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The Do’s and Dont’s When Outsourcing

Why are so many companies and associations starting to choose outsourcing their back office functions? It is now become a common thing, even for start-up companies. And the reasons aren't too complicated.

* Outsourcing offers access to specialized skills and expertise.
* Outsourcing relieves busy association employees, who can refocus on value-generating initiatives.
* Outsourcing can save money.

But even with the obvious advantages, the outsourcing process can be daunting for some. In this article, we'll run down some tips that will help you plan and define your outsourcing needs.



1. Communicate your plans.
To whatever degree possible, involve your team in the planning process. If your colleagues are skeptical, be able to remind them how and why outsourcing will streamline their workloads, freeing them for more important tasks. Employees are happy to see inefficient workloads taken off their plates. Executives would want to know how outsourcing reduces costs and risks while increasing member satisfaction and supporting the overall mission of the organization. Achieving their two cents on the plan is critical and will smooth the transition.

2. Make employee benefits a top priority.
Whatever your association's goals, qualified and dedicated people make them easier to achieve. And today's best talents are scouting for great benefits. If you're considering backoffice support options, remember that HR is more than a box to be checked. Look for a partner that is well-positioned to host your employees and leverage world-class compensation packages.

3. Avoid multiple supplier relationships.
While it may seem reasonable to tackle operational changes individually, it's important to consider your entire ecosystem and anticipate potential growing pains. Look for a provider with a breadth of expertise who can scale up its services and who is capable of bundling and executing on all the necessary support functions. Working with a single outsourcing partner helps to ensure a more integrated approach and a more seamless experience for your members.

4. Explore your options carefully.
Evaluate your outsourcing candidate in terms of quality, experience, range of services and consultant partners. Look for a proven track records, low-cost services but guaranteed service levels, an expertise in a specific area, flexible contract options, and if possible, positive testimonials.



1. Expect to see immediate hard cost savings.
Ask providers to supply realistic cost metrics associated with outsourcing services. In the short-term, you may see higher expenditures going towards human resources, membership management or other supported departments. Be sure you're viewing these figures in the appropriate context.

2. Forget about web and technology management.
Most association leaders tend to think to backoffice services in terms of membership and accounting These are definitely key areas for small staffed organizations. But your online presence is every bit as essential as your bank accounts. If you don't have the tools or resources to update and optimize your website daily, technology support should be part of your outsourcing plans.

3. Assume outsourcing services can cure everything.
Freeing up key staff members and streamlining business operations constitute improvements. But these solutions can't fix more entrenched problems, like those stemming from unfocused, unproductive or unyielding players. A good outsourcing partner will help you establish which organizational functions can be effectively outsourced. From there, managing the relationship should be part of your association's big picture monitoring, with clear guidelines for internal accountability.



If you're ready to start evaluating a a possible outsourcing partner for your backoffice services, visit KDCI, an outsourcing company with a decade of experience supporting companies worldwide, and learn how we could help you achieve your organizational goals.


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