4 Tips for Outsourcing Projects during Business Expansion
Business expansion is one of the sensitive periods in the business lifecycle. Every change or a decision made during this process has to be based on accurate data and any partnerships have to be made very carefully.
One thing that is pretty common in the expansion phase of almost all businesses comes in the form of new projects and sometimes even adoption of brand new business processes. This is why many small- and medium-sized businesses are widely adopting outsourcing as a viable practice. There are various benefits that lead businesses to make such move, but we are not here to discuss that.
In case you have ever wondered if there were any tips that could help you successfully outsource projects during business expansion, this list will be of help.
How to Identify a Project that you want to Outsource
This might strike you as a difficult task at first, but trust me this one is probably the easiest. The business is going through a time-sensitive phase and you don’t have a lot of wiggle room. In order to identify a project that you want to outsource, you will have to answer several questions.
Does this project necessarily require you to be directly involved in it? In most cases, projects related to business expansion don’t require your personal touch and direct involvement during the entire project. You can easily put these projects in the hands of experts who specialize in the field. For instance, marketing, IT-related projects, HR etc.
Is it a one-time project? One-time projects are the perfect fit for outsourcing, because you won’t lose either time or money to complete them. Instead, you can use your assets and resources to focus on the business core and see the expansion through.
Will you have to hire new people in order to complete it? Hiring new people for the projects that are only specific for the expansion phase is a bad investment, because you will have them on the payroll even after the projects are completed. Before hiring, have a discussion with your team and determine whether you need new employees or an outsourcing partner.
Will you have to invest in new software and/or hardware? If you have to buy expensive hardware and/or software in order to be able to complete short-term projects, outsourcing might be a better solution.
How to Choose a Firm to Outsource Projects to
There are dozens of companies that specialize in specific fields, and some of them offer their services to other businesses. It would be the best to make a list of companies that offer the services you need and then do a little research.
It is of utmost importance to check their clients’ testimonials and project success rates. If you can’t spare the time to do such research, you can outsource this entire process to a business process outsourcing partner. Keep in mind that it is strongly recommended to check at least someone’s reputation before making the final decision.
Make Sure to Provide Extensive Project Description
If you want to use the time the best the possible, providing a detailed project description to the outsourcing partner is a must. This way you will save precious time on tending to miscommunication or inaccurate assumptions. Before giving it a go, it is really important to make sure that everything is clear with the other firm. So, four words: details, goals, deadlines and penalties.
Make Sure to Keep Lines of Communication Open
Keeping the lines of communication open between you and your outsourcing partner is also a very important thing you need to take care of early on. Before signing a contract, you have to agree upon the schedule and method of communication.
This way the firm you outsourced your project to can contact you and get an answer as soon as possible, so that the ongoing project doesn’t hit a wall. There are dozens of free collaboration tools that you can use for this purpose.
These tips for outsourcing projects in the business growth phase will help you to focus on core business processes, while the side projects are being successfully handled by experienced firms. In the end, you will cut the costs and reach business goals faster and with less investment. In case you want to expand your knowledge on project outsourcing and business growth, you can read other valuable resources on this matter online.