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It is a problem with small businesses to afford a large full time staff, which has all the skills needed for the functioning of a business. Therefore, outsourcing the work is a better option for them. But if you don’t have a good outsourcing experience in the past then it is really difficult for you to consider that option. Here are a few tips, which will help you in taking the best outsourcing decisions.

1. An outsourcing vendor is equal to a part time employee working in your company, so why should you deal with him with less caution? It is always better to shortlist three or four service providers, get information about their backgrounds, client reviews and then assign them work. Following are the issues that you can consider while inquiring about the company:
   • Records of their previous work
   • Client testimonials and references
   • A sample of their work as per your specifications
2. There are examples when outsourcing relationships have failed due to unclear responsibility areas. Always remember that you have less control over the outsourcing company in comparison to your employees. Before giving any outsourcing work, know what all you expect from the vendor in terms of:
   • Price to be paid
   • Nature and scope of service
   • Time of delivery
3. Always make sure that you inform all the technical and other required specifications as well as the performance benchmarks to the vendor.
4. Make as much payment as possible only after the delivery.
5. Keep everything in writing.
6. Go slow. It is always better to outsource some part of the project to the vendor rather than giving the entire work at one go.
7. Do not take any decision by only considering the low prices. There may be some hidden costs, which will inflate your expenses at a later stage.
8. Ask for the quotation in a standard format, so that you can compare all the bids.
9. Establish a review and feedback mechanism, so that you can inform the vendor as to what changes you want to include or if you are really satisfied with the work.
10. An outsourcing work can only be successful if the involved parties play their respective roles in a better way. Do not depend on the vendor only but use your own brains.