Why are you Not outsourcing?

38 replies
Hello, my name is Adela and I'm a newbie ( that's to apologize if there was such a thread and I missed it).

So, a bit of pre-story: I study Marketing management with entrepreneurship and one of the topics we discuss quite a lot is outsourcing.

Now, I believe that most of you, being a part of that forum and all, would agree with me that outsourcing is great and worth it in most of the cases.

BUT, can you help me with pointing out reasons why you won't or don't currently outsource?

What I came up is that there are 3 main types of people who are not outsourcing:
1) Those who tried and failed
2) Those who tried and still try, but struggle with it and it brings more stress than it should bring
3) People that pride themselves on not outsourcing (i.e providers of SEO services, writers etc.)

The latter is pretty straight forward, but what about the first two points?

Any idea will be greatly appreciated!
#outsourcing
  • Profile picture of the author brettb
    I'm a programmer. I wouldn't outsource programming as I'd get inferior code.

    I have outsourced translation, and I might consider outsourcing graphic design.
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  • Profile picture of the author Kn10
    I am not one of the "not outsourcing" people you mentioned, I outsource as much as I can and I consider myself decently successful at it (2 full timers, a part timer and a ton of contractors). Because of this, I have a decent insight on the failure reasons.

    Your first two points are accurate.

    1. Much of the time, people blame the person they outsourced to for the failure, however, its usually the fault of the person who is doing the outsourcing.
    They need to pre-screen the workers, look at their past work and give them a small test task that is related to the main task. This checks speed/skills etc.. You can test other things like "attention to detail" like saying they must make the subject "whatever" when applying. The ones that dont make the subject what you told them to make you can just delete because they dont pay attention.

    2. As for more stress, it is definitely tougher in the beginning. What you need to do is systemize your business and write clear instructions that anyone can follow. Keep adding to it and keep updating it. When my guys learn something new, I tell them to add it to the operations manual.
    The stuff you need to outsource is the stuff that someone other than you can do. Certain tasks will require you and only you can do it.
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  • Profile picture of the author dadamson
    I think everyone who outsources has been through point 1, 2 and hopefully 3. I think it is a process.

    Trying a failing is not failing, it is simply learning. Point two is just about persistence.

    You will always reach point 3 if you have persistence.
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  • Profile picture of the author Des Lau
    Being a designer, early on I would have fit all 3 of those categories.

    But as someone else mentioned, you need to fail hiring until you find the right personnel for your business.

    I probably tripled my revenue as soon as I did.

    My simple rule is, if you're against outsourcing, you simply haven't found the right person(s)
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  • Profile picture of the author IMDESTROYER
    Banned
    i only outsource content and maybe data collection if the niche is too big for me or if im being lazy, graphic design is too much, i buy that and i do all the coding myself
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  • Profile picture of the author vedremo
    Banned
    I think most people are frightened an outsourcer/employee/staff will do things wrong or not as well as the business owner. Kiyosaki preaches against this mentality. Instead, you can provide training, give them time to do it as well as you, hire experience, hire someone coachable.

    Start with 1 or 2 hours a day. If they prove themselves, work it up. The cost is so small. Imagine waking up to find for $10 you've saved 3 or 4 hours that day?

    Focus on steering the ship, not handing out towels.
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  • Profile picture of the author Cobaki
    I can do most of the job myself, but for me, nothing is wrong about outsourcing. And yes, it really depends upon the people that you will be trusting to do the job. If you have already given up on outsourcing, may be you just were not lucky and persistent enough in finding the best people or team.
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  • Profile picture of the author karabon
    Isn't outsourcing expensive.
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    • Profile picture of the author Cobaki
      Originally Posted by karabon View Post

      Isn't outsourcing expensive.
      Outsourcing can really be expensive. But if you want to generate traffic, that is really something that you need to invest your money in. Again, you would not really have problems if you are able to find the best people for outsourcing. However, you can just keep your money and do the job if you have the capability and the resources.
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  • Profile picture of the author PROmotions LLC
    I don't outsource because I try to get the most profit. I also don't outsource because I like to be in control of the work being done, and the timeline it's being done in. However, now that everything is done online and over the internet, there is starting to be a fine line between outsourcing, and having someone work for you. When you go to Burger King, is the manager outsourcing the Burger being cooked to their line cook?....no, no their not but you know what I am getting at LOL!
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  • Profile picture of the author john12
    In general you should outsource what you are not good at or would take you too long to complete...assuming that you have enough money to pay someone else..or your business is already profitable.
    If one is just starting out, you should at least try doing it yourself once..so you get a feel for it and what needs to be done..and know what and how to communicate to the outsourcer
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    • Profile picture of the author Cobaki
      Originally Posted by john12 View Post

