When Should You Outsource?

Outsourcing is the strategic use of external business resources to perform activities usually performed by internal resources. Labour is the primary resource in this case, with contract staff being hired by both small and big companies to handle certain jobs in place of permanent, in-house staff. The decision to outsource is a cost-saving measure for businesses, in terms of money and time. Not only are insurance and other worker benefit costs deducted, more productivity in less time is guaranteed when hiring an external specialist in the required field of work. Both how do you know when exactly to outsource? Here are a few tips to help you make this critical decision: 1. Determine if the function is a primary service of your business. If not, there may be no need to waste time and resources doing it with in-house staff. This applies mostly to SMEs or start-ups that need to operate with as few costs as possible. 2. Does the task need to be handled full time for smooth business operations? If not, you are better off hiring an external specialist. A common example is the role of an IT specialist whose services are only needed for computer repair and maintenance in some establishments. This does not require everyday attention; you can afford to take the risk and hire an IT specialist that only comes into the office once or twice in a week. 3. Decide whether an external service provider can be hired to perform these business tasks effectively. Perhaps, the provider has several years of expertise and a larger bank of resources. A good example of this is hiring a human resources consultancy firm to handle all staff recruitment and pay-roll processes. Another example is hiring a Digital Marketing agency.   With these points in consideration, you can be assured of making the right decision for your desired business growth and productivity. Whatever you decide, remember that the interest of your business should be your priority hence you need to make a conscious decision that will affect your business positively and increase productivity.   Need to outsource? Contact Outsourceit, Nigeria’s foremost outsourcing agency. See details: Address: 20, Adeola Raji Street, Atunrase Estate, Gbagada, Lagos     About the Writer: Ify Halim is a young Creative and a promoter of values through the force that is writing.  Follow her on twitter: @MissHalim

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This article was first published on 3rd April 2015 and updated on August 5th, 2015 at 1:58 pm

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