A few years ago, Dollar Shave Club started offering home delivery of razor blades using a subscription model similar to the philosophy and methodology behind Business Process as a Service (BPaas) and HR outsourcing. By providing an Internet platform that gives customers the ability to schedule and pay for recurring shipments of replacement razor blades, and fulfilling those orders on a fixed schedule basis, Dollar Shave Club effectively reinvented the modern razor buying experience.
You already know that outsourcing the more cumbersome aspects of a process allows you to better allocate your resources so you can focus on the outcomes of a process rather than the process itself. Dollar Shave Club exemplifies this benefit in practice. Moreover, they do a great job of extending two additional benefits: provide customers with a level of control over the automation of service and offer opportunities to spend some of that saved money on related services.
Configured for Control
From meals to heals, the subscription service model is becoming increasingly popular and prevalent. It’s a mutually beneficial design that rewards all involved, especially when the advantages of automation are balanced with decisive action.
Dollar Shave Club lets members determine which type of blade they want to use and how frequently they want to receive these blades, without locking them into a pattern. This provides customers with a level of control and freedom to modify services so they appropriately address their immediate needs.
Likewise, outsourced business services can be configured to deliver only the services you need and only when you need them. It’s an extension of the understanding that one size does not necessarily fit most, much less all. While the terms and expectations of a service offering can be standardized with an acceptable level of presumption, the components of that service should be flexible and scalable.
For example, if your organization is growing rapidly, you may need to upgrade your 500 employee payroll processing service to accommodate an expanded staff of 1,000 employees and pair that with benefits administration services for your growing talent population. A dedicated provider has the ability to implement these changes quickly and efficiently, and gives your organization the freedom to focus on localized growth issues.
Keep the Change?
Within the first month of membership, Dollar Shave Club customers have amassed a certain amount of free time and savings to be disbursed as they see fit. The extra scratch can be saved for a rainy day or used to purchase additional Dollar Shave Club items, such as shaving lotion, post-shave moisturizers and even hairstyling products.
Similar to Dollar Shave Club members, it’s up to business process outsourcing customers to decide what to do with the fruits of successful outsourcing and automation. Other areas of an organization’s business can now take advantage of levels of attention and engagement previously dedicated to internal processes that have now been outsourced. Teams and individuals can now focus on identifying and developing the benefits of an outcome, rather than performing the processes that generate a specific outcome.
Customers know what they want and how much they need. The beauty of HR outsourcing is that you can automate the act of performing certain processes without giving up vital control of those processes. Subscription models don’t make decisions on behalf of the customer. They help the customer make better decisions.
Whether it’s determining the extent to which a particular process or set of services should be automated or deciding how to make the most out of beneficial outcomes, the choice always has and always will belong to the customer.