7 Ways to Optimize Outsourcing Arrangements for Your Business
The decision to outsource business processes is a big decision that can make or break your company. If done correctly, outsourcing can help you scale your business and maximize resources. But without proper preparation, it can risk your brand’s reputation.
Fortunately, there are ways for you to make the most of your arrangements with an outsourcing company. From the moment you start your search until the time you start operating with an outsourced team, there are a number of things that you should look for to optimize your outsourcing arrangements.
1. Be specific about your needs
The most important aspect when it comes to setting up your outsourcing arrangement is your specificity. See to it that you create a list of what you are expecting to get from outsourcing your business processes. You should also identify the exact processes you need to outsource and your reasons for doing so. Every decision that you make and every item that you specify once you start outsourcing will have an impact, either positive or negative, on your business.
2. Vet your outsourcing company choices
Once you have prepared a list of your outsourcing needs, you can now explore the various outsourcing companies. Make sure they can provide you with a streamlined solution that is suitable for your outlined business needs. Other things that you should take into account is your budget, their capacity, turnaround time, quality procedures, communication processes, operational guidelines, and scalability. Keep in mind that you are choosing to outsource to make the most of your own resources and the right partner should be willing to fit into your needs, not ask you to adapt to fit their offerings.
3. Setup a trial run
Once you have narrowed down your choices of outsourcing companies, you can now contact your top choice on the list and set up a trial period with them. A trial period is recommended to help you evaluate if the outsourcing company’s overall processes fit your needs when practically applied to your business. During the trial period, make sure that you document the outsourcing provider’s productivity, their ability to meet deadlines, and if they are meeting your quality targets. This period will also allow you to identify any potential problems that may come up and be able to mitigate them in the future in case you decide to move forward with your partnership.
4. Document all arrangements and agreements
Once you have identified the right outsourcing partner, you should see to it that everything within your arrangement is documented properly. This is to make sure that everything you have discussed and agreed upon is covered in the agreement scope and that accountability and responsibility is clearly specified. This way, you will be covered and proper actions can be taken in case of any legal conflict or disagreement over inclusions.
5. Prepare a transition plan
Transitioning from an in-house to an outsourced set up can be tricky, but with the right preparation and transition plan, you can be off to a good start. This is why it’s also important that you learn about how your outsourcing provider handles transitions. Do they already have a tried and tested plan on how to get new engagements up and running? What should you expect from this transition and what role will you play here? Do you need to assist them in training the outsourced team so that they are familiar with your business and processes? If there will be training, how will it be done? Virtually or in-person? Identifying every process involved with this transition will help you go through this phase smoothly.
6. Keep track of performances and review regularly
Gathering data about your performance will allow you to evaluate your current setup and understand how your decision to outsource has impacted your business processes. This will also help you make sure that your outsourcing team is constantly committed to delivering top-notch business solutions as per your agreement. Monitoring your business’ performance will also help you create an improvement plan, not just for your outsourcing partner, but also for your own company.
7. Establish clear communication lines
To help you maintain a harmonious relationship with your outsourcing partner, it’s important that you set up clear communication channels with them. Identify a point person from your company and clarify how you can acquire support when needed. Apart from your regular communications, you should also set up weekly meetings so that you can discuss any issues or changes that you and your provider might need to review.
Choose the Right Outsourcing Partner
When it comes to finding the right outsourcing provider, you will need to take into account your business needs. This is why the first thing you should do to optimize your outsourcing arrangements is to create a list of your business needs. With an experienced outsourcing company, you can rest assured that everything that you need to keep your business operational is provided.
Here at Assivo, we understand how intimidating the outsourcing process can be, especially if you are new to the experience. But with our guidance, we can help you create the right outsourcing plan to suit your business and make the most of your resources. Contact us today for a consultation, and we will provide you with the support to learn more about outsourcing and make the most of outsourcing to meet your unique needs.
Founded in 2016, Assivo is an innovative and agile outsourcing partner to our clients. We assemble fully managed offshore teams tailored to fit individual client requirements.
Over the years, we have developed deep business process and technology expertise from serving 200+ clients. We are focused and dedicated to our clients’ success, and our long-term partnerships have enabled our clients to compete more effectively and win.
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