The Five Phases of Outsourcing

Phase One

Start by identifying the pain points in your organizations. Pain points can be a list of reasons why your organization is facing a certain amount of damage. Your competitors reducing their prices, rising operating costs or your investors demanding an increase in profits can all be pain points. Meet with your managers and identify the pain points in your organization.

These pain points can help you decide on how to reduce your costs, improve the focus on your business or gain a bigger market share. By finding out about the problems that you are facing you can consider about working on it internally or finding an outsourcing partner who is a specialist in the service that you wish to outsource.

Phase Two

Phase two begins with you finding an outsourcing vendor. This phase is the most difficult as it is hard to find a reliable outsourcing vendor. Try to narrow your search down on an outsourcing partner who can provide you with quality services at a cost-effective price.

Phase Three

After finalizing on an outsourcing partner, you will have to start the experiment of outsourcing your services. A good way of experimenting is to ask your outsourcing partner for a free trial. The free trial would help you get a better idea about your outsourcing partner’s abilities and level of quality.

Phase Four

Once you have finalized on the outsourcing vendor, you will have to decide on the services that you are going to outsource. When you outsource a particular service, make sure that you instruct your outsourcing partner with clear goals and responsibilities.

Phase Five

If outsourcing works for your organization, you can begin to outsource more of your non-core business processes. This phase will also give you a clear idea about what to expect from outsourcing and whether outsourcing is actually helping you to cut down on costs and increase your productivity.

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