Deciding to outsource some of your tasks is one thing, but making sure that you have a solid strategy (or transition) to get the results you want is another.
Similar to setting a financial goal to be achieved at the end of each year, a business has to have a solid plan with clearly formulated action steps to follow to make sure one arrives at that financial goal.
Outsourcing, if done correctly, will result in countless benefits. It levels the playing field, especially when pitted against a giant company. It lends your company an air of expertise and gives it a much-needed boost.
The secret to ensuring your outsourcing efforts yield positive results is to have a solid fail-proof plan. The following are essential steps to coming up with a successful outsourcing business plan:
Have a clear objective
Outsourcing comes with some advantages. It is essential that you identify what your main objective/s is/are.
Your goals may probably be along the lines of reducing costs, increasing your bottom line, using company resources efficiently, getting access to experts not available locally or internally, etc.
Having a clear objective sets the stage for your selection of an outsourcing partner and negotiation process. It helps you set expectations for your company as well as your outsourcing partner. It also allows you to come up with a criteria to measure your success.
Determine your scope
Once you have identified your goals, you will be able to set your limits and boundaries or certain restrictions. You will recognize your core and non-core business functions, determine what you can and cannot outsource and whether you want to outsource to one company or several.
For a startup company, you may want to hire a virtual assistant to help you with scheduling and administration tasks. If you are a medium-size enterprise dealing with sales, you may want to outsource market research functions or telemarketing. As a giant company, you may want to outsource manufacturing or customer service.
Know your budget
Without a plan, it is difficult to reach your goals. Having a plan also means knowing how much you are willing to spend. Especially, for startups, small and medium-sized enterprises, who may have limited resources, setting a budget ensures you don’t blow things over and, you have adequate resources left for other endeavors like growth or innovation.
Having a budget, also allows you to understand current costs and performance levels. When you know how much money is coming out, you will be able to determine your success by also knowing exactly how much or if money is coming in. Being aware of this, you will know whether outsourcing is working for you, so you move forward or if you need to make changes, to improve further.
Set your criteria for success
Once you have placed your goals, the scope of the services you want to outsource and determined your budget, you will then be able to formulate clear, critical but achievable factors to use as a gauge in measuring your success. This should be commensurate to your goals and budget.
Having a clear, measurable and manageable set of values and terms is paramount to achieve
Formulating an outsourcing strategy that ensures success can be an overwhelming challenge especially if you are new to outsourcing.
Our team at Executive Boutique would be happy to share with you valuable insights and proven strategies that are borne out of actual and years of experience.
To find out more, get in touch with us today.