Know the benefits and costs of outsourcing services

By Ann Macaulay
|Canadian HR Reporter|Last Updated: 03/30/2001

Outsourcing non-essential services can help you concentrate on your core business, but before you start hiring outside workers, know what you need and what the benefits — and costs — will be.

“People have to think of outsourcing as an option for doing things more effectively,” says Toronto-based organizational development consultant Gail Aller-Stead, who works with organizations and individuals to help them improve their work processes.

Keep your core capability in-house — whatever defines your business, makes you unique, and gives you competitive advantage. If it’s absolutely integral to your business, don’t outsource it. “You’re putting yourself at risk” if you give up responsibility for governance of your firm, says Aller-Stead.