It has become increasingly common for businesses across all sectors to outsource in recent years. While there is no single definitive reason why some industries were slower to take up this option, it could be argued that not all businesses saw the need for it, some had reservations, and others simply lacked the resources to make it work.
Many businesses were initially hesitant to outsource, due to fears of a low return on investment, poor service, lack of adherence to standards, potential data loss, and so on. A common objection to outsourcing is the fear of being powerless.
It is understandable that businesses are hesitant to relinquish control over their ongoing initiatives, however, outsourcing does not necessarily mean surrendering responsibility to an external party. It is important to note that outsourcing does not involve relinquishing command of a given project.
The COVID-19 pandemic has caused many people to reassess their job security, and many have come to realize that outsourcing could be a viable option. When done correctly, outsourcing can effectively act as an extension of an organization’s management team, allowing them to achieve more with less effort. We can explore this option further, if required.
The Benefits of Outsourcing for Administration
Management must address the potential risks associated with any construction project. It is the manager’s responsibility to create strategies and provide direction to the team, monitor the progress of the project, adjust plans as needed, be flexible with priorities, organize tasks, and ensure they are completed on time. This role requires expertise and experience, and failure to manage the project effectively can lead to project failure.
Businesses are often reluctant to outsource tasks, as having experts on hand to monitor progress and ensure alignment with the company’s objectives provides peace of mind. This approach to outsourcing management highlights the potential risks of entrusting the business to someone unfamiliar with the organization’s values and objectives.
It is understandable that an in-house management team with a wealth of experience may have an advantage over an external manager. They may be able to provide industry-specific insights. However, this does not mean that outsourcing project management should be discounted as a potential option. In fact, it may have a range of benefits.
The approach taken in the interaction between your organisation and the outsourcing firm will have a direct impact on the benefits that can be achieved through their services. You could opt for the full development staff, with a manager at the helm, to manage the process with minimal input from you. Alternatively, you could appoint a manager to oversee the operations internally.
If you choose to outsource a project, Works can provide full-cycle development services, including appointing a dedicated project manager and an experienced team. This approach allows for multiple feedback opportunities and the day-to-day operations are managed by one of our engineering managers, so you can be assured of quality results with minimal input from yourself.
We offer a service named ‘Delivery Team’, which provides you with a fully-autonomous engineering team that can deliver technology solutions in a faster and more efficient manner than attempting to do so yourself. Our Delivery Teams are located globally, but you will be kept updated as often as you require, and your input will be incorporated whenever it is offered. They are your best option for quickly expanding your development operations.
Recruiting a manager to assist with current internal tasks can be achieved through Works’ Extended Team. This service provides experienced IT professionals who can help to fill the skills gap in your organisation. This allows you to keep development in-house, while benefitting from the expertise of senior management who can have a positive influence on the way the job is approached.
It is evident that the three options presented have the potential to equip you with the requisite project management skills to facilitate your development objectives. Each solution offers unique benefits which may enhance your own managerial capabilities. The Delivery Team approach enables you to access experienced technical personnel whilst allowing for internal leadership to maintain a high level of independence. Outsourcing your entire development process, however, relinquishes the opportunity to maximize the use of your internal resources and places your trust in the hands of the provider. Lastly, the Extended Team option may afford you the benefit of a highly experienced manager joining your in-house staff.
In Management, Outsourcing Has Its Rewards
It is often argued that a lack of in-house skills is the only valid reason for outsourcing. Whilst that is a valid justification, it is not the only one. Even if you have the necessary skills to complete the project internally, a hybrid approach incorporating both internal development and outsourcing can bring a range of benefits.
A few examples of these advantages are:
Streamline and enhance the management of daily operations.
It is advisable to consider outsourcing when an in-house development team is struggling to meet performance expectations or cannot cope with a quickly increasing workload. Outsourced managers or managed teams can be beneficial in this situation, providing support in setting priorities, controlling costs, and managing tasks.Maintain stability while reducing potential dangers.
When there is high employee turnover within an organization, outsourcing may help maintain a consistent workflow. Given the current demand for experienced engineers, it is reasonable to assume that some of the technical staff have been drawn away to other projects, which can cause disruption to progress. To weather these difficult times, outsourcing may provide access to a team of capable and independent workers.Get the guidance of upper-level executives on your own time.
It may not be necessary to employ a full-time manager for your development team, depending on the size and scope of your projects. Outsourcing can provide you with the opportunity to select a management expert that is suited to the needs of your business. This way, you can engage personnel to help with specific tasks, and once they are completed, you can release them without any further costs.Create a stronger internal team.
It may be beneficial to consider outsourcing the management of complex projects. This could help to lighten the workload of your internal team, while also providing them with access to expertise and experience from senior managers at an outsourcing firm. Outsourcing could also give your own management team the opportunity to learn from experts who have a greater amount of knowledge and experience in a variety of fields.
Achieving Success
Before concluding our discussion, there is one more point to address. Executives may be concerned about relinquishing control when outsourcing, but this should not be the only factor in deciding whether to outsource or not. There are various other considerations to take into account before making a decision.
It is essential to undertake thorough research when selecting an outsourcing partner. Failure to do so could result in a negative outcome, so it is imperative to ensure that any potential partners are reliable. It is therefore essential to conduct due diligence before making any decisions.
Finding an appropriate service provider is just the first step in the process. It is recommended that you have a discussion with the manager or supervisor of the outsourcing team to outline your expectations for their work. To ensure that you get the desired results, it is advisable to document your expectations in writing.
It is clear that outsourcing development may require a considerable amount of effort, however the potential advantages for management should not be overlooked. This may ultimately transform the way in which the organization approaches development projects. Therefore, it is vital to consider outsourcing prior to beginning any major development initiatives.
