3 Common Outsourcing Myths

I have provided an outsourced sales support service specialising in meeting and events sales for hotels and venues for six years.  Having worked in the industry and knowing the staffing challenges that sales teams face due to recruiting difficulties, business peaks and troughs, office cover when teams are out on appointments or venue visits, and the imbalance between proactive and reactive sales activity, there was a requirement for flexible interim support.

Meeting with prospects to discuss their needs and requirements there are often three main myths about outsourcing raised:

Cost – Outsourcing is expensive isn’t it?

It may appear on the surface that outsourcing a role is expensive.  Whether you are quoted an hourly/daily/ monthly/project fee the natural comparison to make is too compare it to an hourly rate or salary of a similar in-house position.  However this comparison is unrealistic as your salary comparison does not include associated employment costs, (recruitment costs, training, induction time, efforts and associated costs, bonus/commission schemes, national Insurance contributions, pension contributions, holiday pay, sick pay, training days, company car, health benefits/schemes, business costs – uniforms, phone, PC, IT support/software licenses/memberships).

There are also the unforeseen costs that employment can bring such as paternity/maternity leave, long term sickness, redundancy, jury service, unfair dismissal claims, etc.

So, taking account of full employment costs and the additional value and flexibility of your potential outsourced partner, outsourcing can actually offer an affordable, value for money option that your business could consider as a strategic, reliable and even a long term resource rather than a last resort or stop gap.

Value – Why should I outsource rather than employ?

Whether your dilemma is Outsource v Employ or just needing temporary additional support to a full in house team the benefits of using an outsourced service are many, but primarily contracts are generally far more flexible and offer a get out clause if either business is unhappy or unable to fulfil the commitment reducing risk.

If outsourced, often committed to a contract term project with a short timescale to achieve you can guarantee a dedicated, focussed attention with faster results greatly helped by the fact that there are no operational distractions.

A specialist outsourced service can be relied upon to work with initiative and intelligence due to having industry experience, knowledge and contacts often requiring no or minimal training, just product knowledge to get started.

Your outsourced partner will be a business in their own right and as such are conscious of their own reputation, integrity, professionalism and remain motivated as their success is your success and vice versa.

Outsourcing could not be easier or more user friendly, saving you time from having to recruit, train, mentor and often demonstrating a ROI sooner. You can tailor a package to suit your business needs in terms of hours/days, length of time to complete the project, focus of specific tasks or more general consultancy projects to suit your needs and have the flexibility to swap, change, and develop as required.

Control – How can I trust my outsourced partner?

So, you worry about controlling your outsource partner with concerns over remote working, sharing information, system access, loss of experience and knowledge when the contract ends.  If that is the case, you will probably have the exact same concerns over any employee.  However, what your outsource partner can provide is a confidentiality agreement, client testimonials, and will also have to comply with government regulations including the GDPR protecting your customer/client/prospect data. Again, your outsource partner should want to work on good scruples and integrity for the future of their own business viability.

So, when weighing up your options consider all the factors and establish what your priorities are and how best they can be achieved.  Blow the elephant out of the room and discuss budget, targets, and quality control.  Consider a contract package that meets your budget or longer term project can often be negotiated favourably.

For more Information contact Hello Hospitality.

www.hello-hospitality.co.uk

hello@hello-hospitality.co.uk

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