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subject: Outsourcing Master Plan To Beat First Time Outsourcing Blues [print this page]


Outsourcing can no doubt take your business to new heights; however, it is only when you have a well carved out plan to do so. An ill planned outsourcing project can become counterproductive. If you outsource a project at random, just to achieve cost benefits, sooner than later the whole project will go haywire and the basic purpose of outsourcing will be defeated.

Therefore, a company or an entrepreneur who outsources for the first time, should have a well studied master plan that clearly highlights the purposes and goals of doing so. The vendors should be chosen after a comprehensive study of the marketplace and according to your needs and requirements. Keeping a list of vendors to fall back on in case of any contingency is always a good idea.

To beat the blues of first-time outsourcing, one should make a master plan of the project being outsourced. Some important attributes of the master plan are:

1.Define your purpose and goal of outsourcing: Before you decide to outsource a particular business process, it is important to conduct an internal case study on what you want to achieve by doing so. The purpose or goals of outsourcing should be clearly defined in this case study. The purpose of outsourcing could be anything ranging from cost saving, non-availability of local talent or accessing a new mindset for a fresh perspective into the business. By identifying the purpose, you get a clear cut picture of what you want to achieve by outsourcing the business process. Besides that, the case study acts as a guide for you to find the most appropriate vendor for your project.

2.Search for the right vendor: Getting the right vendor for your business process is the most important part of outsourcing. To get the most appropriate vendor, conduct an extensive search in the marketplace. It is imperative that the vendor should be able to provide the necessary infrastructure and human resource for the execution of your project. The vendor choice must do justice to the requirements. If you are big company and have a large project to outsource, you may require a large project outsourcing company. Short term projects might need a freelancer. However, if you are a small and medium enterprise (SME) or an individual business owner, then you might go in for a tailor-made outsourcing solution like hiring a remotely working dedicated employee.

3.Make a transition map: Once you have selected the vendor, draw a definitive transition map for the handing over of your business process to the service provider. Make sure that each and every step of the handing over of project is put down on paper and the project is handed over to the vendor in a phased manner. This process might take some time, but it is a very good tool to avoid any misunderstanding with the service provider during the execution of the project. For companies that outsource for the first time, the transition map should be as comprehensive as possible.

4.Follow up with the vendor: Your outsourcing partner may be the best in the industry; however the onus of deriving the desired results lies as much with you as with your vendor. To make sure that you are getting the desired results from outsourcing, follow up regularly with your vendor and measure the results. This practice not only ensures better results, but also creates better understanding between you and your service provider. Having a relationship manager to do this job is also a good idea.

5.Be the first to communicate: Communication is the key to the success of any outsourced project. Take initiative to establish a good communication with your service provider. Make it a standard practice to have a conference call with your vendor at least once a week. By doing so, you can share the latest information on the project and can give feedback to your service provider.

6.Have contingency plan ready: In case you are not able derive the desired results even after adopting all the above best practices, you should have a contingency plan ready for the execution of your project. This way, your business goes as usual even if an outsourcing plan suffers a setback.

All the above steps can help you to beat the challenges of your maiden attempt to outsource.

by: Daya Mukherjee




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