The 3 R's of Outsourcing that must be considered

Being the owner of a small business, you might have thought of outsourcing some elements of your business. There are so many perks of outsourcing that experts in various industries proclaim it solution cutting expenses.

However, there are more to outsourcing, which are the 3 R's - the reasons, risks and rewards. The 3 R's are explained below:

The Reasons

Improves the focus of a firm:

It is neither realistic nor conceivable to make everything done by yourself. Outsourcing provides the benefit of focusing on your core activities while other companies, whereas, the in-house businesses focus on theirs.

Access to exceptional capabilities:

Return of Investment (ROI) is an effective way of outsourcing the elements of your business. This will be a perk of getting the work done by a team of professionals rather than having a single person who knows the subject. Outsourcing firms usually require their employees to acquire proper industry training and certifications.

Frees internal employees for other tasks:

There might be employees in your firm who are specialised in something, but they cannot get the work done. They spend most of their time wondering how they can do it. Outsourcing helps make your employees free from tasks they cannot do or are not expert at and allow them to focus on the work that they are hired for.

The Risks

The morale of the employees can be affected:

When you will let the outsourcing firm replace their job function, then the employees might feel insecure and wonder if their job is at risk, or whether they will be fired.

Some elements cannot be outsourced easily:

Elements such as information technology create an impact on the whole organisation. It starts with the tasks that are performed by the employees daily to complicated automated aspects. You need to perform a background check for external help. Significantly, you need to check their qualifications and greatest needs.

The Rewards

Access to the latest technologies:

You might have noticed how much obsolete software and hardware has become in this industry. This becomes difficult for your in-house staff to keep everything up-to-date. Outsourcing helps you to manage everything properly up-to-date by providing more than one professional.

High quality of staff:

Outsourcing firms hire people with specific qualifications and certifications for job roles. Unlike with in-house hiring where the true capabilities for the job are not known properly, this will make you end up hiring a person who will not be fit for the specific job.


The resources of Outsourcers are vast at their disposal, whereas your business internal staff only consists of staff who have limited access to capabilities and resources.

Therefore, before outsourcing business elements, you must consider the benefits of outsourcing as well as the risks involved in it, so that you can understand whether outsourcing will be suitable for your company or not.


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