by Randy Wong,
All nonprofit leaders understand just how crucial it is to work efficiently while paying close attention to the way financial and human resources are being used. Hiring additional team members to fulfill every operational need can become extremely costly, but staying understaffed can lead to employee burnout, resentment, a lack of clarity in roles and, worst of all, focus displaced from the organization’s mission. To avoid this, consider outsourcing select experts as an extension of your team.
Outsourcing can bring in helpful outside perspectives, ideas and proficiencies and can empower you and your staff to focus on the organization’s real purpose.
In symphony orchestras, each instrument plays a specific role and part in the music. Most orchestral musicians specialize in just one of those instruments, even though there is some shared, transferrable knowledge. (Most cellists do not play double bass, nor would a trumpeter be adept at the French horn.) While there are situations where an orchestra might hire a “doubler” who can play more than one instrument, in most cases it’s more efficient to let people stick to their primary instrument and hire a specialist for anything else. The same is true with outsourcing.
While outsourcing looks different for every company, here are four ways it allows us to expand our impact and realize our mission:
• Supports Expansion: Outsourcing deepens the bench and allows certain roles or tasks to be offloaded so that employees can focus on their particular subject or content area and so they can stay directly connected to its mission, services and stakeholders.
• Aids Retention of Human Capital: When an organization expands and/or when finances are tight, leaders may choose to split the added work between current employees. Sometimes, this extra work is not what these employees specialize in or what they were hired to do. Staff will often experience burnout and/or question their role and purpose within the organization, leading to churn.
• Builds Knowledge Capital: Outsourcing allows you to be sure you are getting help from an expert(s) in a field and benefitting from their professional expertise. The firms we work with are able to provide us with important information on trends, news and best practices within their respective industries.
• Expands Your Network: Outsourcing helps build connections where you may have never thought to do so before. These relationships are invaluable, creating countless opportunities for collaboration and making a greater impact on those your organization serves. For example, our public relations firm has clients across a variety of industries, some of which have provided new places for our students to perform and new platforms to promote our mission.
While outsourcing has many benefits, there are also specific challenges that you should consider. Though not an inclusive list, these factors can play a key role in determining whether this will be a sustainable relationship and one that is actually beneficial for your organization.
• Business Challenges: Businesses of all industries and sizes face similar challenges, especially in a post-pandemic world. They may also face staffing shortages/turnover, changing priorities or rising costs. These shifts may be passed along to you as additional costs or inefficiencies.
• Accountability: To what extent will the outsourced firm hold itself accountable for the deliverables, timelines and work products it creates? Businesses that are unwilling to stay accountable will induce a difficult climate and relationship.
• Strategic Or Value Misalignment: Check to see if the business you are looking to hire aligns with your organization’s mission and values. Will they keep your organization’s best interest in mind? Are they supportive of the community? Tensions may arise if the two organizations misalign on a long-term level—for example, if the business is focused purely on profitability and everything feels like a transaction rather than a partnership.
• Communication Barriers And Decision-Making: Each company may have its own communication style in conjunction with its organizational chart or workplace culture. Whether it’s flat, hierarchical or more informal, how they communicate and make decisions internally will affect the efficiency and efficacy of the workflow in relation to your work together.
Above all, doing your research is key!
Growth, streamlining and the implementation of new initiatives are all instances in which you may want to consider outsourcing based on the needs of your staff and those you serve. Being proactive about finding high-quality and flexible solutions for your organization is crucial. Outsourcing various duties can alleviate some of the stressors around organizational change, allowing you and your team to put a greater focus on the aspects of your organization that need to be managed internally.
Do your research on the firms and consultants you are considering. How long do they retain clients, how respected are they by industry peers and to what extent do they have employee churn? These are all measures by which you can vet potential outsourcing relationships. A bad fit could cause stress, frustration or even disorder within your organization. This could lead to lower morale, ultimately hurting your ability to lead the organization.
First, identify the specific goals of the role you are looking to fill. This will create ease and clarity in your outsourcing search as it will allow you to ensure your needs can be accomplished by the person or company you hire. Once your goals are set, leverage your connections within the community to get referrals. Draft an RFP, and with a task force or committee, meet with potential candidates. Do your research, a cost-benefit analysis and understand the overall value proposition. Manage your outsourced relationship actively—it’ll take conscientiousness and work!
While outsourcing is not necessary all the time, it is helpful to know that we have options when it comes to support systems. Understanding why, when and how to outsource will keep your organization on track as it works to solve the problems and help the people it was meant to.
Source: Forbes