Your Top 5 Virtual Outsourcing Problems – Solved!

This blog post is written for small business owners who are convinced that virtual service outsourcing is the right route to follow as the next step towards their business success.

Although there are significant benefits to outsourcing (see The Top 8 Ways Small Business Owners can Benefit by Outsourcing), some problems may be experienced that you may not be prepared for.

1. Ineffective communication

This is the largest problem when it comes to outsourcing.  The importance of effective communication cannot be overstated.  There may be natural communication barriers such as language barriers or cultural differences which need to be considered.  But even in the same culture and with the same mother tongue misunderstandings can occur.

Steps to avoid communication problems include:

  • State your expectations explicitly in the contract.  You need to spell out your exactly what you envisage and how your virtual service provider will meet them.  This is not a time to provide broad guidelines in an attempt to allow for flexibility.  Be very specific.
  • Schedule a weekly Skype chat, or something similar based on your needs, in which detailed report-backs can be given by your virtual service provider.  You can give immediate feedback and discuss problems experienced and potential solutions.
  • Expect daily contact either via phone, e-mail or web portals from your virtual service provider to keep you up to date on progress, any problems experienced, etc.  A good idea is to have a project management platform on which all information is shared, so that all the relevant parties have access to it.

 2. Outsourcing before you are really ready for it

You need to prepare and plan to outsource before actually doing it.

  • Make a list of what your needs are and how you envisage outsourcing will address these needs
  • Think about your small business’s strengths and weaknesses, and look for someone who will complement these.
  • Decide who will be responsible for managing the virtual service provider.
  • Do you have an outsourcing strategy?  If not, this is a good time to compile one.  It is difficult to succeed without a written plan.

 3. Having unrealistic expectations

Outsourcing will not solve all your business problems overnight.  You are ultimately responsible for your small business’s success.  A few points to remember are:

  • Your virtual service provider does not know everything about your business that you do.  They will function better as they gain more insights into how your business works, and how you like to operate.  Be open about your business and share whatever information is necessary to achieve their optimum performance.
  • Although most virtual service providers are professionals who will hit the ground running, you may have to provide some training or guidelines in certain aspects of the work you expect them to do.

 4. Choosing a virtual service provider for the wrong reasons

Going for the cheapest option can lead to disaster.  Although it makes sense to get a few quotations before choosing someone, keep the following in mind:

  • Ensure that the virtual service provider is able to meet your specific needs.
  • When comparing quotes, make sure that you are comparing apples with apples.
  • Evaluate the potential service providers’ responses to your queries.  Are they enthusiastic?  Do they follow up within a reasonable time?
  • More pointers to find the right service providers for your needs can be found in my article 6 Steps to Find the Best Online Workers.

 5. Providing unclear specifications

Take time at the beginning of your working relationship to ensure that your specifications are thorough and accurate.  This will save trouble later.  For instance, if you realize only after starting a project that you need to change the scope, you will affect both your cost and the time it will take to complete it.

Start a positive outsourcing experience today, and see what a difference it can make to your business success.  Whether you need to outsource administrative tasks or human resource related tasks, feel free to contact Virtual Productivity Solutions to make your outsourcing experience a positive and unforgettable one!

The top 8 ways small business owners can benefit by outsourcing

Imagine having the access to experts for every aspect of your business.

Imagine that this access is reasonably priced.

Imagine that these experts can help you from anywhere in the world and that your business can go on even when you are sleeping.

Outsourcing gives you all the above.  It can be used as a strategic tool for making any business more productive and profitable.  Outsourcing means that you entrust the processes of your business functions to external vendors.

The main advantages for small business owners are:

  1. You only need to do the tasks you are competent at and love doing. Imagine not having to dread coming to work because you hate doing all the peripheral duties that are essential to your business success.  You will be happier and more productive if you outsource these.  You can, for instance, rather focus on building your brand, developing new ideas, or developing wonderful customer service.
  2. You save money and boost your profits.  You save money by paying for productive time only, and you don’t need to worry about employee taxes, office space, equipment, vacation time, etc.   Outsourcing helps you to improve your continuity and customer service, while freeing you to pursue profitable activities in your business.
  3. You can achieve a better work-life balance. A person loses a lot of their creativity when they are stressed and overworked.  Outsourcing frees you to take time off from work, knowing that the work or customer service does not end just because you are not there.  You and your business will benefit.
  4. You have access to world-class capabilities. You have access to new skills and highly trained professionals at a lower cost, without having to manage them directly.  You can supplement resources that are not available internally.  You therefore have the same advantages as a large company who has these resources in-house.
  5. Focus on core activities. Often small business owners are consumed by the non-core activities at the expense of core activities.  Back-office operations and administrative functions take time and energy.  Outsourcing helps you to have more time and opportunity to grow your business.
  6. Staffing flexibility. There are some times during the year that you may need more support than others.  Outsourcing allows you to increase and decrease support for your business according to demand.
  7. Time zone advantages. You can get your work done while your business is closed at night.  This allows you to provide customer support even when you are not working.  Through outsourcing you can service your customers faster, provide better quality and decrease turnaround time.
  8. Boost your productivity and efficiency. If your business goals are properly aligned with the deliverables in outsourcing, you will increase productivity.  Outsourcing providers with the right expertise and experience can actually help streamline business processes and contribute to the bottom line.

What can I outsource?

You are basically only limited by your imagination as to what you can outsource.  To get your creative juices flowing, consider the following ideas:

  1. Website creation/maintenance.  Instead of spending hours figuring out how to do things or fix mistakes, you can pay someone to maintain your WordPress blogs (setup, periodic backup, etc)
  2. Content creation.  This is a process that takes a lot of time, and can be outsourced.
  3. Video creation.  There are people who can create a high quality video at very reasonable costs
  4. Graphics are great to outsource if you are not good at it, or it takes too much time.
  5. Customization and management of key business systems, for instance having Standard Operating Procedures compiled and revised regularly, database setup and maintenance, etc.
  6. Project management support.
  7. Human resource management support.

Your success and freedom as a small business owner depends on your ability to focus on what you love and what you do well, and eliminating or outsourcing everything else.

Ask yourself:  what is the first step I need to take to become a prosperous small business owner?

Make 2012 the year that you allow your business to grow more rapidly through outsourcing.  E-mail Virtual Productivity Solutions to start enjoying the benefits of outsourcing.  Not only can we do work you’d like to outsource, but we can help you determine your priorities and what you should outsource for optimum productivity. Your business will thank you.