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Outsourcing Pros and Cons

Outsourcing pros and cons

Outsourcing Pros

Outsourcing Cons

Lower cost

This is the most obvious benefit of outsourcing for many. But it is important to remind that outsourcing is different from offshoring. Although most outsourcing happens offshore, giving your laundry to the local laundrette is still a form of outsourcing.

Risks of miscommunication

This is the main issue in today’s outsourcing world. The gap between what you are actually thinking and what your interlocutors think you are thinking is already wide in any social interaction but when outsourcing this gap is even wider. Different cultural backgrounds, misread emails, absence of communication altogether all add up to put your outsourcing project at risk.

Access to skills

Outsourcing allows you to have access to a unlimited range of skills without having to hire someone with the required skills. Need some design done but you don’t have a designer in-house? Outsource it!

Difficulty to find the right service provider

How do you know that the service provider you have just hired is not a farce? How do you know the ratings on the website haven’t been submitted by friends? How do you know the service provider has the right personality? Because most outsourcing happens online rather than via recommendation, there is often a higher risk that the service provider may not be up for the job.

Your project makes progress while you sleep

Because often the service providers may live in a different timezone, your project ends up making progress 24h/24h. It is a great feeling to wake up in the morning to receive in your inbox an update of the work that has been done on your project while you were sleeping.

How am I protected if something goes wrong?

What if the service provider steals your idea? What stops the service provider to copy your code and run your idea on the side? To complicate things, taking someone to court is harder when that person lives on a different continent. How do you protect yourself from fraud?

Workforce flexibility

If you are bootstrapping your company, or are unsure of the future of your company in the next short/middle term, hiring freelancers is a great way to have access to talent only when required and to avoid long term commitments.

Lack of control

Because the service provider works remotely, there is some loss of control. You can’t make sure the service provider is not spending half his work hours on Facebook and because the services provider lives in a different timezone, he/she might be sleeping when you need them most.

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