Outsourcing is not Casualisation - Olusoji Oyawoye on Thisday Live
Oyawoye: Outsourcing is Not Casualisation, Articles | THISDAY LIVE
When and how did RIL start in Nigeria?
RIL was incorporated in May, 2006 and opened its doors for business on July 1, 2006. The company was born out of a desire by its founders to provide a platform to manage staff for organizations in a professional manner through Business Process Outsourcing.
Olusoji Oyawoye is the MD/CEO of Resource Intermediaries (Nigeria) Limited (RIL), a human resource outsourcing company in Lagos; a position he has efficaciously held since 2006. Oyawoye a 1987 Bachelor of Science graduate of Economics who also holds both a Postgraduate Diploma and Masters Degree in Business Management, has a wealth of banking experience spanning the period of eighteen years including five years in Executive Management capacity. An Associate Certified Outsourcing Professionals (aCOP) of the International Association of Outsourcing Professionals (IAOP) in USA, a Fellow of the Association of Outsourcing Professionals of Nigeria (FAOPN) and a member of the Institute of Directors of Nigeria (MIoD), Oyawoye is a mentor, motivational speaker, a publisher with several published articles and, he is currently the president of Federal Government College, Lagos Old Students Association. Oyawoye reveals to Tunde Bodunrin the projections of outsourcing in 2015 and RIL’s bite in the outsourcing practice in Nigeria. Excerpts:
When and how did RIL start in Nigeria?
RIL was incorporated in May, 2006 and opened its doors for business on July 1, 2006. The company was born out of a desire by its founders to provide a platform to manage staff for organizations in a professional manner through Business Process Outsourcing.
What differences has RIL made in the Outsourcing Practice in Nigeria since inception?
With all modesty, RIL has played a significant role in enhancing the practice of Outsourcing in Nigeria as a management practice, riding on its corporate membership of the International Association of Outsourcing Professionals (IAOP), the global, standard-setting association and advocate for outsourcing professionals and the organizations they support. We have used our membership of the Association of Outsourcing Professionals of Nigeria (AOPN) to bring major outsourcing providers, users and regulatory agencies together for dialogue severally resulting in better understanding and more professional industry. In 2012, we also birthed an annual gathering of Outsourcing practitioners in Nigeria under an annual program tagged ‘’The Outsourcing Expo” which holds in June of each year. The 4th edition of the event which was seeded to AOPN last year will be holding in Lagos on June 17th 2015. RIL working with AOPN facilitated the first ever IAOP Master Class on Outsourcing in Africa. Finally, we have led the initiative to provide conducive work platforms for employees engaged for the outsourcing industry to get benefits like medical cover, paid annual leave, access to loans, self development, training opportunities amongst others as core staff rather than contract staffing conditionality that prevailed prior.
What are the projections of Outsourcing in 2015?
With prevailing economic challenges brought about by fall in oil prices, and severe devaluation in the Naira, Outsourcing is projected to grow significantly in 2015 as businesses would need to find ways to reduce costs while enhancing value. That exactly is what Outsourcing provides.
With all modesty, RIL has played a significant role in enhancing the practice of Outsourcing in Nigeria as a management practice, riding on its corporate membership of the International Association of Outsourcing Professionals (IAOP), the global, standard-setting association and advocate for outsourcing professionals and the organizations they support. We have used our membership of the Association of Outsourcing Professionals of Nigeria (AOPN) to bring major outsourcing providers, users and regulatory agencies together for dialogue severally resulting in better understanding and more professional industry. In 2012, we also birthed an annual gathering of Outsourcing practitioners in Nigeria under an annual program tagged ‘’The Outsourcing Expo” which holds in June of each year. The 4th edition of the event which was seeded to AOPN last year will be holding in Lagos on June 17th 2015. RIL working with AOPN facilitated the first ever IAOP Master Class on Outsourcing in Africa. Finally, we have led the initiative to provide conducive work platforms for employees engaged for the outsourcing industry to get benefits like medical cover, paid annual leave, access to loans, self development, training opportunities amongst others as core staff rather than contract staffing conditionality that prevailed prior.
What are the projections of Outsourcing in 2015?
With prevailing economic challenges brought about by fall in oil prices, and severe devaluation in the Naira, Outsourcing is projected to grow significantly in 2015 as businesses would need to find ways to reduce costs while enhancing value. That exactly is what Outsourcing provides.
What are the measures in place to achieve these projections?
The Association of Outsourcing Professionals of Nigeria (AOPN) on whose board I sit as Chairman on Policy and Strategy Committee is sensitizing its members to these opportunities while prospective beneficiaries/users are also being courted.
The Association of Outsourcing Professionals of Nigeria (AOPN) on whose board I sit as Chairman on Policy and Strategy Committee is sensitizing its members to these opportunities while prospective beneficiaries/users are also being courted.
How relevant is Outsourcing to the economic development of Nigeria?
Outsourcing’s major benefit is cost savings. Cost savings is a key attribute for any thriving entrepreneurial business that Nigeria clearly seeks. Entrepreneurs are able to focus on their core business while outsourcing non-core functions to outsourcing providers who by reason of experience and expertise are able to render such non-core functions better and cheaper. Knowledge Process Outsourcing also provides an opportunity for businesses to outsource their technical often expensive needs (knowledge) to an outsourcing provider at a fraction of what it would cost them to acquire and maintain such knowledge in-house.
The very big businesses are able to acquire most of what they need in-house, but even they do outsource what is not core to them. Strangely most small businesses which is what predominate in Nigeria try to acquire and manage all they need in-house.
These benefits are only possible through outsourcing for most companies.
