The decision to outsource imposes risk as you place your business in the hands of a stranger. Like all risks, hiring that stranger may be the best decision you’ve ever made or it could be the decision that sinks the proverbial ship. Outsourcing need not be a sink-or-swim risk for you or your business. The following tips can help you decide the best way to hire outsource vendors.
Outsource the Right Activities
A stranger won’t know the unique aspects of your company that distinguish it from your competition. Keep the processes your employees do successfully in-house with staff who have a vested interest in corporate success. Outsource those activities in which your company could use improvement or you simply don’t have the means or time to do.
Consider Outsourcing Costs
Businesses that outsource save money by avoiding employment expenditures like salary, benefits, and training costs. Some companies like PLS Logistics Services promise an immediate 10-15% in cost savings when you utilize their expertise in areas like supply chain management. Most have a team of consultants that can properly analyze your data and discover opportunities to increase productivity.
Choose the Right Team
Consider the old wisdom: 1) Caveat emptor and 2) Red Adair’s famous quote, “If you think it’s expensive to hire a professional, wait until you hire an amateur.” Resist the inclination to hire the cheapest vendor. Look at customer reviews, check out endorsements and recommendations, and interview the vendor. A company with experience and a good reputation may have a more expensive rate, but he’ll likely save you money in the long run because you won’t have to pay for poor work or lost production time due to error.
It doesn’t matter how efficient your outsourced team is, if you can’t adequately communicate your needs and desires you’ll have no solutions. Explain the parameters of your goals and requirements with room for feedback. Trust the professional you hired to know how to work their trade successfully. The point of outsourcing is to create more time and resource. Trust their judgements and listen to their suggestions.
From knowing what to outsource, to ensuring that you are on the same communication wave length as your hired management team, there are multiple factors that go into a successful outsourcing relationship. If done right, you’ll see an increase in efficiency, reduced overall costs, and added skills and expertise that may take your business to the next level.
Meghan Belnap is a freelance writer who enjoys spending time with her family. She loves being in the outdoors and exploring new opportunities whenever they arise. Meghan finds happiness in researching new topics that help to expand her horizons. You can often find her buried in a good book or out looking for an adventure. Meghan recommends enlisting the help of companies like PLS Logistics Services for your business outsourcing needs. You can connect with her on Facebook right here and Twitter right here.