To Outsource or Not to Outsource: That Is the
Question.
In this economy, outsourcing is all the rage. Try
Googling “outsourcing” and see how many results
appear. A lot, right? But why are so many companies
jumping on the outsource train? Well the answer is
quite simple: its more cost-effective. However, even
though outsourcing may not be draining your bank
account, there is one thing you are losing and that
is control. The ability to control all aspects of
your business, which back in the 1990′s would all be
under one roof. So the question remains, which parts
of your business can be outsourced and which parts
should remain in-house?
For example, say your core business is a wedding
planning business and you wanted to design a website
that allowed your customers to view your most
current work. You could design your own company logo
and website, but the differences in the end result
between doing it yourself and hiring a professional
can be significant. Therefore, outsourcing allows
you the time to focus on your business and not
become an expert in someone else’s.
However, there are some aspects of your business
that you should not outsource and you should be
monitoring at all times! These include cash-flow
management and, in many cases, customer interaction.
Perhaps the biggest benefit of outsourcing is its
ability to save you money. For example, many
companies are beginning to outsource their IT
services (help desk, computer support and
maintenance), and pay significantly less than hiring
a full-time IT person to give the same level of
support. If IT is not in your core business,
outsourcing this could save you time, instead of
racking through technology blogs and calling
manufacturer help desks to troubleshoot your
problem.
Although outsourcing has many advantages, there
is one disadvantage that seems to deter many
businesses: you are putting part of your company in
someone else’s hands. Losing control of some aspects
of your business can be a scary process. Trust is
the biggest part of an outsourced business
relationship, which is why if you are going to
outsource any part of your business you should these
guidelines in order to find the best company
possible for your project.
Helpful Steps to Outsourcing:
- Do your research. Look for online
reviews about this company. Whether it be on
Yelp or an industry-specific review website,
make sure people are saying good things about
the company’s services.
- Don’t put all of your eggs in one basket.
Call a few vendors, not just one. Get a feel for
the industry rate for their specific service.
Price does matter, but doing the job well
matters more, especially when the job is
outsourced. You don’t have time to find a new
vendor every month.
- Get a thorough quote. When they
give you a quote, make sure that each part of
their service is broken down. You want to know
what you’re paying for.
- Call their clients. See what
their clients have to say about their work,
their professionalism and turnaround time.
- Meet with the company in person.
You may get a good vibe on the phone, but just
like any relationship, you want to make sure
that you can work well with them. Because after
all, it is your business and your reputation in
their hands.
Good luck & happy outsourcing!
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