Would you say outsourcing firms in Nigeria have protected the interests of their staff well enough from their clients regarding promotions, career progressions, remuneration etc. especially in the face of casualization?
Well first I must emphasize that outsourcing is not casualization. Unfortunately lack of this understanding is why outsourcing professionals continue to receive negative press.
The Association of Outsourcing Professionals of Nigeria (AOPN) ensures that each of its members adhere to certain benchmarks to retain their membership. All staff managed by any AOPN member are core staff of the provider with Federal Ministry of Labour certified benefits such as letter of employment that is not limited by time, freedom to resign with notice or payment in lieu, paid annual leave, access to medical care and normal work hours with any extra hours negotiated and paid for as overtime. No staff on casualization has these benefits hence the clear distinction between an outsourced staff and a casual or contract staff. My advice to clients is to ensure that your provider belongs to the AOPN or perhaps any other vibrant and recognized association to which they can be reported for sanctions where staff rights are abused.
What are the major challenges facing outsourcing practice in Nigeria?
The major challenge is the lack of an enabling law to regulate the practice of outsourcing in Nigeria. President Obasanjo did initiate the process and I believe he sent a bill to the National Assembly while he was President. But that bill remains untreated probably for lack of capacity to lobby by the budding outsourcing associations. This lack of legislation opens the door for many unprofessional practitioners who provide casualization and engage in other sharp practices with no consequences. Anyone can wake up today, incorporate a company and say they are providers of outsourcing services. But outsourcing is a professional management practice. A related challenge is the fact that three major players are required for outsourcing practice to thrive; the provider, the user and the advisor. Advisors are meant to act as agents to the provider and user acting as guides to help both draw up a mutually beneficial Service Level Agreement. There are no advisors in Nigeria thus leaving providers and ssers to come to their decision usually with strongly opposing positions. And of course the user usually gets the upper hand as providers are eager to get the business. Advisors are usually lawyers and related professionals who also acquire experience in outsourcing as a business practice.
Outsourcing’s major benefit is cost savings. Cost savings is a key attribute for any thriving entrepreneurial business that Nigeria clearly seeks. Entrepreneurs are able to focus on their core business while outsourcing non-core functions to outsourcing providers who by reason of experience and expertise are able to render such non-core functions better and cheaper. Knowledge Process Outsourcing also provides an opportunity for businesses to outsource their technical often expensive needs (knowledge) to an outsourcing provider at a fraction of what it would cost them to acquire and maintain such knowledge in-house.
The very big businesses are able to acquire most of what they need in-house, but even they do outsource what is not core to them. Strangely most small businesses which is what predominate in Nigeria try to acquire and manage all they need in-house.
These benefits are only possible through outsourcing for most companies.
Would you say outsourcing firms in Nigeria have protected the interests of their staff well enough from their clients regarding promotions, career progressions, remuneration etc. especially in the face of casualization?
Well first I must emphasize that outsourcing is not casualization. Unfortunately lack of this understanding is why outsourcing professionals continue to receive negative press.
The Association of Outsourcing Professionals of Nigeria (AOPN) ensures that each of its members adhere to certain benchmarks to retain their membership. All staff managed by any AOPN member are core staff of the provider with Federal Ministry of Labour certified benefits such as letter of employment that is not limited by time, freedom to resign with notice or payment in lieu, paid annual leave, access to medical care and normal work hours with any extra hours negotiated and paid for as overtime. No staff on casualization has these benefits hence the clear distinction between an outsourced staff and a casual or contract staff. My advice to clients is to ensure that your provider belongs to the AOPN or perhaps any other vibrant and recognized association to which they can be reported for sanctions where staff rights are abused.
What are the major challenges facing outsourcing practice in Nigeria?
The major challenge is the lack of an enabling law to regulate the practice of outsourcing in Nigeria. President Obasanjo did initiate the process and I believe he sent a bill to the National Assembly while he was President. But that bill remains untreated probably for lack of capacity to lobby by the budding outsourcing associations. This lack of legislation opens the door for many unprofessional practitioners who provide casualization and engage in other sharp practices with no consequences. Anyone can wake up today, incorporate a company and say they are providers of outsourcing services. But outsourcing is a professional management practice. A related challenge is the fact that three major players are required for outsourcing practice to thrive; the provider, the user and the advisor. Advisors are meant to act as agents to the provider and user acting as guides to help both draw up a mutually beneficial Service Level Agreement. There are no advisors in Nigeria thus leaving providers and ssers to come to their decision usually with strongly opposing positions. And of course the user usually gets the upper hand as providers are eager to get the business. Advisors are usually lawyers and related professionals who also acquire experience in outsourcing as a business practice.
Are there contributions, participation or policies you expect from the government and the society that could boost outsourcing operations in Nigeria?
From my responses on the challenges above I would say we need to have proper legislation on outsourcing practice, we need to have Advisors come up, we need to get providers join the Association of Outsourcing Professionals of Nigeria where self-regulation is currently being implemented and successfully too for collective good of the industry.
From my responses on the challenges above I would say we need to have proper legislation on outsourcing practice, we need to have Advisors come up, we need to get providers join the Association of Outsourcing Professionals of Nigeria where self-regulation is currently being implemented and successfully too for collective good of the industry.
Outsourcing is dealing with all companies and their finances. The range is done for the flow of the tools to explore more it’s for the humans. The range is defined for the accepts for the individuals.
ReplyDeleteThe backgrounding of this is black, I like black but its give not the proper information in clear manners. The picture and whole procedures of this website are very attracted to the users. It has the best trainer great postof the business they share many ideas on this site.
ReplyDelete