when should you outsource a business process?
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Post on 22-Jan-2017
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TRANSCRIPT
When Should You Outsource a Business Process?
It is ideal for a business process to be outsourced when:
The process is not your core competency
The process is repetitive and needlessly engages your valuable resources
The process drains resources meant for your core business
Skill sets required are rare and too expensive to hire locally
When the process is not your core competency
Follow the strategy - do what you can do best and outsource the rest
Outsource any process that is not directly connected to revenue generation
All the temporary processes can be outsourced
When the process is repetitive and needlessly engages your valuable resources
When a task become repetitive, it is advisable to outsource it
Such tasks use your valuable office space and infrastructure
Hiring local employees for these tasks is cost prohibitive
These tasks include HR, data entry, payroll, accounts and administration etc
When the process drains resources meant for your core business
When a process becomes a liability, outsource it
Such processes drain out valuable resources and give little returns
Your in-house talent is meant for the most profitable processes
If any other process is using this talent, it is high time you outsourced that process
When skill sets required for the process are rare and too expensive to hire locally
Some business processes require rare skill sets
Such skill sets are usually very expensive to hire locally
These sill sets include engineering, CAD design and animation etc
When a business process requires these skill sets, outsource it to lower costs and enhance efficiency
Thank You
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