3 Important Things to Consider Before Outsourcing

Outsourcing is partnering with third-party providers who can provide quality products or services. It is a cheaper way compared to hiring an in-house employee.

Outsourcing is a strategy that became popular in 1980. This strategy involves hiring an outside employee for specific tasks that a business cannot do on it’s own.

Outsourcing is beneficial to small businesses that have insufficient funds to cater to business operation needs. Even large companies outsource services that help them to become more successful and productive.

But there are 3 things to keep in mind before outsourcing. These are: what are the services you need to delegate? What are the advantages of outsourcing services? And how to outsource successfully?

Here are the 4 types of outsourcing services that can help your business depending on your needs and work efficiently.

Professional Outsourcing Service

Repetitive tasks -- like administrative jobs, purchasing, lead generation, digital marketing, and even job recruitment --- oftentimes begin to fall behind as a business grows. Many big companies and startup founders have started to outsource their mundane tasks to professionals. It helps them to focus on the business core and save costs rather than hiring an in-house employee.For instance, you can outsource social media management. In a fast-paced technological world, social media is essential for your brand to grow online. A social media VA can help you plan and schedule your post on the different social media platforms, build an online presence, and monitor and track social media performance.

IT Outsourcing Service

Information Technology can also fall under the category of mundane tasks. It includes adaptation to cloud storage, app development, technical support, web development, online threat protection, and so much more.

WhatsApp, GitHub, Alibaba, Skype, and Slack are some examples of successful companies. But what do they have in common? They outsourced their tasks to outside developers. This IT outsourcing strategy leads to victory.

Project-Based Outsourcing Services

There are times that the company needs assistance for a specific project within a specified time. In these situations, outsourcing is more practical than hiring an in-house employee.

Project-based outsourcing is recommended if:

  • You want a project to be completed soon;
  • You lack time to keep track of a project’s progress;
  • You have insufficient funds and a lack of employees to deliver the project.

For example, say you want to outsource some tasks to a marketing specialist. Digital marketing is important for a business to grow and help your website rank on the top of the Search Engine Result Page. Here are some types of digital marketing:

  1. Search Engine Optimization (SEO) - Do you want your website to be at the top of the results page? Then, an SEO expert can be a great help for you.
  2. Content Marketing - Whether B2C or B2B, a content marketer can help to boost your brand awareness by providing creative content online like videos, blogs, social media posts, and articles that can lead the reader or followers to sales over time.
  3. Pay-per-Click (PPC) - Don’t know how to manage an ad? A virtual assistant navigates and utilizes ad spaces offered by Google.
  4. Social Media Marketing - Want to grow your engagement and help your business reach new leads through social media platforms? Then the skills of a social media manager are in need.
  5. Email Marketing - To create an irresistible email campaign, let the email marketer handle it for you.
  6. Influencer / Affiliate Marketing - Looking for an influencer to bring more sales? Let the marketer find and outreach the compatible influencer for your business.
  7. Mobile Marketing - Most people spend their free time using their mobiles. So, your website should adopt a mobile-friendly interface.
  8. Manufacturing Outsourcing Services

    Does your business produce a physical product? If yes, you may consider outsourcing the production of your product.

    It can save you a bunch of money. You don’t have to pay factory workers and their benefits. Additionally, there’s no need to purchase capital for production. All you have to do is find a reliable outsourcing company and check the quality of the product delivered.

    What do you get when you outsource?

    Identifying and choosing what services you need to outsource is necessary and a big help in your business success. Here are some benefits that you can get when you outsource:

    Lower Expenses

    It is not a secret that outsourcing is much cheaper than hiring an in-house employee. You don’t have to invest in equipment, infrastructure, or software.

    • Lower Expenses – It is not a secret that outsourcing is much cheaper than hiring an in-house employee. You don’t have to invest in equipment, infrastructure, or software.
    • Focus on Core Business – High productivity is a necessity for starting and growing your business. Focusing on what skills your team is good at is more efficient and time-saving for your business in the long run.
    • Access to the latest technology and talent pool – Many software and applications are emerging to help businesses become more productive and track their progress. An outsource service company already has access to the tools and can give you access to a team of professionals.
    • Reduced risk – Outsourcing with a suitable VA company will help you assess and avoid the risk that may occur.
    • Increased efficiency – One of the keys for small and midsize businesses to grow is to outsource. It helps you to get work done quickly and sustain the productivity level of your team.
    Every action you take may have a drawback. If outsourcing is not handled properly, the following issues can occur:

    • Communication issues – A misunderstanding may arise if one partner can only speak at a proficient level while the other is a native speaker.
    • Losing control – When you work with a freelancer or VA company, they will primarily be the one who controls the way a task is completed. While they will do their best to complete deliverables, there is still a chance that you will not like the results.
    • Exposing confidential data – Bringing in a new, unvetted virtual assistant is risky, as you may need to disclose some of the company’s nonpublic information to them. If you plan to outsource your confidential tasks to a VA, make sure they are reputable and trustworthy.

    Before outsourcing, it is best to know the types of outsourcing services companies and the advantages and disadvantages of outsourcing.

    And if you plan to outsource, the last question would be, how to delegate tasks effectively?

    How? Here are 5 Tips for Outsourcing Successfully:

    1. Start with time-consuming jobs – If it is your first time outsourcing to a service company, start with tiny tasks. It could be booking, organizing emails, or scheduling meetings via email or LinkedIn. It can give you an idea of how service providers execute tasks proficiently, and let you build your trust.
    2. Set goals and expectations – Give clear information about your problem, goals, and time deliverables. You can outline your project milestone into project management tools like Asana, Trello, or Basecamp.
    3. Collaboration – Keep in mind that an outsourcing company is your business partner. They invest in your business and share the same goal as you:l to be successful.

      Even if the outsourcing company is skilled and knows how to resolve your problem, they still need to learn more about your unique business process. Allow them to have access to the resources they require for the project.

    4. Maintain Open line Communication – An open communication is a necessity in every organization – in-house or outsource. Scheduled meetings can help to avoid a possible problem and misunderstandings.
    5. Trust – Learn to trust and rely on outsourcing company strength. Hiring an outsourcing company is an advantage to solve your teams’ weaknesses.

    Successful founders and leaders acknowledge areas where they are skillful and outsource their shortcomings. This is crucial for a business’s success. It gives them access to a wide range of professionals that deliver quality services.

    How about you? Do you want to free up your time? Check how Pareto can help you to work efficiently and effectively here.

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