How to Get The Best Value Out of Outsourcing

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how covid will push outsourcing

Outsourcing is no longer considered a temporary fix to a short-term need. Instead, it’s being redefined as a permanent fixture in organizational makeup. It’s a new, leaner way to start and grow a company efficiently with a lot less overhead especially in the current economic situation.

Here are some of the ways how you can get the best value out of outsourcing:

  1. Define Scope & Schedule of the Project: Give vendors as much information as you can about what you need delivered and the way in which you need the work done. This will help them to offer realistic proposals and quotations.
  2. Choose the Right Vendor: Selecting an outsourcing vendor is as important as hiring a fulltime employee. Never select a vendor based solely on price but go for ones that offer a balance of good value and quality results. Choose a vendor who has experience and skills in what you need. Check their references and ask for feedback from other clients.
  3. Ownership of work: Make sure that you are clear about who owns the resulting outsourced work product. For example, ensure you’re registered as the owner of your website domain. For technology projects, it’s a good idea to specify a warranty or support clause after the project is complete.
  4. Cost-containment & Efficiency should be Ongoing Objective: A good outsourcing partner should be able to help you sustain cost-savings over a long period, not simply at the onset of an engagement, through ongoing quality and process improvements.
  5. Control Over Outsourced Functions: It’s critical for you to remain in touch with the elements of your business you’re outsourcing. Appoint skilled staff who understands your corporate vision well and can monitor the outsourced activity to be sure it’s in line.
  6. Solid Contract: At the onset itself, establish a written contract that outlines your expectations, specifics about payment, creative and other rights, expectations and roles, and an exit strategy. It’s vital to have a lawyer review any contract you sign.
  7. Facilitate the Transition: Existing employees may feel your decision to outsource reflects on their capabilities. Since some them may have to work with the vendor it’s important for you to facilitate the transition by communicating transparently with the employees so they understand what to expect and their loyalty is maintained.

 

Like any other business decision, outsourcing of any type, involves huge risks. It might seem like a gamble, but there has never been a better time to try to leverage outsourcing.

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