Outsourcing is a one-time or permanent delegation of a certain category of tasks to an outside organization. Outsourcing is usually resorted to when it is not profitable for the company to hire staff to perform non-core tasks. Literally, the term “outsourcing” translates as “using resources from outside” – it comes from the expression “outside-source-using”.
Pros and cons of outsourcing
Outsourcing gives businesses the opportunity to get a quality service outside the professional field of the company, but it has other pluses:
- no need to independently organize the search and selection of suitable candidates, and, accordingly, reduced costs for HR and adaptation of employees;
- quality guarantee – the outsourcing company undertakes (if specified in the contract) to provide services on time and in the proper manner;
- the probability of force majeure situations is lower. Outsourcing companies usually have a large staff, so there is always someone who can take over the task (for example, if an employee gets sick);
- improving quality through the provision of services by a specialized organization;
- increase the efficiency of your own company, as there is an opportunity to focus on key processes;
- saving on technical equipment for specific tasks, such as printing.
On the other hand, outsourcing has its disadvantages:
- dependence on the outsourcing company: its prices and quality requirements for performing services. However, it is possible to find an organization that meets your criteria;
- access by third parties to confidential information. In some cases, it makes sense to enter into an NDA agreement.
How to organize outsourcing in your company?
Many companies turn to outside specialists to provide cleaning services, security, food delivery to the office or courier services. Sometimes accounting or legal tasks are outsourced, as well as IT services. Also, marketing, PR and HR services are often called upon.
- Understand what services you need and how often.
- Make sure outsourcing is a better fit for you than hiring a full-time employee.
- Find and choose an outsourcing company whose services are right for you.
- Read the terms and conditions outsourcing company.
- Make a contract. Write down everything that you think is important there, including the criteria for the quality of work and the terms of termination.