Outsourcing: Is It A Good Idea For Your Business?

When thinking of outsourcing in the United States, many people associate it with International trade: someone in China or India taking a job for pennies. However, in business, big and small, outsourcing is really an everyday occurrence. Think Payroll, Human resources, and legal services. These areas are frequently outsourced, by start-up companies to fortune 500 corporations. In fact, not just these areas are outsourced. Everything from manual labor to data storage are all fair game. It’s all around us. For instance, are you organizing an event? Outsourcing is hiring caterers, a planner, or a driving service? See what I mean? You have been outsourcing without thinking about it as such.

Outsourcing is then, simply when a company acquires another company or person to do work or some part of a project that cannot be done internally. The definition of outsourcing expands to include the integration of products or services by any outside supplier. In some cases, the company may be able to do the work but finds it much more cost effective to hire outside labor. In others, the company may not have the expertise required to handle a project effectively, and expediently. In either case, it makes a lot of sense to outsource resources - human or material - that cannot adequately meet your standards.

For some businesses, freelancers with all sorts of technical and creative backgrounds will be the best bet to provide professional, reliable and reasonable services to companies through outsourcing. For larger companies outsourcing alternatives will depend on exactly what you need. It is when the business professional has outsourcing needs where I hear the most push back regarding outsourcing.

So as a law firm looking at diversity and inclusion issues I dug more into this issue. TEIL has companies clients who do not have in counsel who outsource to us to act as an extension. Some clients are actually other law firms, who need specialized legal services, like Intellectual Property Law, that they do not practice in. This may be because a contract for their client requires it or a need arises as they are working on a contract. But how, you might ask, do these companies find us and other professionals?

In my study of this area, I find that entrepreneurs tend to go with someone they know or their friends and or family know or have used. This could be a great match as long as the outsourced professional actually does what is required. The problem comes in when I hear "Auntie's hairdresser's nephew has his new license and has done that before." Recipe for disaster. That nephew is practicing see business- whatever I see I attempt to do.

Most experienced entrepreneurs, companies, or departments within the companies more often than not tend to go with people, companies, and firms that have been vetted by themselves or business partners or business colleagues. Sometimes this is to keep the relationships mutual. I send you a client, you send me a customer. This makes sense but it is not always the best way to outsource either. Albeit they actually start with a reputable business, lawyer, accountant or organizations that can at least show on a website that they know what they are doing.

More and more, with the expansion of the Internet, it's encouraged for the outsource to expand their search through the use of online tools that connect businesses and services together nationally and internationally instead of relying on Joe's referral because Joe's project may have been different from yours. Of course for some projects, the outsourced may need to have a license in a particular state to do the business and this is a huge factor when using website finder sites. However, the great sites take you to those and you can determine licenses, experience and anything else you need to filter through. Using this method can save time and money and you may also find better talent.

Do not overlook small businesses that focus on specific areas when outsourcing. This is one way that diversity can also be considered and inclusion may be accomplished. As you determine who exactly you will need to work on your projects and why this could be paramount. Being in the legal field, TEIL Firms, a minority law firm, have been asked to work on cases, not just because we know what we are doing, but also to provide a diverse perspective and face to clientele, which can be an asset to top clients. A diverse perspective may be even more important when putting together a team for litigation and presentation to a jury or audience or answering an RFP for a contract that requires a minority firm.

So outsourcing is not just international, not just for the largest corporations and not just for saving money why then do some companies skip outsourcing?

A lot of companies don't outsource simply because they don't even realize the option is there. Without a creative mind on your team - it can sometimes be difficult to discover any way that outsourcing could be helpful. Ever heard of Influencer Marketing? Companies around the globe from major corporations like Tide, Starbucks, and McDonald's, down to local mom and pop's, are utilizing the quickly booming Influencer Market and utilizing their unique reach and niche market groups to expand their reach. Millions more are unfortunately missing the massive opportunity to expand their reach globally, at a fraction of the cost of a marketing and production team. Even if you have in-house counsel, staff, and all other perceivable business needs to be met, if you have an opportunity to expand your reach to a new audience and increase revenue, exposure, and stock market value, you have a reason to outsource. The best part of Influencer endorsement is that partnering with an influencer can sometimes mean paying them per-post and giving free products or services. That may sound like a lot of giving but in exchange, you only pay for results, and they automatically market your company with the free services you provide.

Taking the time to invest in diversity, inclusion and research just makes sense to me, and utilizing whatever resources can be found on the world wide web to expand your business empire is an expansion of profit. Consider diversifying the way your company does business through outsourcing. Studies have shown that those companies adjusting to new demographics automatically see steady increase in sales, exposure, and an exponential boost in company culture, and sometimes increasing the consumer, and employee satisfaction of your company just means getting on the level that they're at and making their voices, stories, and lives, a part of your company culture.

If you’re ready to start outsourcing, Click HERE. If your business sells merchandise, or physical products, get started with digital outsourcing in e-commerce space - Click HERE to get some great tools for outsourcing production .