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The Benefits of Outsourcing

In the mid‐1990s, Peter Drucker, a renowned business management consultant, captured the essence of the budding new practice of outsourcing with his famous quote, “Do what you do best and outsource the rest!” For those unfamiliar with the business world, outsourcing is a great practice that allows a company to allocate certain responsibilities, employees, and perhaps assets to an external service provider. This involves both foreign and domestic contracts, and can even include relocating a corporation’s base to another country, a practice known as offshoring.

The external service provider can usually provide expertise in the specific roles that it is delegated, as its staff have been specifically trained to deal with such matters. They can also perform various tasks at a cheaper rate than an internal source might be able to without compromising the quality of work done. Allocating these assignments can also grant the client the time and ability to focus on more crucial business tasks.

Should the internal staff need training, outsourcing a project can allow them to develop their skill sets without hindering a project’s progress. If the outsourced employers were also to come on site‐‐or even online, through virtual messages or calls‐‐they could also assist in this learning process.

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