When you start a business of your own, you may have to take care of a lot of activities and at times find yourself running out of time… badly. But thanks to immense industry developments taking place around us, there is one way you could be rescued in such situations, and that is the world of outsourcing.
But just like every other thing, outsourcings has its own pros and cons list. Let us see how outsourcing is helpful for small businesses and what the flip side to it is.
Pros Of Outsourcing For Small Business
Cost Savings
As a small business owner, you may have to incur several costs which are inevitable for the growth of your business. With the help of outsourcing, the biggest plus could be in the form of savings as you may be required to pay less when you outsource compare to paying to those who are working full-time. For certain tasks, relying on outsourcing to overseas labor could work out cheaper than going for domestic or indigenous skills.
Efficient Management Of Work
Efficient organising of various activities is extremely important for meeting deadlines, especially for a small business owner. When certain tasks are outsourced, it could help you to focus on the core aspects of your business, thereby resulting in efficient management of work. With the help of outsourcing, workflow of your business could be managed properly.
Saving Time
As the owner of a small business, you may find yourself with super busy schedules and may have to run several errands. When you outsource certain tasks, this helps you to save a great deal of time and you can get your work done too.
Benefit Of Expertise And Skills
The world of outsourcing is burgeoning day-by-day with individuals offering specialised services. You can take advantage of these services for certain tasks which could help particular aspects of your business.
So it can be seen that outsourcing has its own benefits, however as previously mentioned, there are certain disadvantages associated with outsourcing. Let us see what they are …
Cons Of Outsourcing For Small Business
Late Or Delayed Delivery
As you outsource certain tasks, the first thing you would expect is to get the tasks completed on time. But there may be challenging aspects, such as difficulties in communication, absence of clarity as to what is needed to be done and miscommunication, which may result in late delivery of the work.
Increased Costs
Although we have stated savings as a big advantage of outsourcing, if choosing the correct employee is not done with proper care, it may lead to increased costs than if you had completed the task in-house.
Inadequate focus
As you outsource work, you should pay attention to how much time will be dedicated to your project. If your chosen outsourced employee has many of clients to deal with, this may result in inadequate focus on your project, whereas this may not be the case with those who are employed full-time with you.
So, we have seen the pros and cons of outsourcing. When outsourcing is done with proper care then it would be of great help for small businesses. Of course, one may have to consider its flip side too.
If you would like to discuss outsourcing further, please contact Nick at nick@walkerhill.com.au.
