Outsourcing is a strategy wherein you let a third-party do some of your business’ non-core activities to boost productivity and efficiency. However, a good outsourcing experience only happens with the right outsourcing partner. While hiring staff remotely and having some of your non-core business projects outsourced, might seem like a gamble, there has never been a perfect time to try to leverage online outsourcing, especially once you know how to avoid some of the most common pitfalls involved.

In this article, we’re going to talk about some of the tips for choosing the right outsourcing partner for your business. We’ve also listed some of the best tips and things to consider before you start hiring a third-party service provider.

Before you start searching for the right outsourcing partner, you have to define and write a clear scope of work document. As the owner of your business, it’s your responsibility to decide business goals, the needs of your business, and the possible solution in order to achieve your desired outcome.

You can start by asking your self what exactly does your business need? This could then be followed by asking what could be the best solution in order to achieve that. Answering these questions will help you identify the problem you’re solving, giving you a clear view and helps you indicate the following steps for solving issues and identify your overall business goals. 

Assuming that you’re done identifying your business’ goals, and you already have a clear scope of the work you want to outsource. It’s now time to search for the right service provider. This being said, you need to list down the criteria you need for the work you want to outsource. 

You can start by writing down different criteria such as technical expertise, skillsets, access and expertise to the latest technology, experience in solving complex challenges, and passion for work. This can help you decide which third-party provider can help you with your project.

Once the criteria are all set, you can begin searching for Outsourcing Providers. This can vary from local to overseas. Many businesses nowadays prefer Offshoring, which provides the same outsourcing services but cheaper and more efficient. List down each provider that has caught your attention and evaluate them using the criteria that you’ve listed.

  

While many companies decide to outsource in order to save money, it’s also very unusual for actual and projected savings to match. Particularly in the first several months of a partnership, it’s recommended to plan in order to save about three-quarters of your projected amount, due to adjustment, time loss, and other factors.

Beginning an outsourcing relationship has costs that may not come to mind at first. For instance, when choosing the right vendor, you will lose time and may encounter fees from networking websites or other sources. Negotiating and drawing up a contract in some instances can carry legal fees, and continuing the relationship will have costs in time or possibly travel.

You may be hiring a contractor on a website that lets you view other users’ feedback or reviews. Read these carefully, and take them into account when weighing one contractor against another. If a member with a substantial amount of positive feedback will be a bit more expensive than a member with negative or no feedback, it’s probably worth it.

In other situations, the best reviews come from other business people or your friends. Ask them if they’ve had experience with any companies in the area you need. They may have tried-and-true suggestions that will make the whole process easier.