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Business Owner’s Guide To Outsourcing Successfully

by Amir on March 11, 2013

Outsourcing to foreign countries that comes mostly from the third world is often considered because of the low-cost of staff, equipment and infrastructure. It brings tremendous savings to a business owner without sacrificing the quality of work output. Oftentimes outsourced virtual assistants from a country like the Philippines are degree holder and graduates from a reputable university who can give the same quality work output as what we have locally. Success in outsourcing is highly dependent on the working relationship between the business owners and the contractor or service provider.


When hiring your contractor or a service provider there are several things that you have to consider. These factors will make or break your success in outsourcing your business. First, there is a need to set up a good and healthy working relationship. This highly depends on a regular communication and exchange of views. Both parties should be in the same level of understanding from the start to discuss any business problem that will arise in the future. In addition, having the proper equipment and resources will help carry this factor out easily. As a business owner or manager it is your responsibility to clearly explain and communicate the business’ goal and objective as well as the tasks you are assigning to your service provider. This will ensure a smooth and healthy working relationship.

It is also beneficial for both parties if they have a contract or agreement to clearly define the role of each. This contract will help business owners to get the most of the service they are paying for. Moreover, service providers or contractors will have something legal to hold on in the event that the business owner fails to pay them for the services rendered. Contracts or agreements contain the list of obligations of both parties. This also has the confidentiality agreement, intellectual properties, and the information on deliverables. Each aspect written in the contract should be clearly discussed and explained before both parties sign it.

Service providers or contractors in return must discuss his level of service, what can be expected from him based on work output. A performance indicator listed and discussed from the start is a good way to decide if the contractor you hired was able to perform their work based on your agreed standard. On the other hand, you as a business owner or manager it is your obligation to keep a good business record in order for you to succeed in outsourcing.

There is outsourcing companies out there who are experts in determining the right service provider for your business. They already posted the ads for the position and have done the short listing of applicants for you. This alone already saves you a great amount of time searching through your email and pre-qualifying each that sends you their resumes.  This allows you, the business owner, to focus more on the core aspect and crucial area of your business such as financing and marketing.  Bear in mind that the business environment is unpredictable and coming up with a good strategic plan for your business to make it competitive or stay ahead is more important than writing an article that talks about your business.

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