What Is The Real Cost Of Outsourcing

Filed in archive Supplier sourcing on May 19, 2010

© markhillary

Billions of dollars of business is outsourced each year in the computer/information technology market. Nowadays, the business that does not have a website will most likely not be around next year. But, with money being tight for every business, many business owners are going to the developing world for their website and information technology needs.

You can find skilled workers in the developing world that will work for $2 an hour completing sophisticated technical programming. The same worker in the U.S may be $18 an hour. While outsourcing sounds like a great deal, make sure that there is a common language between you and the person you hire. All too often the person who is doing your work does not have a firm grasp of American English. You can have a lot of delays when what you ask for is not what you get. Before you outsource, ask yourself are you really getting value for money. If your business launch is delayed due to a miscommunication, how much will that cost you? If you have to wait to speak to someone for several hours because they are in a different time zone, how much will that cost you in lost business?

Outsourcing is not as cheap as it sounds.