When outsourcing accounting work to overseas has become a trend to many Australian accounting firms, measuring your outsourcing partner’s performance is important for your firm growth and to optimize the outsourcing benefits.
In a previous article, we talked about the Guidelines to choose the right outsourcing partner. Metrics are useful for decision-making. Let’s design the metrics (Key Performance Indicators) to track your outsourcing partner’s performance.
Outsourcing Service Level
There are different types of Australian compliance jobs that your firm may want to outsource, so determining the levels of service can be the initial step for designing tracking metrics, for example:
- Job complexity that can be processed
- Turnaround time
- Numbers of staff available to work on your jobs
- Data security policy in place
Outsourcing Service Quality
Designing metrics to monitor the quality of the service provided by your outsourcing partner is vital for the long-term collaboration. Australian compliance jobs are critical, so here are some key metrics that you can use to qualify the service:
- Accuracy rate
- Error rate
- Quality and accuracy of the information available in the outsourcing management system.
Cost efficiency from Outsourcing
One of the goals of Australian accounting outsourcing is to reduce the labor costs onshore. Metrics in this area are designed to assess whether the overall expenditures have gone down and the net profits have been increasing as a result of the outsourcing initiative.
After 15 years of operation in outsourcing for Australian accounting, “Odyssey appears to be the only outsourcing firm with an appropriate number of accountants experienced in Australian tax and accounting to provide a proper and efficient service.”
Drop us a line if you would like to discuss more how to utilize outsourcing proficiently.