Outsourcing can improve your business and the productivity of everyone involved. You simply need to know where, when, and how to outsource so that it benefits your company best. When it’s done right, your whole team can work better and faster, but done wrong, and you’re causing hiccups left, right, and center.
To help you outsource in a way that improves the productivity and success of your business, remember to keep these concepts in mind.
Work Out Where to Outsource
The first thing you need to do is find the weaknesses in your business. Every company has them, but new and small businesses will be riddled with weak spots. You can either hire someone to fill that spot, or you can look into outsourcing.
It depends entirely on your budget and whether the weakness can be handled by one person or an entire team. For example, you would likely want a whole team of IT specialists, but most new businesses won’t have that sort of budget. Instead, outsource to an IT agency. It’s effective and allows you access to top talent without paying their full wages.
Types of Outsourcing
There are two types of outsourcing that you need to keep in mind.
Ad Hoc outsourcing means that you only hire them when you need a certain job done. You don’t want to hire someone in-house to handle these jobs because you need them so rarely. Instead, hiring outside to a freelancer or agency can allow you to save big and get the job done properly.
There are instances where you will want an ongoing partnership to handle a portion of your business. Shipping products, for example, is a massive endeavor and getting it right often requires an entire department on its own. Even then you likely won’t have the right infrastructure in place to quickly or affordably service the entire country.
That is where partnerships come into play. By hiring a product fulfillment company, you can outsource the shipping portion of your business and better serve your customers. Take advantage of a fully realized network and benefit at a fraction of the cost of trying to set up such a system on your own.
Vetting the Companies You Partner With
Both ad hoc and ongoing outsourcing partnerships need to be vetted appropriately. Sometimes this will be as easy as reading though the reviews. At other times, it will be more complex and require ongoing communication with the company you are thinking of partnering with to ensure that they can offer you a service that suits your needs.
Assess Your Relationship on a Regular Basis
Never assume that the best option available five years ago is still the best option for you today. Always go through and access your relationships to determine whether it is time to hire someone in-house instead of continuing to outsource, and of course, whether the company you chose in the past is still the best company to partner with today.