Did you know that nearly 60% of companies are outsourcing tasks to cut costs? Many small companies are falling behind.
They don’t have the ability to afford in-house specialists to keep up. This is due to fast pace technology making business more competitive. Outsourcing is the main key you might be missing for your company to thrive.
Today, IT and other professionals are very expensive to hire. Leaving small businesses in the dust if they can’t afford them.
The benefits of outsourcing are countless. You can outsource mundane tasks so your in-house team can focus on essential assignments that require time and effort. Outsourcing offers both big and small companies significant money-saving opportunities and the ability to stay ahead of the game.
Three Types of Outsourcing
There are three main types of outsourcing. There are many types of jobs and ways to outsource. The key is to find what is best for your company and your needs.
This is the most common type of outsourcing. Many small companies cannot afford to outsource expensive specialists. This includes specialists in accounting, administrative, and legal work.
In most cases, you don’t need an in-house full-time professional to do these jobs. You can outsource work to a company or professional when necessary.
Outsourcing IT Experts
Not only are in-house IT experts costly, but they aren’t necessary all the time. The majority of the work they do can be done from anywhere.
Why not hire remotely a professional that has the expertise in the latest technologies.
From app development, system administration, and software design to maintaining your website. You can find less expensive IT experts around the globe that are a fraction of the price of hiring locally.
Outsourcing Copywriters and Marketers
When it comes to marketing, many small businesses turn to their in-house employees. Creating text and design for pamphlets, websites, social media, and blogs.
There is a lot more that goes into creating a quality marketing campaign than just writing text.
Today, with proper content, a company can go far. Outsourcing professionals in the field can help boost their image and put them in the limelight
Outsourcing Benefits and Risks
Did you know that47% of companies choose to outsource work to reduce capacity issues? Paying for office space costs a lot more than hiring a freelance professional.
Benefits of Outsourcing
1. More specialized talent. – As a small company, it’s not always possible to hire professional talent. They tend to be costly to hire in-house. With outsourcing, you have access to professionals around the globe at a lower cost, depending on your specific needs.
2.Save Money. – A company may spend $1,252 per new employee training alone. This doesn’t include additional costs of office space and expenses such as sick pay, pension, and others. Also, you have more access to professionals with more experience and knowledge that cost less on average.
3.More transfer of knowledge. – A strong team made of experienced experts can cover everything across the board to keep your company up to date.
4.Higher performance. – Most outsourced professionals work per-project basis. Focusing only on the task at hand without distractions that an in-house employee may have. As a result, they deliver work faster and of a much higher quality.
5.Reduce expenditures on new technology. – Technology is always changing. The moment a company finally has the funds to invest, new technology is on the rise. By hiring experts already using the latest technology, the company doesn’t have to train in-house employees to implement it.
6.Improve in-house productivity. – Allow your employees to focus on the crucial tasks. Keep your business moving forward by outsourcing mundane tasks such as data entry.
Drawbacks of Outsourcing
As with everything else, there are always drawbacks. If you pay close attention, do your research whom you outsource to, and always read the fine print, you should be fine.
1.Loss of control. – If you assign work to an outsourcing company or freelancer, be aware. Without controlling the results, you may find yourself worse off than before. Outsourcing requires a bit of organization and work on your side to maintain quality and move forward.
2.Hidden costs. – If you choose to outsource work to a company, be diligent about what you are signing up for. There is often a small print that may incur more costs than hiring in-house. Always review the contracts carefully. Make sure you are aware of what you are paying for and which added costs might come up.
3.Security risk. – If what you plan to outsource requires sharing personal customer or employee data, it could pose a risk. Always consider what type of work you plan on outsourcing and hire trusted companies and freelancers.
4.Time difference. – Many outsourcing companies and freelancers may be working in a different time zone. This might make it challenging to sync with your schedules. However, with good time management, there are always ways around it.
5. Language barriers. – Remember that many outsourcing companies and freelancers are not native English speakers. This could pose a problem with the language barrier. However, if you do your research well, you can find fantastic professionals with perfect English.
6.Moral dilemmas. – One of the moral dilemmas may be denying someone from your team an opportunity to grow by outsourcing work. The possibility of stumping the growth of your community by not working with a local talent agency. Another issue is that some consumers frown upon outsourcing.
In essence, the benefits of outsourcing for small businesses outweigh the drawbacks. This is because you need to keep up with the big guys if you wish to grow as a company. The best way is by having experts on your team that many small businesses can only afford in-house.
