There are a lot of benefits to outsourcing work. You can get things done faster and at competitive rates, and you don&#8217;t have to worry about hiring and training employees. However, there is much more to collaborating with a remote team than just picking the right people and sending them a task list &#8211; and that&#8217;s why it&#8217;s essential to familiarize yourself with how to successfully manage an outsourced team.



In this article, we will discuss the differences between managing outsourced teams and managing in-house teams. We will also talk about the shift in work culture and how managers must adapt to be successful with outsourced teams, focusing on the managerial traits that will help you make the most out of your collaboration with your outsourcing partners and team members.



Managing an In-House Team vs. Outsourced Team



There are a few key differences between managing an in-house and an outsourced team. One of the most significant differences is the means of communication. With an in-house team, you can easily pop into someone&#8217;s office for a quick chat or impromptu meeting. But with an outsourced team, managers must be more intentional about setting up regular check-ins and video calls.&nbsp;



Another big difference is how you manage tasks and projects. With an in-house team, managers can easily drop by a team member&#8217;s desk to give them a quick update on a project or ask how their day is going. But with an outsourced team, managers must be more proactive about requesting and overviewing progress reports and using project management tools to stay on top of deadlines. If not, things may fall by the wayside, and productivity may drop simply because there&#8217;s no in-person oversight of how things are moving along.



Lastly, managers must be more mindful of cultural differences when managing an outsourced team. For example, if you&#8217;re managing a team in a different time zone, you&#8217;ll need to be flexible with your meeting times. And, if you&#8217;re managing a team in another country, you&#8217;ll need to be aware of cultural customs and holidays to set your schedule accordingly.



Overall, managing an outsourced team requires a bit more effort than managing an in-house team. It demands that the right communication tools and protocols are put in place to ensure a fruitful collaboration and that all parties involved are on the same page when it comes to following them in the same way.



The first thing to understand and embrace is the change that&#8217;s happening on a global scale in the aftermath of the COVID-19 pandemic and how that affects the way business is now conducted.



Acknowledging the Post-Pandemic Work Culture Shift



At the outset of the pandemic, many office workers were forced to work remotely for safety reasons. However, as time went on and the logistics of working from home were finetuned and perfected, remote work became a permanent option for a significant percentage of the global workforce. So, with millions of people working at least partially remotely, it&#8217;s no surprise that outsourcing staff has become more popular as well.&nbsp;



While remote work is often thought of as the perfect solution for introverts, it&#8217;s shown that <a href="https://www.inc.com/geoffrey-james/is-your-personality-type-right-for-working-remotely.html" target="_blank" rel="noopener">it is extroverts who thrive in a remote setting</a> – but it&#8217;s not just them. In fact, several personality types are suited for remote work. Check them out below!



Personality Types That Do Well with Remote Work



<ul><li>The Independent Type: They enjoy working on their own and don&#8217;t need a lot of handholding.</li><li>The Self-Starter: They&#8217;re motivated and can stay on task without someone looking over their shoulder.&nbsp;</li><li>The Problem-Solver: They like to problem-solve and figure things out independently.&nbsp;</li><li>The Adaptable Type: They&#8217;re flexible and can &#8220;roll with the punches.&#8221;&nbsp;</li></ul>



As a result, it&#8217;s essential to know which type of worker you&#8217;re dealing with before you outsource your team and learn how to work with them after you begin your collaboration.&nbsp;



Keeping that in mind, let&#8217;s see how you can use all this information to manage your outsourced team successfully.



<ol><li>Adopt an Agile Management Style</li></ol>



<a href="https://www.apm.org.uk/resources/find-a-resource/agile-project-management/" target="_blank" rel="noopener">The agile management style</a> has become increasingly popular in recent years, as more and more businesses look to outsourced teams to help them meet their goals. This management style is characterized by its emphasis on flexibility and collaboration, two key factors that are essential for successful outsourcing relationships.



