The media has reported a lot about the outsourcing of jobs to foreign companies. Although the opprobrious reports regard large company manufacture of products in foreign countries for sale in their domestic and foreign markets, Many small businesses have already had experience with outsourcing. Many small business owners and small companies are not specialists in all functions of business, like human resource and other specialized functions of the business. They, therefore may outsource these functions to other companies more capable of doing the tasks.
The outsourcing website, Firmbuilder.com, is a great resource to look at to determine if outsourcing may be right for your company. The website has a Small Business Guide to Successful Outsourcing with great tips on determining the benefits of outsourcing for your business. Here is a few do's and some mistakes to avoid for small businesses thinking about outsourcing from the website.
Five Do’s of Successful Small Business Outsourcing:
- Outsource the bottlenecks, the things that are really keeping you from growing your business profitably.
- Pick great partners. Check them out. Talk to their current customers.
- Once you outsource, your provider is part of your company, treat them that way.
- Demand excellence – this is what your provider does for a living. The way they do it should constantly amaze you.
- Outsourcing can scare employees – get, and stay, ahead of the rumor mill through straightforward, honest communications.
Source: Michael F. Corbett & Associates, Ltd.
Six Worst Mistakes in Small Business Outsourcing:- Not clearly defining the desired results and how they'll be measured.
- Not talking to a provider's current and former clients.
- Failing to consider the long-term relationship dynamics.
- Signing a standardized, multi-year contract.
- Not planning up front for how the relationship might end.
- Treating the provider as an outsider.
Source: Michael F. Corbett & Associates, Ltd.
posted by Silentman, Henry C. @ 15:34 hours MT(GMT-7)
