Products - Outsourcing
Why would any company outsource?
Outsourcing can increase flexibility, improve
performance and free management to focus on core
functions.
The potential benefits of outsourcing include cost
reduction, increased satisfaction, access to
requisite skills, and other effectiveness and
efficiency improvements. If the function is not a
core competency of the customer, the internal
resources required might be better redirected to
more important tasks. There are potential
disadvantages to outsourcing, but these risks can be
minimized, if not totally mitigated, by knowing the
objectives, asking the right questions, using a
methodical approach, negotiating a sound contract
that is a win for both parties, and establishing an
effective relationship management process.
What are the most important things
to do early in the process?
Ask and answer the right questions. As part of
the outsourcing evaluation, address questions like
the following early in the process:
- What are the core competencies of our
company?
- What are our outsourcing objectives?
- What type of provider relationship is most
appropriate?
- Should we develop a service level agreement?
- What ongoing relationship management process
will we follow?
What are the outsourcing trends of
the last few years?
The trend that's creating growth in the
outsourcing market is the movement away from the
old, 20th century integration model where, for
example, GE owned all their factories for production
- their entire supply chain. In today's global
e-business economy, you've got to be agile and be
able to quickly create capacity in parts of the
world or in core capabilities where you don't
already have it.
To own your own resources doesn't always make
sense - you need to form outsourcing relationships
or alliances with companies that can provide you
with the capacity, capability, and agility you need
to compete.
How does the current outsourcing
market differ from the recent past?
Executives today are more aware of the importance
of relationship management. Five years ago companies
tended to just hammer out a deal. In the last three
years, companies have realized that, although they
want to get a good deal, they must also create from
day one an atmosphere that encourages a good
relationship. By promoting trust of each other, you
can find ways that, together, you can do more than
you could do on your own.
Companies are also beginning to recognize the
importance of creating a good relationship structure
as part of the negotiation process. If you start out
with a good foundation, you can manage the
relationship properly from the beginning.
Why outsource to Us?
- Save money.
To add your own staff person 24 hours per day 7 days
a week would add 720 hours to your payroll and 5 new
employees, easily costing you thousands of dollars
each month.
- On demand service.
We are available 24 hours a day, 365 days a year so
you don’t have to be.
- No equipment and systems headaches.
We take care of all the equipment and systems
maintenance, and continuously upgrade our equipment
to provide new features and capabilities.
- Capacity management.
We increase capacity when necessary. You don’t
have to worry about outgrowing our system.
- Dedicated staff without the headaches.
You get the benefit of a dedicated full time
staff without the headaches of taxes, insurance,
hiring, firing, training, etc.
Learn more on how outsourcing
to Us
can increase your effectiveness and allow you to
focus on your core competency.
|