Most of the companies that have never outsourced anything always wonder whether outsourcing is really worth the trouble. Some argue that there is no need of hiring the services of a company that is located thousands of miles away while you can get the same services locally. It is true that you can get the same services locally but the cost of these services locally is way higher than the cost of the same services in offshore companies. However these companies that always thought that there is no need to outsource were hit hard by the 2008 economic recession. That was the time that they finally realized that outsourcing services to offshore and onshore companies can really save a company from shutting down their operations.

There are very many pros of outsourcing. Actually the merits of outsourcing outdo the demerits by far. Below are some of the pros and cons of outsourcing.

The very first pro of outsourcing is the cost factor. Outsourcing services to a third party save a lot of money. Generally the cost of hiring the services of an independent contractor is way below the cost of employing a fulltime team to offer the same services.

Another advantage of hiring the services of an outsourcing company is the fact that there is a large number of competent and qualified people out there who are able to do your job perfectly. Most of these people could not manage to get fulltime jobs, hence they opted to be freelancers. Whatever the service you want to outsource, you can be assured that there will be a trained and competent person or outsourcing company that will be willing to offer you the services at a lower price.

Outsourcing any service to an outsourcing company allows the business owner to shift their focus to more important issues affecting the business. For instance they can focus on expanding the business or increasing the production capacity. This can be made possible because outsourcing frees some resources hence the resources freed can be used elsewhere.

There are only a few cons of outsourcing services. One of them is the distance factor. The distance between the company that is outsourcing the services and the company that the services are being outsourced to might be thousands of miles apart. This might be a problem especially if the country where you are outsourcing the services to does not have good telecommunication infrastructure. Those are a few of the pros and cons of outsourcing. However you can be assured that there are many more pros and cons of outsourcing. The pros always outdo the cons and that is why very many companies are outsourcing their services to different outsourcing companies.
 
Daven Michaels Author of the book Outsource This!