      In general you should outsource what you are not good at or would take you too long to complete...assuming that you have enough money to pay someone else..or your business is already profitable.
      If one is just starting out, you should at least try doing it yourself once..so you get a feel for it and what needs to be done..and know what and how to communicate to the outsourcer
      I totally agree. You just pay for what you cannot do that you think is of big importance to your business. I mean, why would you still hire somebody else if you have the skills and the time to do it? Well, in my case, I often do outsourcing if I need extra help, especially if my time is not enough to do all the work.
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  • Profile picture of the author Anne0521
    Outsourcing is best when you have so many task and things to be done that is impossible to accomplish by your own. However, finding the right person to hire is not easy.
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  • Profile picture of the author mekdroid
    I think that the top three reasons for not outsourcing are:

    1) Low quality
    2) Difficulty in finding the right people
    3) Fear of them stealing/pirating your work

    I am a developer, and I am terrified of outsourcing mostly because of (3) above ...
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  • Profile picture of the author Adelaida
    Hey guys,
    I am so excited about you actually responding to my thread

    May sound a bit lame, but perhaps I've just been around too many forums where a newbie is seen as 'not answer worthy' in majority of the cases.

    Going back to read all of your answers & again, the more points of view, the better.

    A good point and something that we rarely actually think about is the fact that most small business owners don't work in a linear sort of way - chances are you will be mumbling around, doing a bit of this, a bit of that. So, how could you 'teach' someone or write a step-by-step process in that case?
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    • Profile picture of the author GuyJoe
      Originally Posted by Adelaida View Post

      A good point and something that we rarely actually think about is the fact that most small business owners don't work in a linear sort of way - chances are you will be mumbling around, doing a bit of this, a bit of that. So, how could you 'teach' someone or write a step-by-step process in that case?
      I think in that case you will need to hire a virtual assistant to help manage all the smaller tasks you have going on. Your virtual assistant is exactly that - someone to assist you with everyday tasks that eat up all your time. This will free up more of your time to work on the areas of your business that matter most to you. Training becomes easier when the smaller tasks are taken care of by your virtual assistant and you then hire the specific outsourced employee/company for the larger tasks you need to outsource.

      Hope that made as much sense written as it did in my head lol
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      • Profile picture of the author SuddenHealth
        Outsourcing is great to save you time and get some expert help on a project. Love it, just outsourced some graphic design and sales copy work.
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  • Profile picture of the author KevinChapman
    I have outsourced a couple of things that I know I couldn't do myself but if I know it's something I can do better myself then why bother. I can save myself money and I'll be pleased with the outcome.
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  • Profile picture of the author Jeffery
    The original post and second post are too much like...

    ...Fill In The Blank Post Templates!

    Originally Posted by Adelaida View Post

    Hello, my name is [ Fill In The Blank ] and I'm a newbie ( that's to apologize if there was such a thread and I missed it).

    So, a bit of pre-story: I study [ Fill In The Blank ] and one of the topics we discuss quite a lot is[ Fill In The Blank ].

    Now, I believe that most of you, being a part of that forum and all, would agree with me that [ Fill In The Blank ] is great and worth it in most of the cases.

    BUT, can you help me with pointing out reasons why you won't or don't currently [ Fill In The Blank ]?

    What I came up is that there are [ Fill In The Blank ] main types of people who are not [ Fill In The Blank ]:
    1) [ Fill In The Blank ]
    2) [ Fill In The Blank ]
    3) People that pride themselves on not [ Fill In The Blank ] (i.e [ Fill In The Blank ] etc.)

    The latter is pretty straight forward, but what about the first two points?

    Any idea will be greatly appreciated!
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  • Profile picture of the author Jeffery Moss
    It all comes down to hiring the right person to outsource your work to. You can't just go to a gig site and hire a random person and expect superb results. Even someone with good reviews is likely to be an iffy choice. Put time into the hiring process and take someone under your wing as an adjunct 'employee' and ensure they are trained in your method of working and share your own work ethic before investing too much money into their work.
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  • Profile picture of the author Bannaz
    I believe it comes down to quality. If something needs doing and quality is more important than the time it takes up to do it, it is less likely to be outsourced.
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  • Profile picture of the author Chris Luck
    I strongly believe that people who don't outsource are people who think that the work would be done much better if they did it on their own.

    In some cases, this (may) be true, but it's very difficult for them to realize that there will need to come a time where they should disconnect from day to day operations and focus (on) the business and not (in) the business.
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  • Profile picture of the author Steve B
    Originally Posted by Adelaida View Post

    can you help me with pointing out reasons why you won't or don't currently outsource? Any idea will be greatly appreciated!

