When it comes to outsourcing, different business owners have different opinions about it. Whether you are for it or have yet to consider trying it, keep in mind that outsourcing exists because there are plenty of benefits to be had from getting various crucial business functions accomplished by someone outside of the company.
Leveraging the talents of other people beyond your organization will provide several advantages. Of course, at the same time, there are also some drawbacks that come with the territory. Here are some pros and cons you must consider when deciding whether or not to outsource your next project.
5 Pros of Outsourcing
1. Reduced Cost
The reduced cost of hiring externally is the most influential factor behind outsourcing. Outsourcing will allow project managers and entrepreneurs to work with contracted employees instead of part-time or full-time employees. Outsourcing is a cheaper option compared to using domestic talent.
2. Access to a Bigger Talent Pool
Hiring an employee locally usually gives employers less options. And this means you must compromise. Outsourcing sidesteps that issue; you can get talents from different parts of the country or even the world. Whenever you need specialized help, it makes sense to consider expanding your search.
Moreover, you do not need to bring an employee into your company if you outsource. And this will help save you money on everything from training to benefits.
3. Easily Manage Projects
If you use a service like Infinity Staffing, it will organize and streamline the management of outsourced staff. Thus, it will be a lot easier for you to post a project and fill a vacant position in a timely manner. The management process of project cancellations, payment schedules, and deliverables becomes effortless.
4. Distant Relationship
When working with other people, things do not always go smoothly and as planned. A contractual relationship will provide employers a much easier platform to either fire or replace your employees without the common human resource issues. Personal feelings are rarely an issue with outsourcing due to the fact that the bond is less developed. Also, it is guided by a contractual scope of work.
Bear in mind that if you want to build a strong relationship with your employees or team members, it is crucial for you to release those who aren’t performing well as early as possible.
5. Time Zone Factor
With outsourcing, your team can still work while you are sleeping. Depending on the geographical location where most of the outsourcing takes place, it is more likely that your outsourced employees are on the opposite side of the world. Imagine, your office closed and your business still running.
Through outsourcing, data entry, web development, and support functions can be accomplished. Moreover, some of your outsourced staff might not recognize American holidays, so your business does not have to close its doors on Easter, Christmas and other national holidays.
4 Cons of Outsourcing
1. Lack of Control
Although you can give direction when it comes to the things that must be accomplished, you don’t have full control when you choose to outsource. Due to the fact that the person isn’t physically working with you at the office, it can be hard to maintain the level of control you want.
2. Issues with Communication
Even if communication issues don’t always come into play, it is still one of the significant drawbacks of outsourcing. So it is important that you determine your preferred method of effective communication – instant messaging, email or phone. Most importantly, make sure that they have access to a stable internet connection. This way, you can contact them whenever necessary.
Communication is essential to business success, so always make sure that communication won’t become a problem when you outsource.
3. Poor Work Quality
Outsourcing is a joy when you are receiving the quality you expect. But it will be a disappointment when your outsourced staff turns in poor quality work. This doesn’t mean that you can no longer outsource certain tasks, but you must honestly discuss the level of quality you expect to see from each person’s output.
4. Lack of Focus
Among the biggest concerns that you might encounter as a business owner is making sure that your outsourced team gives adequate attention to your business operations. Due to the fact that your employees were outsourced, you can only hope that your project is their priority. In comparison, the work productivity of in-house employees can easily be monitored and sustained.
When a member of your team is working remotely, it’s harder to make sure that the projects are on track and that they are not working with other projects from other clients. Develop daily checkpoints and weekly milestones. This ensures that projects are done with accuracy and efficiency.
Outsourcing will not always have a negative impact on your company, but you must protect yourself against this before taking a step in this direction. Discuss your decision with all employees who might be affected.
Outsourcing staffing services offers many advantages and disadvantages. Take deep consideration whether it will be beneficial since it will greatly affect your organization. Be aware of the outsourcing pros and cons so you will properly decide if this is something that will work best for your business.