One of the most significant benefits of the agile management style is that it helps to foster a strong sense of communication between the client and the outsourced team. In traditional outsourcing arrangements, there can often be a disconnect between the two parties, which can lead to misunderstandings and frustration. However, with agile management, both sides are constantly working together towards common goals, which helps to ensure that everyone is on the same page.&nbsp;



Another advantage of the agile management style is that it allows for greater flexibility when it comes to project scope and timelines. This is essential when working with an outsourced team, as it can be difficult to predict precisely how long a project will take or what challenges will need to be overcome. The agile manager can quickly make changes as needed by being flexible and adaptable, ensuring that the project stays on track.



Successful outsourcing relationships are essential for many companies in today&#8217;s fast-paced business world. The agile management style is a proven method for ensuring that these relationships are productive and effective. By focusing on communication and collaboration, agile managers can help their clients achieve their goals while maintaining a healthy and fruitful relationship with their outsourced team.



<ol><li>Maintain an Open Line of Communication</li></ol>



As mentioned earlier, outsourced management requires a high level of focus on communication. If you want to get what you have in mind, you must be clear about your goals, share your ideas, state your expectations, and ensure remote team members understand your project requirements.



But you shouldn&#8217;t stop there. You must talk to your remote team often to know if there are any challenges, questions, or problems and be updated regarding whether your project is going as planned.



So, when you choose an outsourced team, it&#8217;s essential to agree on the ways and formats you&#8217;ll use to talk to each other. For example, you can set up regular meetings and use remote collaboration tools such as Zoom or Slack to schedule video calls where you can discuss project updates or track progress using a project management tool like Asana or Jira. By doing so, you can make sure that everyone is on the same page and that the project is moving forward as intended.



<ol><li>Acknowledge Cultural Differences</li></ol>



When you manage an outsourced team, it&#8217;s important to remember that everyone comes from a different cultural background. What might be considered normal or acceptable in one culture may be completely different in another. This can lead to misunderstandings and conflict if not acknowledged and appropriately managed. Being aware of cultural differences can help avoid problems and build a more effective and cohesive team. When people feel respected and understood, they are more likely to be loyal and productive. So, acknowledging and accommodating cultural differences is not only the right thing to do but can also help you build a better team.



<ol><li>Encourage Collaboration and Feedback</li></ol>



The importance of fostering a collaborative environment, and being open to feedback, cannot be overstated. Emphasizing these two things helps to create a more cohesive team that can work together effectively to achieve common goals. It also helps to ensure that team members are held accountable for their performance and that they can learn from their mistakes. Feedback also allows you to identify areas where the team can improve and make changes accordingly. Furthermore, it will enable you to get input from all team members and ensure that everyone is happy with their work. Finally, by encouraging collaboration and feedback, you&#8217;ll build a stronger team that is more likely to be successful and, as such, more efficient in their work output.



<ol><li>Be Flexible and Celebrate Successes</li></ol>



Last but not least, one thing you should remember when successfully managing an outsourced team is never to stop being flexible. Things may not always go as planned, requiring you to cultivate inventiveness. Managing an outsourced team is not a static process but one that will always be in flux, and it&#8217;s important to remember when you encounter unforeseen circumstances that may throw things off schedule.&nbsp;



But, regardless of any challenges that might arise, managing an outsourced team can be a gratifying experience, and that&#8217;s why you shouldn&#8217;t forget to celebrate successes together! Team activities, either online or local to the outsourced team members, can be a source of motivation. For example, you can host online social events through Zoom so that in-house and outsourced team members can mingle with each other and, if possible, even host meetups on-site so that remote team members can learn more about your company and how you operate first-hand. This way, you will not only help foster camaraderie among staff but also show appreciation for their efforts and hard work, boosting morale and creating a positive work environment, even if remote!



Now, You Should Have a Good Grasp of How to Manage a Remote Team Effectively!