A small business requires a dream team to advance and keep up. Outsource as much as possible by finding companies, or freelancers on sites like PeopleByTheHour and UpWork. Even small businesses could build a dream team,save money, and keep up with the latest changes in technology.
Which tasks you feel could be outsourced in your company?
Question: Would you outsource to give your in-house team more time to focus on important tasks? Share your thoughts in the comments below.
Hristina Nikolovska is the appointed Community Manager at WhatToBecome. Using her extensive background in digital marketing, as well as her social media and public relations experience, Hristina’s passion is helping others stay organized through clear communication and pushing for the realization of projects of every sort.
You need a quality team behind you if you want to find success in this day and age. There’s no such thing as a one-man show. If your team of small business employees isn’t doing what you want to them to do, it’s easy to get frustrated. Small business is big business. Small businesses with less than 100 workers account for over 98% of all small businesses, and that means your team matters more than ever.
When your team doesn’t do what you want, you don’t have a team problem. As much as it hurts to admit, you likely have a leadership problem. Before you blame yourself, take some time to reassess the situation. Learning how to be a great leader is all part of mastering how to start a business. All hope is not lost. There are many things you can do to get your small business team back on track for success.
1. Hire the Right Employees
If you’re noticing a trend in dissatisfaction amongst your current employees, you might not be hiring the right people to begin with. It’s worth being choosy with your team members in this era. When you hire the wrong people for the job, they don’t enjoy the work they do, and you won’t be impressed with their results.
Remember that the most experienced employee might not be the best fit. You’ll need to weigh things like company culture, expectations, and experience level when making a decision about who to hire. In addition, make sure you’re presenting your company and the role accurately. The internet job platforms are full of poorly described positions which will only lead to more confusion.
2. Improve Employee Happiness
How are your employees responding to their daily work environment? Is it full of stress, confusion, and dissatisfaction? If so, you need to reevaluate employee happiness. While nobody should expect to have a fun, exciting day at work (at least, not all of the time), that doesn’t mean it can’t be a satisfying, stress-free place to be.
There are new ways to improve employee happiness that don’t cost you a thing. The first is simply delegating work effectively. When employees feel they’re reasonably able to handle their daily tasks, they perform better. We’ve all dealt with the stress of not being able to meet deadlines and requirements.
Finally, one reason your team might not be doing what you want them to do is because they’re spending too much time on inefficient tasks. So many of our workplace practices today can be automated thanks to new technology. Yet, so many small businesses, in particular, are still holding onto the older ways of doing things. The older way tends to take longer, be inefficient, and wastes valuable time.
Your employees likely know more about these inefficient tasks than you, and they should be your first line of defense for solving these problems. Your employees time is valuable. How much of it is going to waste doing things that could be automated or skipped altogether?
Conduct regular team meetings to discover if there are any areas you could invest in automation, artificial intelligence, or modern solutions. The cost of implementing these programs likely will be more than worth it in the long run.
Your business needs strong leadership that pays attention to your employee’s mindset and feelings. These tips above help you put your small business team first so you can get more done together. It’s easy to get caught up in the day-to-do stress of being a small business leader, so taking the time to notice where your employees need support is key.
Even just taking the initial steps to bridge these gaps in communication will go a long way to repairing employee morale. Your employees want to do their best. Make sure they’re in a position for finding the most success.
QUESTION: What is 1 key aha you’ve had from thinking through these 4 tips? Share your comments and questions below.
Summer is a great time to take off to explore new destinations, experience new adventures or just enjoy lazy afternoons poolside.
But, I meet business owners all the time who are either too buried in the business to get away at all or they take their work with them on vacation — which doesn’t feel like a real vacation. Growing a successful business does not mean you have to be a workaholic. You can easily work less, so you can play more this summer … all while still growing your business.
This freedom is possible when you learn how to outsource and/or hire effectively. If you have a higher level salaried position that you are struggling to fill, let me say you should first check out some staffing agencies who can provide you with an abundant supply of potential candidates.
But for those times when you’re just trying to fill an hourly job or an entry-level position, here are 9 tips to help you find your next great hire and build more freedom into your business:
Hiring Tip #1: Hire part time freelancers.
I find the biggest obstacle for many small business owners when it comes to hiring is often the fear of taking on a full time employee. If you’re just getting started, start small. You can work with someone virtually either on a one time project basis and/or just 5-10 hours a week.
