Is Outsourcing Right for Your Business?

If you’ve been following our blog, you know that we’re big on “keeping the main thing the main thing” – outsourcing allows you to do just that.

Ultimately, outsourcing allows your organization to focus on your core business. But what is outsourcing? Simply stated, outsourcing is the act of employing another company that specializes in services your company does not.

Companies that utilize outsourcing benefit from this cost-saving transaction. Yes, it requires that you take the time to find the right company and agree upon a fair price, but it also reduces the cost and time it requires of your team to pivot their focus elsewhere.

Below are some guiding questions to help you determine whether or not outsourcing is right for your business.

When it’s not related to your business

As a decision-maker, you need to constantly remind yourself of the original vision of your business. Start by asking yourself the following questions:

  1. What is your core product or service?
  2. What is the work you need done?
  3. Is the work ancillary to your core business? Rather, how far removed is it?
  4. Do you expect that you will need to do this work again?

If the work is not ancillary and is likely a one-time thing, you should definitely outsource. However, if you foresee the work being ongoing, consider what it would take to hire someone internally.

When no one on your team is interested in learning a new skill

Many people are happy focusing on and perfecting their skills in one area. But many others like to continue learning or to try completely new things.

Why not ask your team members if they’re up for a new project? Keeping things interesting is more likely to keep an employee on longer.

That said, keep in mind the level of skill you’re looking for. If you’re an accounting firm in need of a brand overhaul, we’d suggest outsourcing the project to an expert; however, if you’re an accounting firm in need of a basic brochure and have someone on staff who is interested, why not try them first? After all, they likely already know the organization well enough to promote it.

When it’s a huge, one-time project

This is closely related to the previous question. If it’s a big project requiring specific skills outside of your business, go ahead and bite the bullet to outsource. If it’s a small project, why not start in-house? Guess what, if it doesn’t work out, you can always outsource later.

When you don’t like doing it

The company I previously worked for was big enough that people were specialized – there was little to no overlap in department skills. That wasn’t for me. I like to have my hands in a lot of different things; I’d prefer to be good at many things rather than an expert in one thing.

When we started the company, the three founders made a list of our skills, of our likes, and of our dislikes. This helped us figure out what areas each individual would work on and what may need to be outsourced.

I, for one, not only dislike the sales role, but am terrible at it. I’d rather be on the content end and connecting the dots, internally and externally.

Note: It’s important to put people in positions that they enjoy because they will likely do a better job and be more loyal to the business. Utilize one or multiple members of your team who will love outsourcing and use it to strengthen your company.

When you need it done quickly (and well)

Trying to fit a million things into your busy schedule? Outsourcing can simply relieve some of your scheduled time to focus on other tasks.

Using another company to perform and take time-consuming tasks off your plate is more effective than producing mediocre work. According to Investopedia, research on outsourcing shows that companies can potentially “save around 15% due to cost reductions”.

Find the areas your company may need an expert in, whether assisting with insurance, HR services, or other, and consider handling them as external services.

Conclusion: When you should outsource

  1. When it’s not related to your business – keep the main thing, the main thing
  2. When no one on your team is interested in learning a new skill (or if it’s too complicated) – maintain that focus
  3. When it’s a huge, one-time project – find an expert
  4. When you don’t like doing it – people are more likely to do a better job when they like their job
  5. When you need it done quickly (and well) – experts can get it done in a fraction of the time it would take you or your team to learn a new skill

Considering outsourcing your digital marketing? Contact us!

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