| In today's fast-paced business environment, companies | | | | down your choices based on expertise, location and |
| of all sizes want to maintain competitive advantage. | | | | price. These types of vendor marketplaces provide |
| Pressured by daily demands and long-term goals, | | | | the flexibility of choice, with the power in the "buyers" |
| many businesses are realizing they can no longer do it | | | | hands. |
| all alone. | | | | Guidelines for choosing outsourcing partners |
| As a result, outsourcing recently has made global | | | | There are a few important points to remember when |
| headlines as a key strategy for achieving marketplace | | | | choosing outsourcing partners: |
| competitiveness. "Outsourcing," in its basic definition | | | | 1. Consider the provider/vendor's references. Create |
| involves transferring or sharing control of a business | | | | three or four questions that you can ask various |
| function to an outside supplier. In fact, small businesses | | | | references in order to get a complete perspective of |
| are following the moves of larger companies by | | | | the vendor's work style, ability to meet deadlines and |
| outsourcing various functions, from HR to finance to | | | | competency level. |
| customer service. | | | | 2. Ask to see a portfolio or record of the provider |
| To be effective, however, outsourcing involves a | | | | vendor's past work. Again, having a work product to |
| degree of two-way information exchange, coordination | | | | reference will help you to better understand if the |
| and trust between the outsourcer and its client. Simply | | | | vendor is going to meet your specific outsourcing |
| put, using an outsource company can help reduce | | | | needs (for example, specialist vs. generalist) |
| costs and gain efficiencies by leveraging the talent, | | | | 3. Ensure the provider/vendor can be available during |
| technology and expertise of third party vendors. | | | | the work hours and days that you specify - some |
| Additional benefits of outsourcing include the ability to | | | | companies need an outsourcing partner with |
| purchase intellectual capital, focus on core | | | | round-the-clock availability; others schedule weekly |
| competencies and better anticipate future costs. | | | | check-ins to report on progress. |
| The ins and outs of outsourcing | | | | 4. Do not immediately choose the lowest priced |
| A relationship between the company and the | | | | provider. All elements discussed above must be taken |
| outsourcee (if you will) is different than relationships | | | | into consideration. |
| between buyers and sellers of services. In the | | | | 5. Run a trial. There is no need to commit to long-term |
| outsourcing relationship, both parties integrate and | | | | contracts with outsourcers. Try outsourcing a |
| share control of a work process rather than remain | | | | stand-alone project and then consider a longer term |
| separate. | | | | relationship once you see and are comfortable with |
| In today's global and interconnected environment, it is | | | | the results. |
| common for businesses to choose outsourcees that | | | | Outsourcing is not right for every business, but it could |
| they have never met in person. Two good examples | | | | be for yours. Think about the functions-from human |
| are the freelance Web sites and Both serve as | | | | resources to accounting to marketing - that may need |
| marketplaces for buyers and sellers of particular | | | | a clearer focus. In turn, it will allow you to focus on |
| services - from graphic arts design to marketing | | | | your core business and ultimately, reap greater |
| management. Elance and guru allow you to narrow | | | | rewards. |