Needs Assessment: Do You Need To Outsource Or Out-task?

Many owners are jumping on the bandwagon to take back their time and personal lives.

Calling in a professional – whether it's a or a company or individual specializing in a particular function such as accounting – can save a small business owner precious time, effort, and money if it's done correctly.

In order to make the right contracting decisions, Howard Tiano, managing editor of recommends that small business owners know the difference between outsourcing and outtasking.

Outsourcing implies an ongoing service relationship, for example, contracting with a software company to provide ongoing service and technical support. The company would address all issues that arise pertaining to the use of that software, including problems and programming changes.

A relationship of this nature would be more economical than hiring individual contractors – a programmer or service technician – to address your software needs as they arise.

The contracted company would have a complete understanding of your system and needs, whereas hiring professionals as needed would require starting from scratch to assess your needs. This implies more hours and more money spent on the project.

An example of outtasking would be a once-a-year mass mailing. A task like this could be performed by virtually any individual with the right tools for the job. Outtasking can be cost-effective for projects that are periodic and require no follow-up.

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