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Outsourcing involves paying another company or an individual that is not an employee to carry out a task for you. Popular examples of tasks include accounting, shipping, marketing and cleaning.
It can be cheaper than hiring in-house staff and you often get the benefit of hiring experts. However, outsourcing can go disastrously wrong if you don’t pay attention to what you’re doing. Here are just several major mistakes to avoid when outsourcing.
Going too cheap
As with anything in life, you get what you pay for. While outsourcing can be cheaper than hiring full-time employees, you don’t want to go too cheap. The likes of Fiverr have plenty of cheap services that you can hire for as cheap as five dollars, but you’re usually paying an amateur who may not always be able to deliver. Being prepared to pay a little more will ensure that you hire a professional.
Not researching into reputation
It’s always worth doing your research into a company’s reputation before outsourcing them. Many companies will have information about their achievements on their site such as this Barr-Nunn Trucking Mission. This can help you determine how experienced a company is before you take them on. It’s also worth reading online reviews left by other customers. If a company has lots of one and two star reviews, it’s usually a sign to steer clear.
Not keeping up communication
When hiring someone in-house, you have the benefit of being able to keep communication on everything that is going on. When you outsource a company, you may have to send emails or ring up to check on progress. The best companies will keep you updated along the way so that you don’t have to check up on them. However, some companies and individuals may not offer any communication unless you contact them. Don’t assume that everything is going well just because they haven’t talked to you – there’s always a chance you could have been forgotten or that they may be trying to cover up a disaster. That isn’t to say that you should phone them up every hour – just make sure that you don’t go weeks on end with no communication.
Outsourcing too many tasks
Outsourcing too many tasks can end up being a difficult juggling act. You need to be able to keep track of everyone that you’re outsourcing. On top of this, you need to be able to afford it – the more you outsource, the more money you’ll be spending. Prioritize the tasks that you’re not skilled at or that are extremely time-consuming and take on any other tasks yourself. Just because you can outsource a task doesn’t always mean that you should – outsourcing a company to answer the phone can be convenient, but if you don’t get regular phone calls is it really worth it?