If you’re getting ready to outsource and <a href="https://scale3c.com/services/staff-augmentation">hire a remote team</a>, we believe that we have given you the rundown of how to make the experience smooth for you and your team members! So, by following the tips in this article, you can set your outsourced team up for success and avoid some of the most common pitfalls. Remember to clearly communicate your expectations, provide adequate support, and be patient while they get up to speed. With a little effort on your part, you can create a productive and successful working relationship with an outsourced team!



If you’re interested in assembling a remote team, contact us at hello@scale3c.com to explore our staff augmentation solutions. We welcome the opportunity to discuss your projects and help meet your individual needs.

Explore How to Successfully Manage an Outsourced Team. Learn great tips and tricks on the matter.

How to Successfully Manage an Outsourced Team | Scale3C

If you want to find out how to successfully manage an outsourced team, we've got you covered. This blog post contains firsthand experience tips for success.

How to Successfully Manage an Outsourced Team

When it comes to running a business, you&#8217;re often called to make difficult yet impactful decisions. One of the most important things you may have to consider is whether to outsource operations or not. Outsourcing and outstaffing can offer many benefits, but it is&nbsp;<a href="https://scale3c.com/blog/what-you-should-look-for-when-outsourcing-tech">not a decision that should be taken lightly</a>&nbsp;– especially when it comes to who you choose to partner with and where your partner of choice is located. However, a trend that has emerged in recent years presents an interesting alternative: nearshoring. It is a fascinating business approach worth learning more about.&nbsp;



So, read more to discover why nearshoring has become so popular – and why it may be an excellent option for your company, too!



What Is Nearshoring?



Let&#8217;s start with the basics.



Nearshoring&nbsp;is a business strategy employed by companies in which they transfer business processes or jobs to a third-party company located in a neighboring country rather than one located further away.



For example, let&#8217;s think of a hypothetical European e-commerce company looking to develop its proprietary application. After some consideration, the company&#8217;s top outsourcing contenders are Company A, which is also based in the E.U., and Company B, which is located in another continent. If our hypothetical company ends up in business with Company A, it has opted to go&nbsp;nearshore.



Nearshoring vs.Offshoring &amp; Outstaffing vs. Outsourcing



There are a few key differences between outsourcing, outstaffing, offshoring, and nearshoring. So first of all lets define Nearshoring &amp; Offshoring:



<ul><li>Offshoring is when forwarding&nbsp; jobs to another distinct country, which can be in a different time zones and cultures.&nbsp;</li><li>Nearshoring is when you are having jobs done in another nearby country.</li></ul>



This decision usually made based on competitive labor costs per different countries, but just to keep in mind,&nbsp; nearshoring typically leads to higher quality work output and better communication between all parties involved.



And now lets define Outstaffing &amp; Outsourcing main differences:&nbsp;



<ul><li>Outsourcing usually works on a project-based business model which means that most likely the client entrusts the outsourcing company the whole project from A to Z.&nbsp;</li><li>Outstaffing usually works as a&nbsp;long-term but indirect employment contract, when employer is been managed directly by the client,&nbsp; while employment contract is been signed with a contracting agency.</li></ul>



So basically, outsourcing &amp; outstaffing can been defined by the required direct or indirect management.



Now that we&#8217;ve clarified let&#8217;s zoom in on the many benefits that come with nearshoring &#8211; including risk reduction and broader access to a skilled workforce.



Nearshoring Advantages



Lower Cash Flow Risk



Not all projects are made equal, and company revenues are subject to fluctuations, so ensuring that cash flow remains positive is among the top reasons to choose nearshoring.



On principle, the need to outsource certain business operations stems from lacking the appropriate know-how internally, and looking to recruit it externally without having to incur the costs of having to hire, train, and manage employees that eventually may or may not remain on board.



This means that nearshoring allows for a no-strings-attached approach to doing business which is exceptionally beneficial when a project needs to end swiftly or when budget cuts are necessary to stay afloat.



With an explicit nearshoring agreement in place, you can halt part of your operations without negatively impacting your company budget, including having to deal with added labor-related expenses.



