A source is a source, of course of course...Written by Aaron Colman info@ibasics.biz http://www.ibasics.biz
In
beginning, people hunted animals... grew crops... and lived close to
people they worked for. In fact that was one of
big plusses in working for someone else. If you worked for a local king, his castle and guards would protect you from outside armies, while providing a means to settle domestic disputes.
As time went on, governments became less about getting work done and more about collecting taxes and providing for
general welfare of it's people.
In
corporate age, people would come to work for a central agency and that organization took on many of
same roles as
kingdoms of old.
Times have changed some. Today, with
advent of a wide-spread Internet some tasks can be done by people anywhere in
world. If this trend continues, many projects will end up having it's work "distributed" across a large area. This is known as outsourcing.
Outsourcing has become very controversial as many people feel that their jobs are being shipped overseas with no potential for getting a new one, but there's a definite upside to domestic outsourcing.
Domestic outsourcing is different from off-shoring. Domestic means that you're outsourcing to someone else in
same country or area. Not only are you providing for your local community, but there's a real cost-to-benefit increase in staying in a local jurisdiction. When you offshore to someplace far overseas, there's not a heck of a lot you can do if they decide to blow you off. It's just not feasible to take someone to court overseas for a few thousand dollars. This means that outsourcing projects overseas comes with a definite increase in risk associated with
decrease in cost. This shouldn't be surprising as most increases return come with added risk... but there is a reliable way to improve your returns without adding this risk. And that is...
Domestic Outsourcing.
Domestic outsourcing IS
wave of
future. Large corporations are being overtaken by
large waves of competition from smaller, more efficient, organizations. While some large industrial applications can never be outsourced, many can be.
Here are some things to consider when outsourcing a project:
The Pros: The biggest decrease is in cost. If you have only a small project that needs done, why go thru
hassle of hiring someone and paying all of those taxes and related fees? Not to mention
potential legal issues of hiring a staff. Liability issues, discrimination laws,
list is huge.
The next benefit is a decreased management overhead. This is really important if you're a small business. You shouldn't be spending money hiring a manager when money is too tight to effectively advertise. Simply hire someone as an independent contractor and arrange an agreement to pay them based on performance.