The global construction industry has been registering a steady growth rate for the last many years, with projects becoming more complex and challenging. The widening gap in the demand and supply of skilled manpower is prompting many construction companies to outsource their services such as financial report preparation etc. The construction industry around the world is growing at an average rate of 3.9 percent every year, which is expected to continue until 2030, according to reports. The severe shortage of skilled hands, limited budget and the lack of interest in construction jobs are some of the factors why companies opt for outsourcing.
Outsourced staffing is expected to continue in the coming years to fill the need for qualified engineers, architects, consultants and construction workers especially among small and medium enterprises. A 2015 global construction survey showed that 87 percent of large organizations opted for outsourcing to support in-house project teams. As construction projects become more complex and challenging companies outsource an increasing number of tasks to external firms ranging from task execution to management of contractors and schedules and much more.
India has emerged as an outsourcing hub for construction companies around the world in recent past. Some of the common services outsourced include accounts receivables and payables, custom management reporting and profitability analysis, Building Cost Estimation, electrical construction estimate and much more. Construction related companies, contractors and developers avail the service of outsourcing companies to migrate large and complex projects within a short time frame.
The high competition in the industry coupled with escalating costs of operations has all made it difficult for construction companies to stay ahead in the race and that is where outsourcing helps. Construction companies face the challenge of handling hugely complex projects and operations in recent times. By depending on manual and non-standardized systems, the cost of operations and the turn-around time will go up manifold, which makes the business projects financially nonviable.
Benefits of Outsourcing Financial Report Preparation for Construction Companies
Operational Efficiency: Outsourcing companies have trained manpower and expertise in helping you to standardize back-end operations to ensure optimum results and growth. Companies can even choose to outsource all the applications involved in the project life cycle starting right from the design right up the completion and maintenance or choose to outsource specific modules as per their needs