Most business owners don’t know what to do when their outsourcing process go amiss. They are confused about the fact whether it is a good idea to enhance outsourcing process prior to or after they outsource. Now, here you must remember that there are both benefits and flipsides to every approach you take in this regard. This also depends on the situation of the customer at the time of outsourcing.
Another important thing is to look at the reasons the process has broken and then understand the way to fix them up.
Most of the times, a broken process cannot be fixed because it is too late. You may find sever old IT systems that have been maintained till date. They may be fixed up with good efforts and exorbitant costs but most of the times they are too broken to be fixed successfully with all the troubles you take and the amount of money spent.
Fixing up a broken process is difficult to several reasons. There are good arguments regarding this on both the outsourcer and executives’ side. The best way is to let the outsourcer fix the process. If you are not convinced, here are some reasons on why you should let this happen:
Efficient outsourcers usually work hard to make process efficient and effective as far as possible. They are equipped with appropriate tools and metrics in conjunction with highly experienced staffers. They know about the migration of process related to customer.
An outsourcer works on a business partner. However, your organizational hierarchy is not responsible for this and it is also not affected by your corporate politics. This allows the outsourcer to make impartial decisions related to your processes. The staff of the outsourcer is paid and given promotions by its own management. The subpar performer can be removed easily.
In most of the cases, outsources have the ability to fix up broken processes more efficiently and in a lesser period of time. Outsourcers are offered incentives via contracts for speedy and successful work.
4. Political advantage:
In case you expect potential resistance to transforming a corporate process, the process may become efficient and less messy if you allow the outsourcer to take the initiative. This will also save your political capital for future issues.
Here are some reasons to support your decision to fix your process before the outsourcer does:
You can actually save the costs you would spend on letting the outsourcer fix up your process.
2. Contract terms:
Usually broken processes require to be improved or redesigned. Now, since the future process is not detailed in time in order to make contract negotiations, it is not easy to specify contract terms that cover the novel process as well as appropriate metrics. This leads to certain misunderstandings in future.
3. Resource protection:
Multiple clients are served by outsourcers and these outsourcers have their own specific priorities. Usually, larger accounts get a good amount of attention. Letting your staff to fix up the process will save you from losing the resources that your project actually requires to a higher priority client.
Try to give your project to an outside firm prior to choosing an outsourcer. These firms are not expensive their services just require one-time cost. This will also reduce your annual outsourcing costs due to the reduce cost basis of the streamline process.