Friday, December 09, 2011

3 Rules for when to outsource your Business Processes Guest Blog Post by: David Folwell, CMO at Travelers Haven, the only NATHO endorsed temporary housing provider. 3 Rules for when to outsource your Business Processes And 3 Times you should keep it in-house Are you outsourcing strategically? If you’re not, you might want reconsider the importance of outsourcing… Take it from Harvard: "Today, outsourcing is not just a trend; it is an integral part of how smart companies do business….The concept has matured. It now connotes a strategic relationship between partners, with shared risks and goals - a relationship in which a company concentrates on its core business and relies on outsourcing partnerships to get the rest done. Unless managers periodically reexamine how they make sourcing decisions - and how resources get allocated - they can find themselves… starving what is core". - Harvard Business Review With the importance of outsourcing in mind, here’s a simple framework that can help you decide which business processes to keep in house and which ones to outsource. When to outsource: It’s not your core business Someone else can do it better Costs less to outsource When to keep it in-house: It’s your core business You can do it better Costs less in-house These simple rules are not comprehensive, but a rough guide to start the discussion. We believe that you should spend at least one day per year looking at how you are spending your resources and determining if there’s a better way. When you have the discussion about what to keep...

Jason Lander

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