As a decision maker, getting out of operations is a must. We constantly are trapped into the thinking that we have to do everything or that the business doesn’t make enough to hire people. Both of these thoughts are lies.
The Stigma of Outsourcing
Outsourcing has a horrible stigma.
There is the idea that outsourcing means that the quality will be bad.
There is the idea that outsourcing is un-american (yes that’s a word).
There is the idea that you lose control when you outsource.
Outsourcing and Quality
Outsourcing, if done correctly, should improve quality. Think of outsourcing like having an extended team of experts in a specific area. Why does it make sense that you should write all your own content if you are not a writer? For example, imagine being an Auto Repair Shop in Orange County, CA. You are great at fixing cars. It is what you love to do. You also know you should be doing search engine optimization stuff for your business.
Stop. Stop. Stop. Don’t you dare do what we as business owners do and think that you can just do it yourself.
Hire an SEO company. If you are thinking what most of us think which is: “but I can’t afford an SEO company, I can barely afford my bills let alone spend more.” We understand. We get that.
It comes down to a simple economic principle: Opportunity Cost. Remember in the example above, you are good at fixing cars. It is what you love to do. Just do that. Engage with your customer, do great work, and just fix cars. Doing a great job and building relationships is way more important than SEO anyways. But, SEO is important.
If it takes you 3 hours a week to do your SEO (which it will at LEAST take) then take your hourly rate and think of how much more you could be making if you were working on three more cars in those three hours. If an SEO company is doing their job and you are doing yours everybody wins. It is all about opportunity cost.
Outsourcing is Un-American
Wrong. If you only want to outsource to local jobs then you can. There are experts all across the country that are ready to take your business to the next level. You need to look at your opportunity cost whenever there is initial work to be done and ask yourself: could I be doing something more profitable with my time. If you have been in business for more then a year and you are still spending hours doing payroll or any other administrative work. Stop. Fill your time with lunches and relationship opportunities instead. You have more valuable things you can be doing. Outsource and let your time insource your income.
Your local university is a cest pool for talent. Young, hungry, affordable talent. Pay them and watch what happens. Always pay when you outsource…always.
Outsourcing your Control
Outsourcing without a structure makes you control. Outsourcing within a cloud based structure empowers you. At Directive Consulting we have an amazing extended team. We outsource anything we are not great at to people who are…and we pay them well.
Because it allows us to fill our time with what we do best. We have also found that the saying of “you get what you pay for is (beyond) true.” We still have to have margins, but it is always better to pay for quality and if the extended team does not deliver you actually have something to hold them accountable for.
We do all of our structuring online. We create our documents, sheets, and processes in google docs and allow the whole team access. They then do their assignments in their predetermined role. It is a structure that exudes effeciancy and keeps overhead and wastefulness low.
We would love to hear your thoughts so please leave an insightful comment below.