The Streamlined Business Blog

Common Problems Leading to Outsourcing Failures (Part 2 of 3)

If you decide outsourcing makes sense as a time and cost-cutting measure, before you forge ahead, consider a couple of the most common causes of outsourcing failures and what you can do upfront to avoid them.

Lack of upfront planning. Like all other areas of life, it’s difficult to succeed at outsourcing without a well-thought out, written plan. Do you understand the true scope of work? Does everyone understand their roles and responsibilities? How will the outsourced project fit into your current operation?

Miscommunication. Ask any operations consulting or outsourcing expert and they will tell you: miscommunication is the key problem facing outsourcing relationships today. Think about your own situation. How many times have you left a meeting with people you’ve worked with for years and had an entirely different understanding of the boss’s instructions than your co-workers? Is it any wonder things get misinterpreted when you’re communicating with people outside your organization? When outsourcing projects, it’s even more critical to have a clear Operations Map written down for all to refer to.

Unrealistic, unaligned expectations drive cost overruns. Half way through a project have you ever heard: “ that’s not how we wanted it to work!” Setting clear expectations is essential. Consider all the challenges of new employee orientation times 100 when you set out to work with an outside vendor on an outsourced project. Spell everything out or it will cost you.

Applying COMPROSE’s Operations Mapping method PRIOR to outsourcing projects is a proven way to overcome ALL these common obstacles. Before you take the plunge to outsource work, find out how you can increase the odds of success by creating a good business system.

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