Business as a Service (BaaS) is a business model that offers real-life services such as accounting, marketing, or IT to other businesses. BaaS is characterized by an instant, on-demand service where businesses pay only for what they use (some refer to this as a utility model). According to Ed Miller, managing director for Accenture’s Workday Business Group, "The marketplace is quickly moving toward a new era of service delivery where applications, infrastructure, and business processes are brought together and delivered as-a-service." The overall theme in this model is the provision of companies with "plug-in, scalable, consumption-based services," guaranteeing better business outcomes (Miller, 2019).¹
So, what makes businesses want to partner with BaaS providers? Simply, instant gratification. According to Deloitte Insights (2017), organizations are seeking fast, easy, and seamless access to core business services that other businesses are offering and maintaining, enjoying the same benefits as if they did it themselves.² With BaaS, businesses can deploy customized services and ready-made business processes. Most importantly, businesses can become more agile in managing their people and technology costs.
One of our large clients who runs urgent care clinics across the country was new to the BaaS model. On many occasions, their leadership set aside our discussions about what we could do for them outside of coding and billing. When the topic of accounting or business office support comes up, many clients are quick to say, “we’re good.” And they’re not always wrong. But what happens if there is a shortage of qualified talent. What if there was say… a pandemic?
Why do companies outsource in the first place?
Historically, saving costs was one of the primary drivers for outsourcing, whether it was IT services, marketing, or medical coding and billing. A survey study by Deloitte highlighted three key reasons for outsourcing: cost, enabling core business functions, and solving capacity issues. Business organizations are outsourcing today, less for the cost savings and more for the transformational change and improved business results.
As our client continues to shift to a Business-as-a-Service (BaaS) model in staff outsourcing, their growing demand for staff outside of traditional billing and coding is growing. And it’s not just happening at this company. The staff outsourcing market is forecasted to reach $45.8 billion by 2027. Our client works with us because we are a strategic partner. We will supply BaaS models that reduce costs and improve business process efficiency, all while holding true to our core value of providing extraordinary outcomes.
The VP of one of our health care services clients said they will need “an end-to-end transformation of their business processes” in the years to come. Her “ah-ha” moment came as we reviewed their contract. We were already the business partner she needed. We were recently told the client had forgotten that we were a vendor. We had become a partner; a partner they didn’t know (or perhaps had forgotten) how much they needed. They forgot because they don’t have to think about it – we are always there.