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Are you a small or medium-sized business owner but haven’t given much thought, if any, to outsourcing some essential aspect of your business? Some small and successful companies have been known to adopt this method, which has worked in promoting their corporate objectives. Outsourcing is a business strategy that aids organizational management. Outsourcing can be done through an agreed contract where risk, asset, human management, production, customer service, quality control etc are handled by the vendor.  The art of outsourcing is a beautiful one that a lot of small business owners haven’t come to terms with. Working hard is good but working smart is much better. As a small business owner you can’t be the master of all, you need time to plan, organize, delegate, develop and put all into action. The longest of days is still twenty four hours, so why not look for a medium that will make business smooth and faster for you. Many business owners hold the belief that outsourcing is only meant for the big and well-established companies. But in the real sense small businesses can also outsource and do it well. Melinda F. Emerson, CEO of Quintessence Multimedia, says that great leaders know it is more productive to outsource work that is not revenue generating, but essential to business operations.  Outsourcing can bring a great level of stability to your business; it’s just a smart approach to achieving more in less time. So why not capitalize on the expertise of others to grow your business? Remember, teams win games; not individuals. Before you outsource here are some things you need to put into consideration. You need to know What, When and How to outsource. What – Outsource things that are not core to your business operations. When – Outsource when you sense a constant delay, struggles and unstable work flow on daily routines with self and fellow employees. How – Give clear and precise ways on how and what you expect at the end. Never assume vendors know it all.   Outsourcing can help your business in the following ways:   Controls risk and increase efficiency One of the main reasons you outsource is to minimize risk. Business comes with a level of risk, but when it’s being outsourced you cut that aspect out (risk management), which saves your business a lot of damage. Outsourcing gives your business an important competitive advantage, which increases speed, saves energy and time. When other companies try to do it all at the same time, you outsource and concentrate on the key things that will help the growth of your company. Outsourcing leads to a great level of efficiency, because you’ve to prioritize all that there is to do. Reduces labour costs Outsourcing helps you cut out the rigorous process of getting some aspects of your business done, which may involve hiring and training of employees, production etc. If truth be told, outsourcing is a cheaper and faster alternative to get jobs done for small businesses. It helps to reduce the overhead cost which in turn helps to maintain business. It also helps to reduce the excessive expenditure at the beginning phase of your business. Increase focus on business Focus leads to high level of concentration on a particular act or thing .Outsourcing helps small businesses channel its focus from minor activities towards an area that provides clients and generates competitive advantage. It helps channel human resources to where they are needed the most. It also helps companies to be potent in what they do best, by keeping focus on expertise and main business. Steve Jobs said; “I’m as proud of what we don’t do as I am of what we do.” He also pointed out that innovation means eliminating the unnecessary so that the necessary may speak (Focus). Be the master and not the slave of your business.
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This article was first published on 19th November 2013

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