Choosing an outsourcing service provider is crucial to the success of your business. You should assess a potential service provider with the same process you use to hire an employee. The benefits of outsourcing will only be reaped when you are able to secure the right outsourcing partner for your company.
Aside from the costs and terms of the project, your company should look out for the following criteria:
a. Business Goals
It is important to consider your outsourcing service providers short and long-term business goals in order to determine if they are the right partner for your business. You can also ask for references from their customers so that you can get first hand feedback.
b. Financial Stability
Identifying your outsourcing partner’s stability helps you determine it can survive in the long run. You can use fundamental analysis to measure the value and performance of a company relative to other companies in the same industry.
c. Cultural Compatibility
It is also important that your outsourcing partner understands your culture, so as to understand your organization and employees, as well. This makes communication direct and easier, even when handling conflicts. The key is to acknowledge these differences and manage them sensitively.
d. Communication, Technology & Infrastructure
With the innovation in outsourcing, and the development of cloud computing, it has become convenient to exchange information even if your partner is located offshore. You should also check if the company have the right equipment to know if they can manage to execute a project successfully.
e. Record and Experience
Lastly, know about the extent of your partner’s experience in the industry, and its proven track records to check its credibility. It is also important to research about the company or request for information straight from them. If they have available portfolios and samples, review them.
Your outsourcing partner can make or break your company, so it is important to evaluate carefully its competence before becoming involved with them.
The Outsourced Accountant supports Australian and New Zealand accounting firms by helping them understand and implement outsourcing solutions to help them become more proactive and truly add value to their clients. If you want to know more about outsourcing, call us at 1300 729 150, and download our e-book.