What you need to consider before you Outsource

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Outsourcing is when a company hires another company to overwatch an activity or project, many times this means a transferring of employees from one firm to another to work on the project. This could either be onshore or offshore meaning that there is one team in two different countries. Many times this is because there is more available workforce from another country than in the one that the hiring company is.

  1. Cost efficiency is a big part of outsourcing, and making sure that there will be more money made than before is very important, limiting expenditures is also a very important step. Cutting out labor and operational costs while improving the bottom line, will help the cost stay at a minimum.
  2. The ability to innovate is very important as well, making sure the employees have the capability of creating new things that will bring value to their company. It is kind of used as a startup platform that is still connected with the companies. The outsourcing team will be innovating new ideas or possible software, anything that will be very helpful toward the company with the help from the other company.
  3. Many people would think that time difference is very easy but there have been so many instances where a time difference has made all of the difference. Offshore outsourcing is where most of the time difference problems happen, but making sure to constantly check if the times that are being used are agreed upon and known by both parties.
  4. Having a group of people watching over the outsourcing is a good idea as well, making sure that everything is running smoothly and everyone is doing their jobs is very important. If the other team is offshore, having another team watching over the outsourcing on that side is important as well. Keeping both sides on track will run much smoother.
  5. Communication is key, whether onshore or offshore, communication will keep everyone on the same page saving time and money. Making sure that everyone is doing their job and checking in on them periodically will benefit the outsourcing group.

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