Why Plan for Outsourcing in 2020?

Outsourcing is going to play a very important role in 2020 and beyond. As it is considered to be an important part of a company’s journey and also help in enhancing a company’s capability by adopting different technology. Technology also helps the companies to interact with the customers, salesman, stakeholders etc. The company must be capable of capturing the value of a business which is created in the market. Outsourcing also helps to deal with experienced people that help in the smooth functioning of a company’s business. It also helps us to build a good relationship between the companies. Outsourcing also helps in reducing the cost, improve the quality standard, and also help in the growth of a company.

As it is rightly said:

“If you deprive yourself of outsourcing and your competitors do not, you’re putting yourself out of business” — Lee Kuan Yew

Outsourcing Decision-Making Process

Outsourcing decision-making process consists of six steps:

1: Understanding objectives

It is the first step in the outsourcing decision-making process where we have to first think and understand our objectives.

2: List of outsourcing possibilities

In the second step of the outsourcing decision-making process, here we have to list all the outsourcing possibilities.

3: Plot the matrix

In the third step of the outsourcing decision-making process, we plot the matrix in the horizontal or vertical scale of operational performance.

4: Establish quadrants

Through this step of outsourcing decision making process buyers are allowed to understand the different source and it helps them to manage properly.

5: Identify service providers

It is the fifth step of the outsourcing decision-making process where we identify service providers which help us to do work easily and quickly.

6: Run the numbers

It is the last step in the outsourcing decision-making process where we run the numbers.

How outsourcing helps

Ø Build talent pool

We get the right resource with the right experience and technical expertise for our projects.

Ø Increase efficiency

We get our work done by the best people while our internal team focus on their specialised areas.

Ø Reduces labour cost
these resources are economic for they are paid only for a specific period, unlike the full-time professionals.

Ø Operates round clock

The difference in time zone enables you to run our business even when our house resources are sleeping.

Ø Offers better risk management

Third-party vendors can help you with risk mitigation programs to enable our team to concentrate on other important tasks.

Ø Provide flexible staffing arrangement

We need not give long- term commitment and so we can scale up and down these resources as a need to be.

-Krati Porwal