IT support, handling employee matters, or keeping the office running smoothly. Even though they’re not the main thing a company does, they are still essential.

If these services are not managed well, they can cause problems. It might cost too much, slow things down, or even affect customers’ happiness. That’s why it’s important to have a good plan for these services.

In this blog, we’ll look at some of the best ways to manage these non-core services. It’s all about making things run better and helping the business succeed.

Identify and Prioritize Non-Core Services

Non-core activities are the tasks that support your main business operations but aren’t directly related to producing your product or service. Now, even though these services aren’t at the heart of your business, they still have a big impact on how well everything runs.

For example, if your IT systems are down, it can slow down your entire operation. If HR isn’t functioning well, you might struggle with hiring or keeping good employees. So, it’s important to understand how each of these services affects your core activities.

Once you’ve identified your non-core services, the next step is to prioritize them. Not all non-core tasks are equally important. Some might have a bigger impact on your daily operations than others. To figure out which ones need more attention, you can create a simple prioritization framework.

Outsourcing as a Strategic Option

Outsourcing can be a smart move for businesses that want to focus on what they do best. By letting experts handle non-core tasks, companies can save money and get access to specialized skills.

But outsourcing isn’t just about handing over tasks to someone else. It’s important to choose the right partner. A reliable outsourcing partner can make a big difference in how smoothly things run. When selecting a partner, consider their reputation and experience.

Expertise is another crucial factor. If you need specific services, like Business Process Outsourcing that includes EDI, check printing, or mailing services, make sure the provider has solid experience in these areas. They must understand the unique requirements of these tasks. Choosing a partner who truly knows the work ensures that they can deliver quality services and help your business succeed.

Implementing Technology Solutions

Technology can be a game-changer when it comes to managing non-core business services. One of the best ways to use technology is by automating routine tasks. Software can automate these tasks, saving time, reducing errors, and freeing up your team to focus on more important work.

But it’s not just about automation. It’s also crucial to make sure that the tools you use for these non-core services work well with your main business systems. For example, if you have a software tool for managing customer service, it should connect smoothly with your main database. This way, information flows easily between different parts of your business, helping everything run more smoothly.

Finally, technology also helps you monitor progress. For instance, if you notice that your automated payroll system is running slower than expected, you can analyze the data to determine why and fix the issue before it becomes a bigger one.

Establishing Service Level Agreements (SLAs)

When working with service providers, it’s crucial to set clear expectations right from the start. This is where Service Level Agreements, or SLAs, come into play. It is a contract that spells out exactly what you expect from the service provider.

SLAs usually cover a few key areas. First, they define availability—how often the service should be up. For example, you might expect IT support to be available 24/7. Next, SLAs lay out performance standards. This could include how fast a service should run or how accurate the results should be.

Response time is another critical component. It defines how quickly the provider should respond to issues or requests. Finally, SLAs include penalties if the provider fails to meet these standards. These penalties help ensure the provider takes the agreement seriously.

Building Internal Capabilities

Building internal capabilities is an important strategy when managing non-core business services. It starts with developing in-house expertise. This means creating teams within your company that are skilled in handling specific tasks like IT support, human resources, or legal work. By having your team, you can ensure that these tasks are done the way you want them.

Another effective approach is to combine in-house capabilities with outsourcing. This hybrid method gives you the best of both worlds. You can rely on your in-house team for critical tasks that need close attention. At the same time, you can outsource less critical tasks to external partners, saving time and resources.

Conclusion

Managing non-core business services doesn’t have to be complicated. With the right strategies, you can keep everything running smoothly without losing focus on your main goals. Whether you choose to build strong in-house teams, outsource tasks, or use a mix of both, the key is to stay organized and flexible.