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anaging an outsourcing process

Outsourcing requires well planned management. Managing your outsourcing venture is critical to the success of your project, but is an area that has not been given its due importance.

It is not difficult to deal with the costs involved in managing the outsourcing process. Plan out your management strategies and adapt them to outsourcing. To enjoy the benefits of outsourcing irrespective of the size of your company, a methodical management framework is important.

Certain areas of your outsourcing business need constant attention. Focusing on these areas will help you in controlling the course of your outsourced project.

Managing cost:

The biggest advantage outsourcing provides is cost benefit. There is no point in taking up a project if you are going to end up spending more on the project delivery to their client, right? To prevent this, scrutinize the scope and the pricing of the project right at the beginning before you take up a project.

Managing communication

Communication plays a vital role in bagging projects. How you communicate with your clients decide your future relationship with your client. To ensure better communication management, ensure you have the following in place-

  • Good communication systems
  • Regularly contact
  • Clear instructions and feedback
  • Clarify all possible doubts that can arise

Performance Management

The main issue in performance management is providing quality work in the decided time zone. Strike a balance between the actual performance levels and the ideal performance standards of your outsourcing project. Make sure that the project does not take too much time. To avoid this, review and analyze the project progress on a regular basis and specify the targets before beginning of the project.

Risk Management

A concern in any business venture. To be able to manage them assess your risk factors when you take up a project and have a back up plan ready, so in case anything goes wrong you will be prepared.

Crisis Management

Be prepared for any crisis that you might encounter. Make sure your management is financially and professionally equipped to deal with contingencies

Knowledge Transfer Management

While transferring knowledge about the proposed project, give complete information and knowledge to your outsourcing partner. The entire process should be closely and regularly watched. Knowledge transfer is directly proportional to productivity.

Relationship Management

You need to work out a good amicable relationship with your outsourcing partner. You can do a few things to make sure everything works out alright.

  • Constant monitoring
  • Mutual understanding
  • Transparency
  • Scope for discussion
  • Flexible contracts
  • Openness to intermediate scope and price review

Apart from managing the business process with your outsourcing partner it is also necessary for you to mange your in house processes.

  • Estimate your company's capabilities.
  • In-house and offshore workload distribution.
  • Appointing a project manager to supervise the entire process
  • Employee training on how to manage and organize an outsourcing business

Your final goal is to manage your company such that you benefit from your outsourcing venture. So choose a management system that suits your company and go ahead.

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