Factors to be considered before outsourcing is completed

Freedom with Shakespeare's famous quote: & # 39; to outsource or not outsource – that's the question & # 39;. The answer depends on a number of factors, such as the length of the project, the necessary expertise, confidentiality and future needs. Review your situation against our instructions to answer this famous question for your business.

Simple definition for those who ask what's the difference between outsourcing and subcontractors? Typically, outsourcing is done locally by management under management during subcontracting on your site under your management. Some of the same issues and questions apply both when deciding whether to leave or stay at home. Outsourcing tends to be a long-term decision with the biggest loss of control.

To help with your assessment, start examining the following questions. Your answers will help determine which policies are best suited to the situation.

1. Is this a project / project core activity (what is your business as a company)?
2. Is there a need for specialized skills?
3. What is the length?
4. Will information about confidentiality / property rights be?
5. Will the project lead to new skills necessary for ongoing activities?
6. Could the project be canceled early due to budgets / other priorities?
7. Do I have staff now or would I have to hire them?
8. Do you want to succeed in your daily work?

There are some general guidelines for deciding whether to outsource or keep home activity. Check out these answers to the answers to the above questions to help with your decision.

Instructions 1: If the action is core business in your business, do not outsource. Think about building cars. The integration is absolute and you do not want to outsource this process, but computer technology is not complete and you would be able to outsource this without affecting your business.

Instructions 2: If functionality requires highly specialized skills you do not have and would only need a short time, outsource. An example might be if you would like to write a staff manual that ensures that all your policies are represented clearly and correctly. You would be better off outsourcing this to an experienced HR consultancy. On the other hand, if you have just installed a new computer technology that requires specialized technicians, it's better to hire talented individuals, since you will need longer or more years to work on undecided / multiple tasks.

Guideline 3: If the distribution of very sensitive and confidential information does not occur during the execution of the project. Example: If the project requires customer access and future instructions, do not outsource. Showing offices or other public information would not prevent business and could be outsourced.

Instructions 4: If you need the staff when the task is complete, do not outsource. This includes situations like more tasks to work or recruit skills needed. However, tasks are complete without the need for staff to require workers, human resources, potential costs and legal issues. These short staff need to be outsourced because you can terminate a termination letter (based on contracts) and do not have to deal with outsourcer employees.

Guide 5: If activity lasts for several years, no outsourcing. The main reason is price. Outsourcing usually costs more than if the work was done at home, where you pay certain costs and profits. & # 39; dollar as part of the cost of doing the work. There will always be a need for accountants, and although this is not an absolute skill, the need is in progress and should be kept at home, for example.

Instructions 6: If you require strict management, do not outsource. While you could have overall control over the project, daily management is controlled by outsourcer. This would affect project management, employee ethics, customer relations (if any) and feedback. An example of recent outsourcing, which could not be a good idea, is support for Dell sales of computer equipment. Dell could not manage customer relations and there were numerous complaints about communication skills, product knowledge, and overall attitudes of outsourced technicians. Many companies that have allocated support have withdrawn control.

Like most things in life, the decision is not always cut and dry. The project may be absolute or require disclosure of confidential information, but you do not have any managers or employees available. Is the project enough to ignore these factors? If yes, outsourcing can be the right solution. By weighting the most important factors for you, answer & # 39; Outsource or Home & # 39; may just be a bit clearer.


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