To Outsource or Not…. Part 1

  April 12, 2013       By Ray Atia
When a company outsources their EDI processes they might save money and gain a few other advantages. These same benefits apply to other areas of manufacturing and even payroll. The only problem is that there are some things that need to be considered before making that choice. While it might work for some types of business, others might be better off without it. Here are some considerations. To Outsource or Not? EDI is one choice to consider. The critical thing to evaluate is the process that must be used for outsourcing. Look at the cost and consider if it is really saving you money. Sometimes that can depend on which company you use for the process. If they can effectively handle it and you are not only saving time but money as well, then it is obviously a good decision to outsource. Check the references with the company and make certain that they are able to adapt to that change. Then look at the reliability of the outsourced company. The process that depends on that outsourced company might be too important to take. It could cause a risk that leads to failure. If it is that valuable of a process, then you might want to handle it locally for yourself. Ask them how well they handle day to day operations. What happens when they have employee issues? Do they even have enough staff to handle those issues? Some individual freelancers that are used for outsourcing are excellent even though they are working alone. It really doesnt depend on the size of the organization. What matters the most is how they handle things when an issues comes up. High levels of personalization can require that you handle it yourself as well. In some cases the outsourced company will only handle simple processes. When that added level of customization is required, some outsourced work becomes pricey. Time and cost can be altered when the customization is needed. Ask those questions before hiring an outsourcing company and you will know which choice is the best one.