Hiring Tip # 2. Post an ad in your local Craigslist.
If you prefer hiring local workers Craigslist is a cheap and effective way to get the word out online for people who are looking for work locally. Not only do you want to post the ad on Craigslist, you want to take a look at how you’re wording the ad.
Hiring Tip #3. Place an ad in your local print newspaper in the classified section.
If you’re in a hurry to find the right employee consider implementing a multiple prong approach to get the word out both online and offline. You can also post an ad in your industry newspaper or magazine in the classified section. That way your opening is being seen by a niche audience of other professionals who are already in the industry.
Hiring Tip #4. Establish a finder’s fee program.
You can write up a simple handwritten poster to explain your finder’s fee program. Offer a bonus. For example, $50 will be paid to the person who refers an applicant you end up hiring.
I would wait 30 days before you pay their finder’s fee to make sure the person is going to work out for you and doesn’t quit after the first two weeks.
You can also make it even better by making it a $100 finder’s fee with the stipulation that they would be paid $50 after the employee’s first 30 days and then they would be paid another $50 on that person’s six-month anniversary of working with you. That way you’re helping and motivating others to send you candidates who are likely to be more long-term for you.
A simple way to put this information out there is by putting it on a poster where they can tear off the phone number. That would be the guerrilla marketing approach. You can also transfer that same information and have it printed on a postcard, so when you meet people who would have a possible candidate in mind or perhaps even be that potential candidate, you can hand them a postcard that explains the opening and the finder’s fee offer.
Hiring Tip # 5. Promote the Finder’s Fee program at your place of business.
If you have a brick-and-mortar business for customers where they are coming into your building, you can promote the opening to your customers. Have signage where they can see that you are offering a finder’s fee program for your opening.
For example, you can offer your customers $50 in free services as a finder’s fee after 30 days, and $100 or $50 after the first six months. Let your customers, who love you already, help you fill the position that you need.
Hiring Tip # 6. Poster locally.
You can do a simple marketing approach and create posters – the kind with phone numbers you can tear off at the bottom that promote your help-wanted position along with the finder’s fee offer.
You might as well kill two birds with one stone and create a second poster that really describes your business. This one would be addressed to appeal to your customers. Keep a bunch of copies in your car and as you go throughout your day, you can post them at some key places where there’s a lot of traffic. Write down what those key places are so it will help trigger the reminder for you when you are in the car.
Grab an index card and write things like grocery stores, health clubs, coffee shops, churches, YMCA bulletin boards, community college bulletin boards, etc. Of course, your target list of locations will depend on the type of opening that you have and where it makes the most sense where those Ideal applicants may be hanging out.
If you want to boost this passive approach, you can either hire some high school students to go and blanket your town with these posters, or even utilize non-paid high school or college interns to do things like this for you.
Hiring Tip #7. Post your opening as an update in your LinkedIn feed.
Let your connections know that you have an opening and let them know about your finder’s fee program. You can even post the same update several times a week to have that message to catch different people who log on at different times of day.
Another thing you can do, is utilize the specific targeted LinkedIn groups. It doesn’t cost anything when you post in the groups under the job discussions tab. If you wanted to boost visibility, yes, you can pay to purchase under the LinkedIn recruiting program.
Hiring Tip #8. Look for local job boards online.
You can do a search using a variation of keywords like the name of your city, help wanted, and job openings. You can also search the exact position that you offer and see where competitors have posted their ads.
There are many Facebook groups, as well, that may have targeted communities of business owners in your local area. Share your post or your announcement about your finder’s fee program to other business owners who would likely also have past and current applicants that they have in their files.
Hiring Tip #9. Direct recruiting.
You may have a hard time filling a position, particularly if it requires a degree of industry specific experience. In this case, you can go out and meet those types of people directly as a customer.
You can do direct recruiting right in LinkedIn by searching for variations of the job title you are looking to fill. LinkedIn is a great way for you to view people’s resumes for free. You can short list your top picks and then reach out to the ones you’re most interested in to invite them to apply for your position. This is a great practice because statistics have shown that often the best hires are the people who were not actively looking for work, but were recruited.
Utilize these nine steps listed above, you will be well on your way to not only filling your position quickly, but finding a candidate that is a good fit for you and your business. It is possible to easily work less, play more and earn more through your business.
Outsourcing your tasks and hiring other people is your pathway to building a thriving freedom business you love.
QUESTION: What is your biggest challenge when it comes to finding and hiring great help?