There is a downside to everything, and the rule makes no exception for outsourcing.
While communication won’t necessarily be an issue for you, it is essential to ask yourself key questions regarding your vendor’s location; the way time zones will affect communication, and which tools you’ll be using to keep in touch. As always, remember to prepare a communication strategy with your partner before onboarding.
You’ll always be the one giving out directions to your vendors; however, you won’t be able to have as much control over the task as you would with your in-house team. But since you are supposed to trust the vendor, this doesn’t have to be a disadvantage and can allow you to free up resources.
Impact on company culture
Outsourcing does not always affect company culture negatively. But you should keep in mind that positive company culture is one of the biggest productivity drives for employees, which is why you should evaluate the possible impacts of outsourcing carefully.
How to Get Started with Outsourcing
The most important thing when outsourcing is to come up with initial solid planning and goals, setting up long-term strategies so you won’t have to plan every project in detail. You will help yourself and your vendors by having a clear vision of your tactical objectives from the get-go and being able to communicate them clearly to your service provider. You can then use them as a management tool through different projects. Below are a few steps to help you plan your outsourcing effectively.
Step 1 – Define clear goals:
A long-term plan will help you reduce costs and communicate effectively with providers.
Step 2 – Pick a management policy:
Be sure to focus on employees’ rights and create a management policy that is clear to everyone. Don’t think that reducing flexibility will reduce costs.
Step 3 – Define the functions to outsource:
At first, outsource non-core functions that don’t depend on know-how transfer, which will be the most likely to encourage short-term cost savings.
Step 4 – Select a provider:
It’s always best to pick a customer-driven provider with a lot of existing references for short-term savings, offshore with providers who have good resources and low service rates. For longer projects, you should take your time comparing profiles, taking into account economic stability and IT resources available across the world.
Step 5 – Prepare for the change:
Keep your employees in the know of long-term and short-term goals and decrease the cultural gap between your team and the providers to establish a good and professional climate.
Step 6 – Upgrade your operation:
Provide the outsourced team with network access and whatever communication tools are necessary, ensuring a solid security policy.
Step 7 – Maximize the opportunity:
At the beginning, focus on only outsourcing functions where your provider has a competitive advantage to maximize gains.