Many small business owners and larger corporate executive partnerships are formed and held together by the occasional outsourcing of contracted work. Outsourcing work is usually performed by individuals, companies, or sometimes even business affiliates, that complete and finish a specific work related assignment not usually performed by the small or large business or company that is the one outsourcing the job work. For instance if one company produces keyboards that have a strict and static design, a customer may request a slightly different keyboard design through that same company but since that business or company does not produce that specific product the customer is asking for, then the company will put in a work ticket and outsource or also referred to as contract, out that work assignment to a small or large business, company, or corporation. That small or large business, company, corporation, or Limited Liability Company will then pay or reimburse that secondary small or large business, company, corporation, or Limited Liability Company to build the customer requested product.
Outsourcing or also known as “Contracting” out a business solution may be cheaper for the initial company than it would be for them to build the outsourced product themselves, saving that small or large business, company, corporation, or Limited Liability Company some extra time and money that could better be put to use on designing an internal product that is normally produced. Any small or large business, company, corporation, or Limited Liability Company that is sponsored by or supported financially by another small or large business, company, corporation, or Limited Liability Company is known as being “Incubated” by and “Incubator.” These Incubators, may require the Incubated small or large business, company, corporation, or Limited Liability Company to request permission by the Incubator in order to outsource or contract out a product build. Incubators may set strict guidelines on to whether or not the small or large business, company, corporation, or Limited Liability Company that is being Incubated may request to outsource or contract out a product design build. If a small or large business, company, corporation, or Limited Liability Company requires a product design build to be manufactured externally many of the executive decisions that have been developed by corporate entities may require an analysis of current policies and procedures that are carried out by departmental supervisors and managers.
If a small or large business, company, corporation, or Limited Liability Company begins to think of a business decision to outsource or contract out a product design build, the small or large business, company, corporation, or Limited Liability Company may want to be open to a wide array of country specific small or large businesses, companies, corporations, or Limited Liability Companies in order to finalize an outsourced or contracted out product design build. One small or large business, company, corporation, or Limited Liability Company may charge more money to design and manufacture a product build than another small or large business, company, corporation, or Limited Liability Company. Then again, one small or large business, company, corporation, or Limited Liability Company may require an increased time period in which to complete a product design build than a similar small or large business, company, corporation, or Limited Liability Company located in another country. A small or large business, company, corporation, or Limited Liability Company may also want to look into hiring, outsourcing, or contracting out a product design build to a freelance individual, small or large business, company, corporation, or Limited Liability Company that specializes in the manufacturing of that specific product design build. Freelancers may offer a lower price requirement and a higher turn over rate compared to larger businesses, companies, corporations, or Limited Liability Companies. Freelance individuals, small or large businesses, companies, corporations, or Limited Liability Companies may be a more efficient route to go in order to meet the demands of a specific customer product design build that requires manufacturing for the lowest amount of money required, the quickest service(turn over rate), and the highest quality engineering. Call centers for instance, may require the assistance of another call center in order to help facilitate a business solution to a customer product demand.
When a small or large business, company, corporation, or Limited Liability Company may begin to outsource or contract out a product design build to another small or large business, company, corporation, or Limited Liability Company, several questions need to be asked, such as;
Will we save time by outsourcing?
Will we save money by outsourcing?
Will we strain any relations we have with affiliates or incubators?
Will any future endeavors need revising?
Will any prior business decisions need to be re-analyzed?
Will product quality be reduced when the product is outsourced?
These are tough questions that need answering by both small or large businesses, companies, corporations, or Limited Liability Companies along with corporate entity business executives that are involved in the outsourcing or contracting out of product design builds that may or may not require manufacturing.
Discussion Topic: Is Outsourcing Work a Viable Solution?