    Adela,

    Here are the reasons I believe marketers don't outsource:
    • Unknown quality - often the level of quality is "hit and miss"
    • Unfamiliar with foreign outsourcing markets and service providers
    • Fear of "non-English as a first language" writing and products
    • Fear of communication barriers with foreign providers
    • Fear that outsourced work, especially writing, will be plagiarized or stolen (non-original content and graphics)
    • Perceived cost and time it requires vs doing something yourself
    Just my thoughts,

    Steve
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  • Profile picture of the author Janice Sperry
    The "All-In-One" threads are designed to get a lot of good information all in one spot. There will be some posts there that will directly or indirectly help you.

    All-In-One: Outsourcing Secrets
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  • Profile picture of the author dvduval
    Most of the people I have worked with in so called "outsourcing" stayed with me for 5 or more years. I just find the best person for the job. Some countries have more qualified people in certain areas than others due to their educational system.
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  • Profile picture of the author johnben1444
    There are some reasons why i barely outsource:

    1. Fear of being scammed.

    2. Poor quality job especially with the internet revolution.

    3. Language barrier especially when they are not from English speaking country.

    4. Mode of payment
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    • Profile picture of the author Wickaman
      I'd love to outsource... but I have trust issues.
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  • Profile picture of the author AnnaMacko
    One issue is that outsourcing can easily become a second job if you are not managing it correctly. You have to constantly train them and check up on them and review the work, sometimes make improvements and re-work it.

    Next, it's not based on pride (your last point) its based on quality of work.

    What if you have to deliver this to a client or customers? Would you provide them with less than good work? I think not.
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  • Profile picture of the author Randall Magwood
    I dont outsource because i dont need to. I can do everything... site creation, site promotion, images, banners, product creation, copywriting, and etc. I don't know what category i would fall in lol
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  • Profile picture of the author HeadStartSEO
    I won't outsource for a new venture until I have cash flow, however small.
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    • Profile picture of the author Sue Calhoun
      Originally Posted by HeadStartSEO View Post

      I won't outsource for a new venture until I have cash flow, however small.
      I do exactly the same, except that I have made a concession in the past by hiring a VA to handle some of the tasks I HATE to do but which must be done like bookkeeping or those that create immediate return like building links.
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  • Profile picture of the author mgsmith
    I think the main reason why they don't outsource is they have enough skills, knowledge and time to do it on their own or they don't have enough budget to outsource. There are a lot of secured websites where they can outsource wherein mode of payment and work quality can be guaranteed.
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  • Profile picture of the author Steven Miranda
    I have outsourced since day 1 and there is no other way to me.. It is the true freedom lifestyle.
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  • Profile picture of the author elijahdean24
    Yes outsourcing is the way!
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  • Profile picture of the author drem
    I think this really depends on the person's current situation. For some, they are still trying to make a few bucks a day with their online ventures. This person may not have the resources to hire truly qualified people and keep track of what they are doing. Others, however, have extreme expectations of what they can have done for such a low cost. I believe people that are making enough money to justify the cost of outsourcing will be able to find great success by outsourcing. However, I do think a bit of training will be needed so that a person is able to satisfy the expectations.

    Step 1: Screen every applicant, test the applicant out and explain everything. If you have to go through the entire process for 3 hours with a person and they can now replicate your instructions, it will be well worth the time invested in teaching them.
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  • Profile picture of the author WillMitchell
    Honestly, I'm a little bit jealous of the people who can just effortlessly outsource everything. I definitely think that some people just have a knack for it more than others.

    Of course, everything can be learned

    With your question though, I think that you missed one of the biggest reasons that entrepreneurs don't outsource, which is an overwhelming need to control everything.

    Just imagine a maniacally perfectionist entrepreneur who has to micromanage every single employee, a.k.a. Jeff Bezos-type attitude

    The other big reason that people don't outsource is for quality assurance purposes. But, of course, quality assurance can be outsourced too. It's less risky to do it yourself though, that's for sure.

    Oh, and obviously money... You got that one right? That's a big reason why a lot of people don't outsource. I guess you could say its actually a perceived lack of funding, since outsourcing by its very definition yields ROI. In other words, you get more money out of it than you put in (supposedly).

    Hope that helps

    - Will
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  • Profile picture of the author dan11749
    I would say the main reason why people don't outsource is that their operation is at a size where it's not worth it. Obviously if someone is spending 50% of their time responding to emails and fiddling with payment details, it's probably to search for a virtual assistant. But many people aren't to that point yet. Only once their business has been built is it worth the investment to outsource and grow.
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  • If you can't afford to outsource then do what most of us did starting off - Do it all yourself.

    Then when your making money you can start outsourcing.
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