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Perhaps the most positive thing about outsourcing is its ability
to save you money. This will, of course, depend on the size of your
company and what specific tasks you outsource, but in general, if
you think it through, you can save money. For example, my company
outsources the IT services (help desk, computer support and maintenance),
and we pay significantly less than we'd pay for a full-time IT person
to give us the same level of support. We also outsource our bookkeeping
and office administration, with similar savings. As we grow, we'll
continue to reevaluate these decisions--it may be that the business
case for the IT outsourcing remains good as we grow but that we
might eventually hire someone to offload other work from our current
people, and since we would be paying them anyway, we could get them
to do the bookkeeping as well.
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There are some definite advantages to outsourcing. Contract work
is often cheaper--especially if you opt for off-shore development.
You hire people only for specific tasks. You can keep adjusting
the size of your team to fit your current needs and budget.
Outsourcing creates shareholder value by reducing costs and commitments
to fixed and working capital ... Secondly, outsourcing helps a company
focus on its core business, creating a competitive advantage within
its industry. Other advantages include gaining access to best-of-class
capabilities and accelerating the benefits of re-engineering.
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