Automation Entering Another Area Of The B2B World
Mapping of the Business Activity Codes, which are also known as Industry Classification Codes can simply be defined as an activity that is done with the objective of administration Internal Revenue Codes. Modern world companies have to spend a lot of effort on this mapping process. As a result, they tend to seek the assistance of interns in order to get the job done. However, it cannot be considered as an effective method available to map the business activity codes since the interns don’t have a clear understanding of how it should be done. This has been already spotted by some young entrepreneurs that decided to seize an opportunity and SMEs attentively watch them, followed by corporates.
Plenty of reasons are available for the modern world businesses to outsource their process of business activity code mapping. Time and cost effectiveness holds a prominent place out of them. With new technology companies arising, business owners do not have to allocate resources within the company to get tasks like business activity code mapping done. It is believed, that in future all repetitive and mundane tasks will be outsourced to companies that developed full or, at least, semi-automation to perform them. Whereas spare capacity, i.e. human potential in the company can be used for different purposes. It has been already identified that a company will be able to save up to 20 times by getting the job done with the help of a reputed service provider.
The whole roadmap to pinpoint two desired classifications is confusing and tangled. There are more than 300 business activity classification mappings worldwide. And this is just the tip of the iceberg. Industrial classifications are just one example, with product, statistical, data mining, chemical, and many other classifications coming after in a line. Almost each and every country has its national business activity classification both in its local language. When it comes to biggest economies (i.e. United States, Germany, Japan, China, Brazil, Russia, France, United Kingdom) there are even several valid classifications. What is more, these codes are updated every 3-5 years on average. Whereas newer versions are already mapped with previous ones by national statistical offices, there is no benchmark or point of reference between classifications for chosen countries.
Connecting the dots, building the bridges. Around 40 years ago some countries found a solution to the complexity of the problem and a couple international industrial classification codes were created (NAICS, NACE, SIC, etc.). Although some generalization was made there is still no clarification on exact correspondence between international business activity codes and national codes lists. It is said that with new outsourcing technologies companies like those performing semi-automated mapping will help to finalize the job within a short period of time and at the same time deliver the best quality. There are also some doubts whether they have enough knowledge as well as experience on certain business level yet their increasing number on the market may indicate overall satisfaction with services they deliver. After scrutinizing them, it seems these newcomers follow specific measures to complete the job within the shortest possible time. As a result, SMEs or corporates that decided to outsource certain tasks like e.g. classification mapping stay away from needless hassle and focus on core work.
It is all about putting matching elements together. Yet, to do it efficiently certain tools and expert’s knowledge is needed. Nowadays, hiring a bunch of students or interns that have no relevant experience or background to perform specific tasks is simply not economical. First, they have to be trained yet even after a month they won’t achieve the professionalism of companies that perform certain tasks on a daily basis for a living. Moreover, the rotations on the lower lever in a corporate ladder are very often. It means that is very difficult to retain once trained workforce within an organization for a longer period of time. Of course, finding a reliable outsourcing partner is not that simple, you need to be careful enough to look for a company that has plenty of experience. Going through customer reviews or asking for recommendations would be the best method available to get to know about them.
Automation and digitalization in certain areas is currently a must, prerequisite to stay ahead of the pack. Outsourcing mundane and repetitive work gives opportunities for businesses to grow and focus on their core activities. What is more, studies show that outsourcing specific tasks to experts allows those companies to increase their margin by up to 45%. Specializing in a narrow field helps to reduce costs and become a leader which provides the best quality at the lowest possible price. Specialization simply pays off. Probably, it is not always better to outsource a particular job to a different entity yet surely in many cases it pays off and brings intended results about. This phenomenon has been observed since the last century. Apparently, the biggest players in certain markets have already understood this and implemented necessary changes into their business models.