Owning or running a business is hard work, but well worth the reward. There’s a reason so many people aspire to own a business or strive for management positions. It’s where folks can make some serious dollars because with additional responsibility comes rewards.
But there’s a lot to balance when you’re in these sorts of roles. You need to focus on strategy, marketing, product design, rostering and all the other ins and outs of everyday operations – unless you’re big enough to have separate staff or teams for these jobs.
By outsourcing some processes and systems you can often save money and time, freeing yourself and your teams up for more important work. Yet outsourcing means learning how to effectively manage contractors. So let’s explore the outsourcing overview and learn more.
Provide Them With the Tools They Need
If you’re hiring contractors to get work done, you may need to provide them with what they need to do that work. For example, you could devise an invoicing template on a spreadsheet that includes some sums so they can efficiently tally their line items and invoice you easier.
If you’re hiring writers or designers, it helps to have a style and brand guide respectively so their creative output can match the tone and brand of your company. If you bring in consultants to review your systems and processes provide them with as much documentation as they need to do their jobs. An outsourced contractor is only as good as the tools they have to work with.
Pay Them on Time
If contractors dislike one thing it is a late-paying client. At the end of the day, they’re just like you and your staff – making a living and paying the bills. If their invoice has 14, 30 or 90-day terms then pay according to those terms.
Some freelancers and firms will have minimum deposit requirements or late fees in their terms and conditions so to avoid annoying them and incurring additional expenses make sure that you pay them on time and everybody stays happy. On the other side of the coin…
Have Firm Contracts
If a contractor is not performing you need to have the right to let them go. Or, if the work needs a bit of a polish you need to have the right to demand better quality output. You also need a framework to define their role and the work that they do. All of this is covered in a contract. It is a mutual agreement that both parties need to agree to and sign before outsourced work commences.
If you’re large enough to have in-house HR staff or managers then they would typically draft up a contract for both parties to abide by. If not, but you’re beginning to scale and need to outsource then it is worth investing in either a part-time HR professional or hiring a lawyer to draft contract. You need something to fall back on if the contractor fails to perform their duties or if you terminate the agreement for a valid reason and they wind up seeking recourse through the official channels.
A Contractor Conclusion
Outsourcing can be a great way to cut costs and create efficiencies, but you need to do a few things to manage your contractors. Ensure they have what they need to do the job, such as invoice templates and style guides. Pay them on time and everyone stays happy. Have an airtight contract to protect yourself in case anything goes awry. Good luck and may you see growth in the future!
