Sunday, February 12, 2012

5 Outsourcing Mistakes for Online Business Owners to Avoid

For online businesses who are considering outsourcing, the goal is to create a more profitable company while streamlining their work. Taking the time to avoid common outsourcing mistakes will make the process go much smoother and you will avoid the feeling of spinning your wheels and getting nowhere. As with any part of business, outsourcing has its good and bad points, however if you are aware of the potential problems, you increase your chances of an enjoyable experience.?Here are 5 potential outsourcing mistakes every online business owner should avoid.

Mistake #1 ? Not Knowing Who You Are Dealing With

The number one problem when it comes to outsourcing is not thoroughly checking out the assistant or company who will be performing the work. Most business owners who outsource will tell you the biggest benefit of doing so is the fact that their assistants work remotely. This is a great reason to outsource, however keep in mind that sometimes this independence can work in the opposite direction if not taken seriously. Make it a point to carefully interview the people you are considering working with before assigning a task or project. The assistant or company should be someone you can trust to represent your business.

Mistake #2 ? Non-Communication between Owner & Assistant

Whether you are outsourcing tech support, writing, web design or something else, there is a great deal of effort needed in order to keep the lines of communication open. If you allow them to do work for you without communicating your goals and what it is you do, you will find that they do not represent you very well at all! Take time to make sure that you and the people you outsource to understand your expectations and their limitations. This is an important part of making sure you get what you need.

Mistake #3 ? Forgetting to Budget Wisely

In order for outsourcing to work properly, you?ll need to keep a good eye on what you are spending for the work being done. While some projects will require single payments to your assistant, others may involve recurring or retainer payments and you will more than likely have some type of contract or agreement that binds you. Some of your assistants may charge by the hour while others may invoice by project or expect payment based on a commission of some sort. Take the time to figure out how much money you can afford to spend on certain tasks and budget appropriately.

Mistake #4 ? Under Utilizing Your Assistant & Their Resources

When you choose to outsource certain tasks, make certain you are using your assistant to their fullest capabilities. Don?t outsource or split up work between two assistants when it makes more sense to have one handle both jobs. Sometimes you can find assistants who are willing to work on a recurring basis or who will complete larger projects at a reduced rate in order to get and keep your business. Don?t be afraid to ask potential assistants if they have room for more than just one or two things and don?t outsource something just to say you?re on the outsourcing bandwagon.

Mistake #5 ? Misunderstanding Your Role as the Outsourcer

As the one doing the outsourcing, you need to understand your role. In order for the relationship between business owner and assistant to flourish, you?ll need to keep the lines of communication not only open, but clear as well. Be detailed in what you expect. Also, keep in mind that you are probably not their only client and as much as you would love to have them all to yourself, that probably isn?t the case. Be respectful of their time and give feedback on their work. This will help them do a better job and respect you in return.

Making yourself aware of possible problems that often occur in an outsourcing relationship allows your business to grow by leaps and bounds. Don?t be afraid to start your outsourcing journey, especially now that you are better prepared to do so.

Source: http://www.dtvirtualservices.com/5-outsourcing-mistakes-for-online-business-owners-to-avoid/

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