When to Outsource and When Not To

When to Outsource and When Not To

With digital technology making it much easier to communicate over long distances, transfer business data and collaborate on projects, the physical barriers that prevented one company from working with another are being eroded. This has meant that businesses of all sizes now can outsource many of their processes to an external organization. There are a variety of reasons why this might be desirable, but it’s important for businesses to not get carried away. Here are some reasons why you should, and shouldn’t, embrace outsourcing.

Temporary Work

Outsourcing can be an effective way of dealing with a temporarily increased workload, without the need to employ additional staff. If your business has just taken on a new client, for example, on a short-term contract, it may not make financial sense to hire more employees to deal with the additional workload. Temporary agencies can help you to find qualified short-term contractors to get you through the busy period.

Expert Assistance

Perhaps the most convincing reason to turn to outsourcing is to take advantage of expertise that you simply do not have internally. Marketing is one area of business that many companies are outsourcing, particularly as they grow and expand.

Specialist companies can help you with the many facets of marketing, which have become increasingly diverse due to the rise of the internet. New developments include, social media management, search engine optimization and PPC management: Do you really need it? This will help you decide!

When You Simply Don’t Have the Time

Looking to outsource can be particularly useful for smaller businesses that may not have the in-house resources to compete with more established firms. Instead of stretching their existing staff too thinly, businesses can utilize the knowledge and resources of an external firm to take the pressure off. In this way, outsourcing can help level the playing the field in the competitive world of business.

Not To Cut Corners

One of the reasons that should never be used to justify outsourcing is so you can cut corners. Although outsourcing can save your business money, if it is to the detriment of the products or services that you are supplying then your organization will quickly be found out. In the long-term, outsourcing to cut corners will lead to poor customer service and reputational damage.

Not Before You’ve Done Your Homework

When you outsource any of your business processes, you are putting your trust with another company – perhaps one that you have never worked with previously.

Before you carry out any outsourcing, make sure you thoroughly research the company that you are hoping to do business with. Ask other businesses in your industry for feedback and arrange a face-to-face meeting with the outsourced firm, if possible.

Also, make sure you ask about their security credentials before sharing any information. Outsourcing sometimes requires the sharing of sensitive data and should a breach occur, it will be your company’s reputation on the line.

If your business could benefit from some extra assistance, whether it’s expert advice or temporary staff, don’t be afraid to ask for help. Outsourcing could be vital in your hour of need.