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Sometimes it pays not to do it yourself.
As business models change, global competition increases, and new technologies evolve, outsourcing has certainly become a more common business strategy to get more done.
The decision to outsource or not is a matter of finding the right balance-the balance between managing labor costs, workflow, employee capabilities, customer commitments, core competencies, and even short- and long-term risks.
Small companies routinely outsource their payroll processing, accounting, distribution, and many other important functions often because they can't afford to hire that internal expertise or don't have the time to do it themselves. Similarly, many large companies turn to outsourcing to reduce costs internally.
Outsourcing offers additional advantages. Let's look at a few.
* You want the best. We all specialize in what we do best, and that's the primary reason smart businesses hire independent consultants or outsource critical business functions such as payroll or taxes to experts.
* The do-it-yourself way doesn't work Business owners wear many hats, but trying to do everything can be ineffective. Outsourcing allows businesses to focus on core competencies to drive the business performance, sales, and results.
* Outsourcing provides an unbiased perspective. Outsourcing allows you to hire the right talent for the right project and gives you access to an objective perspective, which can be valuable and lead to new ideas.
* You pay for only what you need. Most businesses experience different workflow cycles. Sometimes, there's more...