Effective Tips to Choosing the Right Outsourcing Partner

Outsourcing is an important lever and strategic tool organizations can use to drive growth, boost productivity,and gain a competitive edge.  One of the keys to a successful outsourcing engagement is creating a partnership between the two organizations.  Simply choosing the lowest cost outsourcer may not lead to the desired results. A better approach requires thorough research and a criteria-based assessment to make an informed decision.Investing time doing both will help minimize risks and significantly increase your chances for success.

Here are some tips that will help ensure you are choosing the right partner:

Establish and Communicate your Goals

Outsourcing can only be as effective as the expectations one sets. If you have vague expectations like “increase our profits” or “create something bold and new that our customers will love”, often you will not get the best results. State the goals with as much specificity and measurability as possible.  Be realistic and make sure your objectives and strategies are communicated and understood by your partner.

Choose an Established and Reliable Partner

Your partner’s experience in the industry and its proven track record says a lot about its credibility. Request information including the customer segments they have served and the number of projects they have completed. It will help you decide whether the provider is suited to your requirements or not. It is critical to verify references. Do not be afraid to ask the “hard questions”, as well as try to contact a client of theirs that may not be on the reference list.

Select a Partner with the Right Culture

It is important that the outsourcing partner understands your company’s culture or personality. This includes how employees correspond with one another, the frequency of interaction, and if they work independently or collaborate. Understanding all these factors will help make communication more direct and easier, even when conflicts arise.

Probe Technical/Project Competence

After you have verified the outsourcer’s credentials, it is critical to verify the company has the technical knowledge and project experience to meet your requirements. Review the processes and the methodology they use to track results and resolve issues. This will give you a clearer idea of how exactly your project will be handled.  Understand if they can proactively identify trends in your business and come equipped with solutions.

Partnerships are about choices and require active engagement. To accomplish your goals and reap the rewards, put in the effort to know everything there is to know about the outsourcing partner rather than diving in head-first just because its marketing material looks slick, they were referred to you or their bid was the lowest. The downstream repercussions of making the wrong choice can damage your business while the right partner can accelerate your growth!

Searching for an outsourcing partner that will put your interests first and help your business grow? Contact us now and we will help you get started on your path to success!

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