Clients Demanding Quick Outsourcing Transition
The outsourcing industry is finding itself under intense pressure. In turn outsourcing companies are finding themselves under even more pressure to manage their ‘overnight’ involvement with outsourcing as a vital business tool. Some assume that roadmaps toward successful outsourcing management are very mature. That these roadmaps can be taken and followed in an hour or written on single page, figuratively speaking. Leading outsourcing advisory firm TPI has listed their Top 5 tips for companies who need to manage their ‘overnight’ outsourcing agreements.
- Guarantee that clear accountability can be determined at all levels of the outsourcing relationship. A matrix reporting structure creates confusion rather than clear accountability. Make sure that the service provider delivers, and that your company receives the service.
- As early as possible, outline the roles and responsibilities in the outsourcing relationship. Corporate roles such as Procurement, Risk, Security, Legal, and Audit will be significantly impacted by an outsourcing deal. Define their roles and tasks immediately before beginning the outsourcing operation.
- Automate management data and workflow. Traditional office processing software packages are not designed to manage outsourcing relationships. Software suites for management data and workflow systems are already in the market, and these can free your outsourcing management team from hours lost to designing macros for spreadsheets.
- Seek advice from other companies which have successful outsourcing deals. TPI says, paraphrasing a quote, “Once upon a time I had five theories about outsourcing, but no outsourcing. Now I have five service providers and no theories.” Outsourcing is a major move, and you can learn a lot from others who have experienced it.
- Implement an organizational change management that involves everyone. Outsourcing remains unpopular for some, so the need for transparency and an effective information drive is basic. Rapid transformation can be too rapid for an organization, leaving some employees lagging behind in the move towards change. Always check back, look back, evaluate and assess, then move forward.
“Overnight” outsourcing transitions are never easy for everyone involved in the business. It entails a lot of risks, but in the end, it can also produce more benefits for the company as a whole. The management just needs to figure out a smooth way of transitioning from the conventional office method to outsourcing. Proper organization, great team work, reliable advice, and skilful leadership can make this change smoother for everyone.
As a business manager, have you ever found yourself in the same situation? How did you handle your quick outsourcing transition? Feel free to share your feedback with us!
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Source: Micro Sourcing
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