This way, nearshoring essentially serves as a safety net against capital loss and gives you the freedom to remain flexible in the ever-changing global economic landscape.



Streamlined H.R. Search and Management



It&#8217;s no secret that headhunting is an expensive, competitive, and time-consuming task that comes with many hidden costs. Top talent is often hard to come by, while recruitment fees can soon begin to add up, to the point that you may quickly find yourself spending more than what you had budgeted for – before even getting your project started.



Enter nearshoring, where the recruitment process has already been done for you, and every aspect of employee administration is already set in stone. As a result, you won&#8217;t be called to develop any protocols of your own or have to expend considerable energy into searching for additional team members that you had not priorly accounted for and that need to be hired during the project.



Nearshoring&#8217;s advantage of presenting you with a pre-assembled team of professionals right at your doorstep ultimately allows you to divert your attention into other aspects of your business that you would like to grow but wouldn&#8217;t have had the time to do so if you had to undertake extra H.R. duties in-house.



Borderless Recruiting and Enhanced Cultural Awareness



Another benefit of nearshoring is that you gain the opportunity to expand your hiring pool. Free from location limits, you can tap into the candidate pool of your nearshore partnering country without incurring the costs of relocation or employee travel costs.



Furthermore, nearshoring can enhance cultural awareness and understanding between coworkers, allowing employees to learn about and experience different cultures first-hand. In addition, nearshoring can improve communication by providing a common language and culture that employees can use to communicate with one another. Finally, by bringing people from different countries and cultures together, nearshoring can help create a more diverse and inclusive workplace where employees gain social and interpersonal skills and exchange knowledge that can only happen by working side-by-side.



Less Internal Administration Work



It&#8217;s easy to understand how hiring new staff members entails additional administrative work for the respective company department. Should said department already operate at capacity, the additional strain may lead to an alarming decrease in productivity. That, in turn, would make expanding it with new hires essential, cutting the company budget.



Even when internal company administration is strong, extra work would surely take time off other priorities. That&#8217;s when the cost-benefit analysis comes into play and where nearshoring proves to be a smart solution that would take care of the demanding tasks associated with managing a separate employee team.



All in all, nearshoring&#8217;s compounding benefits simplify a host of operations and processes that could otherwise cause anything from moderate to severe upheaval if they were to be implemented in your company&#8217;s already cemented and fine-working structures. That makes nearshoring a very lucrative option and a far better choice than offshoring for expanding your business with little risk.&nbsp;



Ready to Explore Nearshoring?



We believe that, with this article, we&#8217;ve managed to build a strong case for the advantages of nearshoring and why it&#8217;s the best outsourcing strategy that will allow you to yield a considerable return for your investment.



Whether you&#8217;re looking to get into nearshoring now or in the future, keep in mind that selecting a reliable partner will define your endeavors&#8217; success. Make sure you do your due diligence and team up with an established company with a robust portfolio that showcases its capabilities.



If you want to find out more about outsourcing and outstaffing at a nearshore, contact us at&nbsp;hello@scale3c.com. We&#8217;ll be happy to talk with you about your projects and how we can help address your specific needs.

Explore Nearshoring: All You Need to Know. Learn great tips and tricks on the matter.

Nearshoring: All You Need to Know | Scale3C

Nearshoring is a trending growth strategy for a reason. Let's discuss the advantages of nearshoring and how it helps businesses reach their full potential. 

Nearshoring: All You Need to Know

Projects falling behind the schedule or failing? We discovered the number 1 reason why this happens and how to fix it!



We all been there, done that – planning a new project, got all excited about it but fast forward to the future – it never happened or happened but way later than initially expected.&nbsp;



Let’s dig deeper what are the main reasons behind it and what are the best solutions for brilliant ideas to be implemented on time.



