What should I outsource?

Hi Aunty B

I work in construction, and my casual labourers used to driving me nuts. They were slack, sometimes fail to show up and were a nightmare to manage.

So I outsourced – and have become a fan!

What else can I outsource without damaging the company? (I have 20 staff.)

Sam Levy, Vic.

Sam, I often call outsourcing the entrepreneur’s little helper, because everything and everyone can be outsourced except for the kitchen sink. (Actually, who needs a kitchen sink?)

I don’t get it. So many small businesses do not outsource. A survey from the CPAs showed that about 66% do not outsource anything! But research on successful fast growth companies shows they all outsource, and they say it improves their business.

Think of it this way. What is your core business? What are you expert at? Do that, and outsource the rest.

You can access skills you could never afford in-house and bring in specialists who will do the job far better than generalist employees. Besides, if you are fast growing you often need the skills of a company three or four times your size. The only way you can get that is to outsource ‘cause you sure can’t afford it.

The most common services to outsource are accounting and legal services, followed by IT. Marketing, PR and design are also commonly outsourced. About a fifth of fast growing companies shop around globally for the best deals, so don’t be afraid about hopping on the internet.

A warning though – if most functions are outsourced, make sure you spend a lot of time with the core staff working on culture, energy and momentum, and making sure relationships with customers are maintained and quality is not sacrificed.

So go for it Sam. Make sure you ask around, and bring in people who are specialists in your industry and have a good reputation. And when you work out how to outsource yourself, you can let us all know.

What are you waiting for? Email your questions, problems and issues to auntyb@smartcompany.com.au right now!

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