// Gyte Gedvilaite, is co-owner of Imaginess I/S, a danish company that assists other businesses in outsourcing their graphical activities while maintaining the comfort of communication and in-house quality. For more information, please visit http://www.imaginess.dk //

Crisis seems to be left the only topic in the business world. Saving expansion to the better times, laying of employees and sending “We do not look for an employee anymore” note to all applicants to the job opening become new trends. How to save costs while keeping sales up – that is the question.

Outsourcing is, of course, simple and well known solution to it and many Danish companies (according to Eurostat, highest percentage in whole EU) use it. Yet there is also a downside for it. Recent survey by Deloitte called “Why settle for less” shows that 39 per cent have terminated the outsourcing contract and came back to in-house operations. Extremely high number that seems to be caused simply by mismatched expectations.

In many cases a company, that decides to outsource any activity, chooses among usual outsourcing countries (mostly in Asia) and the only interest they have is price per hour. Unfortunately, overlooking such factors as quality understanding, efficiency, ability to work without control, meeting deadlines and amount of communication needed in order to finish the project often ends in costing more than expected. Sometimes so much more, that coming home and paying twenty times higher salary is cheaper.

View Full Article »