The secrets of success in outsourcing

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Outsourcing is not a small task; Planning, communication and monitoring are essential in any outsourcing effort. Companies that have actually implemented outsourcing in their organizations point to the different reasons for their.

  1. Planning and preparation: Set realistic goals and expectations for the process and transition.
  2. Effective Change Management: includes getting stakeholder buy-in, early communication, and often planning for the work that will stay. Without forgetting the management of the human resources for which the work will disappear.
  3. Manage the relationship: Design and execute a robust governance structure, promote teamwork and evaluate progress by measuring the right things
  4. Contract Negotiations: Make sure you understand and document the requirements
  5. Vendor Selection: Select the appropriate vendor

The motivations for outsourcing are varied because most companies that decide to outsource do so with the goal of achieving a combination of many associated benefits. Some of the key factors that drive organizations to outsource include cost savings, a focus on core skills, access to advanced technology advancements, specialized expertise, improved delivery, and quality of service. and / or a solution to solve organizational problems politics.

The decision to outsource a function should start with a good business plan and the successful outsourcing process starts with good negotiation. In order to succeed, the business relationship between the customer and the seller must be prior to the conclusion of the agreement. There is a need to address key change management issues for employees affected by the decision in order to achieve long-term success.

It is clear that the role of outsourcing should not only include cost reduction targets, but should also consider other benefits such as service improvement, focus on core competencies, access to advanced technology and specialized expertise.

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