5 Ways Outsourcing Can Help to Grow Your Business
Last updated: 2021-05-28 (originally published on 2016-08-30) — by Alex
As the wise advisor would say, “Focus on your core competencies and outsource the rest.”
Most individuals embark on the path of entrepreneurship in pursuit of the freedom to work autonomously and be their own leader. However, they soon reach a point where business growth stagnates; unless they open the door to bring in external help.
When you engage a business consultancy, they lend skilled, learned, and experienced consultants to you. You stand to benefit from the rich experience and specialist knowledge that these consultants bring to the table.
Outsourcing selected business functions is not at all uncommon in today’s relationship-driven business world. Businesses of all sizes around the world function this way and stand to benefit from outsourcing in the following ways:
1) Consultants give you an independent opinion
It is very likely that that a specialist consultant will have had related experience with companies that are similar to yours. They get to tap into their experience and offer a wider perspective on the problems at hand. Because they are embedded into the industry in which they consult, they are well-informed of the latest developments and will use and apply this knowledge to help your business. Most importantly, external consultants are unconsumed by your organisation’s day-to-day politics, culture, resistance to change, and hierarchies. As a result, outsourced consultants can provide opinions and suggestions to underlying issues in your organisation, without having to worry about potential repercussions.
Tapping on the expertise of local or regional-level consultants make even more sense for young startups that are venturing into a new territory. Often, new businesses neglect to consider the implications of certain regulatory, political, cultural sensitivities; hence it is best that you rely on the advice of an experienced consultant.
For instance, business laws in Dubai can be very different to that of your home country. In this case you should definitely rely on an experienced consultant who can advise you on the applicable governing laws, or recommend you to a reliable lawyer in Dubai.
2) Consultants can lend an extra pair of hands at the eleventh hour
Remember the last time you encountered a problem that required an urgent fix, but did not have the ability to allocate the required manpower at the last-minute? In the event where all hands in your office are tied, having an extra pair of hands from a consultant can be especially handy!
Because a consultant’s work is largely project-based, they are used to jumping in with little notice and can usually adapt very quickly. Most importantly, they can be mobilised just when you need them (not forgetting that you will only pay for what you need!).
3) Consultants have access to a wider network and can connect you to cheaper resources
Consulting companies usually amass a great network of service partners who perform services that are complementary to their own. This means that your consultant can act as a reliable middleman when helping you to procure and manage other subcontractors. Not only will this give you more time to focus on your core business, you might even be entitled to preferential rates as a result of their pre-existing relationships in the ecosystem!
Are you a Consultant? Learn:
4) Consultants can do your ‘dirty’ work
Companies re-strategise and change directions all the time. This inevitably results in restructuring and, unfortunately, the job losses for some. We all know it’s nothing personal, yet no one fancies doing the ‘dirty’ work of breaking the news.
You may want to consider bringing on-board external vendors to help manage and execute a corporate restructure. This keeps decisions fair and unbiased. You will also want your employees, regardless if they were ‘victims’ or ‘survivors’, to appreciate the transparency. Some consultants will additionally offer outplacement and coaching services to ease the job loss transition for your employees.
5) Consultants can help you make the most out of your efforts
How often do you take a step back and take the time to review and report on your business activities?
No, we don’t just mean financial reporting; but rather, the return on investment (ROI) on measurable results v.s. time spent. Take for example if you’re in the role of Marketing and Business Development: You spend most of your time putting together events for your company – securing venue partners, sponsors, speakers, preparing collateral, garnering attendees… but do you know how much return you get from each event that you host?
What if I told you it would’ve been more effective to market your business online instead? But you wouldn’t know that, because you’ve been too buried in the daily grind to find the time to measure the effectiveness of your efforts, as well as test alternative strategies.
This is where an external consultant can come in. You can keep doing what you do to keep the business on track; but allow a consultant to analyse your processes, results, and suggest room for improvement.
Are you too busy to improve?
Image source: LinkedIn
Related reading: Essential legal documents when working with Advisors
Many companies share the common misconception that consulting services are a waste of money, or an unnecessary luxury. The truth is in fact quite the opposite: Minimal investment in consulting services can go a long way in helping your business grow, the trick however is selecting the right provider and ensure that expectations are aligned right from the outset.
To ensure you reap the most benefits out of a consulting service, be sure to set out the terms and conditions right from the beginning using a Consultancy Agreement.
Photo credits: Shutterstock
About the Author
Rachel Stinson has always had a knack for writing, food, fashion, and places. Blogging has combined all four for her with an added bonus of enthusiastic audiences. She expertly analyses real estates and restaurants with respect to pricing and people involved, and can express her opinions in an unhesitant, engaging manner for all matters; including legal matters about law firms in Dubai like AlHanaee.
Editing by Zegal.