Marketing, finance, IT and all the other basic departments that are required to run a successful business do not have to be done in house. While large corporation’s often have dedicated departments for all aspects of business, a smaller business may not be able to afford to have those dedicated departments or even employees.
Australian organisations need to be well equipped and agile in order to challenge their competition and become successful businesses. Outsourcing is a great way to align yourself with a team of experienced professionals who support your organisation and its goals without the on cost and inter departmental issues.
For any business, it’s important to balance the cost of doing the work yourself against the cost of outsourcing it.
Ask yourself, what is the cost of you doing all this work? If you take your salary, and you multiply that by three times, and then you divide that by 220 days (as that’s really the only days that you will be working) and then you divide that by 8, that will give you an hourly rate for your value of your time.
Once you have that number, you have to ask yourself, is there someone else who could do this job, someone who may be more skilful, or someone who might just want to do it more? How much is it going to cost to have this person do the job? If the amount is less than your hourly figure, it should be a no brainer to outsource that work to someone else, freeing up your own time to focus on what you’re good at and enjoy.
For example, a company may outsource its IT services (help desk, computer support and maintenance) and the cost to do so would be significantly less then what they would have to pay for a full time IT person to provide the same support. Consequently, this means that the company always has the necessary IT skills available, but do not have to pay the specific employee.
However, while the cost of employing someone to do a specific service used to be the major reason to outsource, now it’s more focused on strategy and freeing up valuable time to utilise core expertise to carry out core value-add activities in-house. In essence, play to your strengths.
The function of all the aspects of business can be complicated in nature, and the size of your company, the employees available, and your own experience may all prevent you from performing the necessary functions at a consistence and reasonable cost. Outsourcing can help maintain this consistency and help you run your operation smoothly.
Outsourcing also provides staffing flexibility. If you need a specialised marketing approach for a few months, it is easier to outsource that project, creating additional resources for a fixed period of time at a consistent fee.
Outsourcing is a solution to make your work life easier. It can be utilised by sole traders, small business and even large corporations.
You have to ask yourself, if you can’t solve a problem by yourself, do you sit there staring at it blankly or do you find someone who can help you?
Pendragon can help you run your business more efficiently, saving you time and money.