Outsourcing has been a key part of my career and will continue to be. Many people ask about it and others are pretty amazed that it happens right here in KY. The purpose of this series of blog posts is to detail some of the lessons learned. I hope they will help you avoid some of the errors I made and enjoy the benefits of outsourcing.
Outsourcing has been going on for a long, long time. It’s not just a US phenomenon and its an important factor of our global economic growth and improving the world.
For those who believe everything should be made and serviced in their own country…well, unless you are from southeast Asia, you’d better be prepared to be naked a lot. Oh, don’t drive, take medicine, etc…It’s nearly impossible to live without participating in outsourcing.
First, a few reasons why I outsource.
- I believe in doing what I do best and letting others do the rest. (See the Four Hour Workweek for another person who believes the same.) My own skills are with people and organization of processes/resources. So this is what I do. All of the graphics, software, taxes, etc go to another person or company.
- When I outsource overseas, I’m able to gain financially through arbitrage while helping those in other areas grow their business. Sure, the dollar is low compared to the Euro, but its still stronger than the currencies where I outsource. This allows me to buy at one price and resell at a higher price. All of this while still providing a service/product to clients within their budget and the dollarized value of the solution.
- Outsourcing helps other companies grow. This is very true overseas. In the past five years, I’ve been able to help other companies grow (people and revenue) and gain other clients.
- The educational experience. Others learn about my business and I get to learn about theirs. If multiple nations are involved, then there’s even more learning. My clients get to learn about it, too.
- It saves me time. Time is precious. Outsourcing is one of the tools I use to control my lifestyle. Unless I have client meetings, I can work almost whenever and wherever I want. For a person with a lot going on and a growing family, this is important.
Summing up the why: the benefits of outsourcing help me achieve the lifestyle my wife and I want.
Some people outsource part of their personal lives to overseas folks. Although I’m sure some activities could be performed quite well, I have not ventured into this area yet.
That’s all for now. The bulk of the lessons learned will be in the next post.