Outsourcing involves delegating a business task to another company. The growth of the internet has made outsourcing much more widespread and popular. Common business tasks that are outsourced include accounting, recruitment, marketing and IT support. However, it’s possible to outsource pretty much anything from answering calls to printing documents.
Just when should and when shouldn’t you outsource? It all depends on your company’s unique circumstances. This post can help you to know exactly when and when not to outsource.
The best times to outsource
When you can’t afford to do it in-house
Employing in-house experts to carry out certain tasks and acquiring necessary equipment could be too expensive in some cases. By outsourcing a company that already has the expertise and equipment, you can save a huge amount of money. This is why many companies outsource tasks like video production.
When you haven’t got the time to do it yourself
Some tasks are very time-consuming. Outsourcing these tasks can free up more time to focus on core tasks or simply prevent you from having to work overly long hours. It’s a common reason as to why many lawyers outsource litigation and why many website developers outsource copywriting.
When the task requires specialist skills you don’t possess
If a task requires specialist skills that you or your team don’t possess, it’s usually best to approach a third party expert. IT support is a task that is commonly outsourced for this reason. While you can employ experts to take on certain roles, some of the best experts may already be employed and working independently – and outsourcing allows you to tap into this talent.
The worst times to outsource
When security is a concern
When it comes to handling sensitive financial information or company secrets, some companies prefer to avoid outsourcing in case information leaks out. Keeping certain information in-house allows you to more easily control who sees it. Outsourcing services may require emailing information or sharing it via the cloud, which could increase the risk of the wrong people seeing it.
When it’s a task you enjoy and thrive at
You should never outsource a task that you are good at and that you enjoy. Such jobs contribute to your job satisfaction and outsourcing them could result in a loss of morale. For example, if you find accounting therapeutic and are good at it, it may be worthwhile continuing to do it yourself.
When it requires a personal touch
Handling certain tasks yourself could be important for building trust and respect. This includes handling personal complaints or dismissing employees. Such tasks may be unpleasant but it could be vital that you step up to these tasks to avoid coming across cowardly or uncompassionate.
Conclusion
Outsourcing is best reserved for tasks that you don’t have the money, time or expertise to handle yourself. You should avoid outsourcing tasks if they could be a security risk, if they’re enjoyable tasks you thrive at, or if it more courteous for you personally to manage the task.
