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7 Key Questions to Ask when Outsourcing Your Business Process

In today’s world, the success of a business is measured by its efficiency, and often, the difference between that and failure lies in its ability to utilize smart and innovative processes under competent management. Efficiency being the goal means that businesses are aiming to provide stellar products without incurring losses as a result of manufacturing inadequacies. While being a jack of all trades is an admirable trait, it is not when it comes delivering high-quality products. As an entrepreneur, you might have a keen eye for business opportunities, but you may not have the technical know-how to deliver the product needed to fill that gap. Deciding to employ your own human resources and infrastructure to create that product is not a wise move as you have no way of ascertaining product quality while ensuring that your processes are efficient.


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This is why leaving that job to the professionals is important, and that is what business process outsourcing is all about.

Outsourcing is a model designed to help businesses improve operational efficiencies while managing costs. It is, therefore, extremely helpful to businesses looking to save time, money, and resourcing.

Nonetheless, this can only be possible if your outsourcing partner has the necessary skill and experience to provide what your business needs. Choosing the wrong outsourcing provider can lead to irreversible damage. This is why you need to be confident that your potential partner has your business interests at heart in addition to having the capability to improve your processes.

How do you know that you are choosing the right outsourcing partner? Evaluate them by asking them the following questions:

Do You Have the Necessary Experience for My Business?

Each business is different in terms of its unique requirements and, therefore, there isn’t a one-size-fits-all approach to business process outsourcing. As such, when looking for an outsourcing partner, it is crucial that they demonstrate an intricate understanding of your unique requirements.

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For that reason, ensure that they demonstrate that they have the skill sets that you are looking for. Since you will be investing a significant chunk of your resources into outsourcing, it is important to ensure that they can meet your demands.

Do You Have the Appropriate Technology?

Possessing the technology needed to meet your needs is what will allow your outsourcing provider to deliver the right product, and efficiently. This, in turn, will affect the quality produced and your budget. If, for instance, you are looking to outsource your customer service duties, does your potential partner have the necessary technology to:

  • Handle the volume of queries
  • Resolve all inquiries in a timely manner
  • Efficiently retrieve and record information

You will, therefore, need to ask for specifications of the technology that is going to be used to make your products so you can be sure.

Are Your Customers Satisfied?

The outsourcing partner that you are interviewing should demonstrate a track record of satisfied customers. Therefore, look for excellent job reports and communication between them and their previous clients. If previous customers are satisfied, then you are likely to be happy as well.

Moreover, good outsourcing agencies will often have some awards recognizing their work and are usually affiliated to some regulating bodies. This is because they care about their reputation and will go the extra mile to get quality certified.

Can I see Samples of Your Previous Work That is related to My Company?

While your potential partner might check out in previous works with other clients, it does not necessarily mean that they will do a good job at yours especially if they do not have experience in the process you are looking to outsource. Therefore, it is important to ascertain that they have experience doing what you are hiring them to do. If they do, ask for previous work samples so you can evaluate and see if it is indeed what you are looking for.

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Can you assure me the Security of My Personal Data and Information?

Today, if you do not treat data with the strictest of confidence, you risk facing hefty fines. Additionally, your company’s reputation might take a hit.

Therefore, to ensure that the integrity of your company – in addition to your bottom line – is not at risk, it is imperative that you ensure that your potential outsourcing partner has the resources and competence to safeguard your data.

For instance, if you are looking to outsource payroll functions, you must be sure that the provider is taking all the measures necessary to ensure safe handling and storage of that sensitive information. If their system is not up to scratch, dire consequences might follow.

As such, ensure that you get a full briefing on how they store and handle personal information so that your company does not become a victim of cyber-crime.

Do You Have the Expertise to Recruit In Case of an Expansion

The aim of any business is to expand and make profits. Therefore, if you play your cards right and your company starts to expand, will the outsourcing partner have the expertise or infrastructure necessary to recruit extra hires for your process?

It is imperative that your partner has the required skills and competency necessary for evaluating candidates who can provide the services you need and the right individuals to represent your company’s values.

As such, make sure that the provider you are evaluating has the expertise to recruit a quality workforce for you or has a ready candidate database where they can select quality hires.

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What are Your Financial Terms?

This is, of course, one of the most important questions as it will have a direct effect on your profitability and bottom line. Therefore, you will need to compare various quotes from different outsourcing agencies.

However, do not go for the cheapest quote as you will often get what you pay for. Rather, compare their overall efficiency with the price they are asking for. Also, a provider needs to be transparent about every cost element in the project. If they are vague about some details, take that as a warning sign.

Check the market average cost for the services you are looking to outsource, and choose a provider who checks out in all the above requirements and their quotation is near the market average.

Outsourcing is a great way of enhancing efficiency and cutting on costs. This is especially true for entrepreneurs looking to venture into the profitable niches such as the pharmaceutical industry, but do not have the technical know-how. If for instance, have identified a gap in the vitamins niche, Private label vitamins allow you to outsource the manufacturing to a qualified expert, and all you have to do is use your company label. You, therefore, must ensure that you only work with the best.

7 Key Questions to Ask when Outsourcing Your Business Process


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