| How do you convert outsourcing leads into clients? | | | | system to its vendors and customers. An outsourcing |
| You may need to make the case for | | | | provider can get you up and running with a single, |
| outsourcing."Businesses today are kicking into survival | | | | seamless solution to support multiple users in different |
| mode," says Bill Allison, managing director for the | | | | geographic locations.4. Best practices - The ability to |
| Pacific Southwest Management Solutions & Services | | | | create and sustain shareholder value is what |
| Group at Deloitte & Touche. "With a sluggish economy | | | | businesses want. Outsourcing helps achieve that, but |
| and increased competition, shrewd executives turn to | | | | you need to be careful about what you outsource and |
| outsourcing as the most cost-effective strategy to | | | | whom to outsource it to. Outsource correctly, and you |
| meet the bottom line and seek a higher return on | | | | can position your company to outshine your |
| investment."Outsourcing, especially in the information | | | | competitors and make your investors happy.However, |
| technology (IT) arena, is a mechanism that allows | | | | outsourcing decisions that are not carefully strategized |
| businesses to compete effectively and sustain market | | | | will prepare you for declining market share and |
| dominance in the future.According to Allison, it is | | | | decreasing margins. Businesses considering |
| something most midsize companies should think about | | | | outsourcing should develop an "internal |
| if they want to be poised for success. Here are four | | | | characterization." If you were your own customer, |
| arguments he suggests you can make in favor of IT | | | | what would you like to see improved, emphasized or |
| outsourcing.1. Time efficiency - Technology allows | | | | removed altogether? An honest answer usually |
| businesses to create effective solutions when faced | | | | requires a fresh, outside perspective that is handled by |
| with a challenge. Generally the more demanding and | | | | an unbiased party qualified to take a holistic view of |
| complex the business, the more important the | | | | your business.Internal characterizations performed with |
| technology infrastructure becomes. Still, there are | | | | in-house personnel might capture the issues, but |
| companies that continue to run their business on an IT | | | | peering into the mirror can be more effective with a |
| infrastructure that has not been upgraded in years. | | | | neutral set of eyes. A mistake to be avoided is basing |
| These companies are jeopardizing their pecking order | | | | your outsourcing decisions on what you think you are |
| in a competitive marketplace. Ultimately, these | | | | good at, instead of what you should be good at.As for |
| companies spend too much time on IT problems | | | | deciding whom to outsource to, ask yourself, "What is |
| stemming from a dated system, and too little time | | | | the basis of competition in the outsourcing vendor's |
| focusing on the customer.Outsourcing eliminates the | | | | industry?" Is your vendor appropriately integrated to |
| challenge of fixing IT problems (e.g. the system is | | | | deliver against the dimensions of performance that |
| inefficient, the space capacity is limited), as well as the | | | | matter most to you? If so, you have made the right |
| time spent on recruiting and retaining skilled IT work | | | | choice. If not, look elsewhere.Henry DeVries is a |
| force. Dedicating less time to IT issues allows a | | | | marketing coach and writer specializing in lead |
| business to deliver a higher rate of customer | | | | generation for professional service firms. An adjunct |
| satisfaction and more time to focus on new | | | | marketing professor at UCSD since 1984, he is the |
| opportunities.2. Cost-effectiveness - Outsourcing can | | | | author of "Self Marketing Secrets" and the recently |
| be based on leveraging an external service provider's | | | | published "Client Seduction." Visit or e-mail questions to |
| economies of scale and expertise. Many companies | | | | © 2005 Henry DeVries, All rights reserved. You |
| share a platform for outsourcing, meaning they reap | | | | are free to use this material in whole or in part in pint, |
| cost benefits by sharing the provider's data center | | | | on a web site or in an email newsletter, as long as you |
| services and IT infrastructure already in existence for | | | | include complete attribution, including live web site link. |
| its other clients. This enables the business to | | | | Please also notify me where the material will |
| accomplish new projects that were once considered | | | | appear.The attribution should read:"By Henry DeVries |
| too expensive.3. Rapid time to market - A company | | | | of the New Client Marketing Institute. Please visit |
| that launches a new startup division will typically require | | | | Henry's web site at for additional marketing articles |
| highly automated processes. Outsourcing places those | | | | and resources on marketing for professional service |
| responsibilities on to a team of outsourcing experts | | | | businesses. |
| who can quickly and successfully link the company's | | | | |