Outsourcing Questions
Linda Cohen, analyst at research firm Gartner, outlined the questions to be asked when any organization decides to outsource. Answers have to be provided for:
WHY – Why should the company outsource? Is it to cut costs or to improve or change business processes? Whatever the reason, it should be unanimous throughout the upper echelons of the company.
WHAT- What should be outsourced? Only the back office operations, the customer service interactions, or other processes those are strategic to the business?
WHO – Who should you choose to entrust with a part of your business? Should you choose a start up company that promises much or stick with a tried and tested firm that has been in the market for a few years?
HOW – The how relates indirectly to the WHO. You have to decide if you are going for customized, high-value solutions, or standardized, cost-effective ones. You also have to coordinate how your internal and external personnel work together, and set a standard to monitor and evaluate performance.
WHERE – Where should you send your operation? As far away as India, closer home to Mexico, or better, to home-based agents in the United States? This depends on the complexity and range of the operations you are outsourcing, and the control you would like to maintain over them.
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