Why You Need To Think Differently About Outsourcing Today

Most Outsourcing Relationships Are Mediocre At Best.

Research shows that most outsourcing fails to live up to expectations – and very few exceed them.

Are you currently outsourcing in your business and you now want to take your business to that next level? Or perhaps you have thought about outsourcing for your business, but do not know where to start?

Well regardless of where you are right now, did you know that industry research tells us that most outsourcing relationships are marginal at best with only 20% of outsourcing, could be considered as high performing.

Nw that is quite a statement, particularly when the main reasons why you go into outsourcing is so that you can perform more effectively and create more value for your business isn’t it?

Inefficiencies, gaps, overlaps, mis-communication, no ownership, low skills, lack of capacity, spiralling costs, lack of customer satisfaction and poorly aligned culture, are all symptoms of outsourcing struggling to get the basics right – the transactions. As a result, outsourcers do not earn the ticket to talk to you about collaboration and innovation until these basics are fixed, and for many this conversation never happens.

In fact, some research goes further and suggest that all value in outsourcing can be lost.

What is going on here? How could you even consider outsourcing as a strategy when most businesses are failing at it?

For over the last 25 years, I have worked in the outsourcing industry and have seen this first hand. I have signed off on multi-million dollar deals as a client, but also on the other side as the outsourcing provider. I have even worked as an advisor to the very large established companies and to very small businesses and startups, to help them in their outsourcing. 

However, I have also observed what it takes to be in this high performing 20% exclusive club. These are the businesses doing outsourcing the right way, particularly in these disruptive times that we are living in. They have figured it out and chosen a different path. They are making outsourcing work for them and are reaping the benefits.

Today, we are living in this age of the entrepreneur, where affordable technology and a global market place is enabling anyone who chooses to do so, to set up, scale and sustain their very own successful businesses. 

Young or old, multiple degrees or the degree of life, from Canada with abundant resources, to Cambodia with few resources, there are business success stories everywhere when we look. 

But we also take a lot of this for granted now as well. For example, if you think for a moment that just about anyone can create their own TV channel and broadcast this to the world live, you would think this is from some crazy science fiction movie - but that as you know, it’s exactly what you can do today!

As Napoleon Hill once said: “Whatever the mind can conceive and believe, it can achieve”.

However, the business models and strategies that have served us well until now, are no longer suitable for today. We can see this with companies Uber, AirBNB and Alibaba in what we call the “sharing economy” but there are also smaller more nimble businesses smashing the old paradigm of how business is done.

So, amongst all this disruption and reflecting upon my own experience in business, I realised we need to think differently as there are two paths businesses follow when it comes to implementing outsourcing.

The first path, the one commonly travelled, which we refer to as Traditional Sourcing, over time leads eventually to decreasing value. The outsourcer is viewed as a supplier.

The second path, the one least travelled and what we refer to here as Strategic Outsourcing, leads to increasing value because the business has learned that climbing the outsourcing capability maturity curve must be an imperative. They also see the outsource, not as a supplier but as a strategic collaboration partner.

It is this strategic collaboration partnership, that is at the core of a road map that I have created for businesses to climb the maturity & value curve and implement outsourcing the right way. I call this road map The Seven Practices Of Highly Effective Outsourcing(TM).

This is the outsourcing road map for your business to navigate you through these disruptive times.

Each of these seven practices provide the necessary building blocks that you need to implement into your business. If you are just starting out for the first time in outsourcing, then the very first practice is key. However, even if you have been outsourcing for some time, you still need to start at that same first practice. This is an important point, because you need to master all seven if you want to ensure you implement outsourcing the right way.

In the soon to be published Step By Step Business Implementation Guide, you will have the opportunity to learn about The Seven Practices Of Highly Effective Outsourcing(TM) in a way that gives you both the “why” and the “how to”.

The Seven Practices Of Highly Effective Outsourcing(TM) will be your implementation plan or roadmap, for your business of what you should be considering at each stage of your outsourcing journey, such as…

EXPLORE The Big Picture

You will learn what do you need to do when starting out, “the big picture” and being clear about your reasons for outsourcing in the first place.

ENVISION The Future

You will learn how do you go about selecting what to outsource in your business. Is it technology, or is it customer support for example?

Create A ESPRIT De Corps

You will learn how to find the best outsourcing partner where there is a win-win for both parties and there is alignment or cultural fit and they get your business!

EMBARK On The Journey

You will learn how do you go about transitioning your business to outsourcing. There are risks. You need to ensure you have covered these off in your plan.

EXECUTE With Discipline & Passion

You will learn how do you build a strong foundation, so that your business is significantly better with outsourcing, than it was when you weren’t outsourcing.

EXCEED The Standard Others Look To

You will learn how do you go about building future capability across your strategic outsourcing partnership. Your needs will change!

EXPAND Your Global Mindset

You will learn how do you go about building a strategic outsourcing partnership that is sustainable and aligns to your business vision for the long term.

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If you would like your free copy of the Step By Step Business Implementation Guide, to learn about The Seven Practices Of Highly Effective Outsourcing(TM) then click on any of the images or here:  https://resources.theoutsourcing.expert/