<ol><li>Poor initial focus and wrong evaluation of the business needs</li></ol>



Project leader needs to have a clear vision of what he/she is going to do, as early as possible. That goes hand in hand with an understanding of the business’ needs – that is why projects are happening in the first place. It’s important to define what project success looks like at the very beginning and do not lose this focus until the end. If there is no clear focus at the earliest stage of the process, things will soon get out of control – and the project will be neglected or fall behind the schedule.



<ol start="2"><li>Not having the consensus on priorities</li></ol>



Once the vision is clear and the team starts working on the project it can easily get lost if there’s no clear definition of the priorities. Make sure to decompose the project into&nbsp;“must-haves,” “should-haves” and “could-haves”, this can become a solid framework for the iteration. Also make sure that all team members are on the same page and every single person understand “must-have” as a “must-have”, to avoid situations when some team members start working and prioritizing “should-haves” or “could-haves”.



<ol start="3"><li>The winner rarely takes it all</li></ol>



Too often, enthusiasm arises from the false belief that one solution will solve a given problem. However, proper solutions are rarely so straightforward and simple. Usually, they are a mixture of methodology, strategy, and teamwork, not the result of a single action, technology or idea. Project initiators/leaders should encourage open communication and leverage participatory group decision-making to solve challenges while implementing the project.



<ol start="4"><li>Hello, procrastination!</li></ol>



Sooner rather than later team members involved with the project can experience the temptation to procrastinate and postpone the tasks related to a given project. This might happen due to various reasons, but mainly because they get overwhelmed by competing priorities – because they are involved in multiple projects at the same time and can not dedicate their time properly. This usually leads to a lack of motivation or even burn-out which results in procrastination.



<ol start="5"><li>Weak leadership</li></ol>



Talking about motivation – guess what? There’s a direct correlation between good leadership and a motivated team and in the case of weak leadership…well the ship goes down rather fast. The efforts of any motivated team are 50% of project success. Let us reverse that – efforts of a team lacking motivation are 50% of projects fail. That is one scary number, ha?&nbsp; Remember there are people – not only project managers – who at each management level have a responsibility to ensure that the project is successful. The worst-case scenario comes alive when those involved in supervising dedicated project managers start to micromanage rather than when support. The project manager when gets lost in providing information for the higher management and surely, he or she has neither time to track the project’s direction nor the time for motivating the team.



<ol start="6"><li>Not enough attention to the budget and resources&nbsp;</li></ol>



Your budget can be completely off – this goes to the very beginning of what can go wrong list: not having a clear vision, clear priorities, and clear “must-haves”. Till you have not sorted out these things, you cannot set the relevant budget and allocate the necessary resources for the project. Any project will face failure when resources run out.&nbsp;



<ol start="7"><li>Forgetting the end customer</li></ol>



Every project starts with a great idea, but does this lead to the research of how the end customer will benefit from it? Most often not. So going on with the project only means discovering that the problem you were solving was not actually the problem your customer needed to be solved. Doing the hard work of deeply understanding your customers, what they need and what they’re willing to pay for sets the ceiling on project performance and can help refocus a team when things do not go as planned.



Do you notice a common variable in projects who fail patterns?



&nbsp;So we discussed 7 deadly sins that lead to failing projects and/or missing the project deadlines. Have you noticed anything they have in common? Take a moment to think about everything you’ve read above, and we bet you will come to the same conclusion. We call it to NUMBER 1 problem why projects fail.



Yes, you guessed it right – it all starts and ends with a team. Wrong team, weak project manager, unmotivated and burned-out professionals – many things can go wrong with the project when you dedicate its implementation to the wrong, not strong enough team or the team who is lacking resources.



If there’s a problem, there’s a solution!



The good thing we discovered the one problem that lies in every reason related to project failures. It’s so much easier to find a solution when you have a clear focus, we already talked about that. The solution that could save you from seeing your projects die, from losing investments and having burned out employees – staff augmentation. Or to put it in other words – digital-based employee outsourcing!



To prove this reasoning let’s take a look at which of the following is the primary reason why companies outsource?



Reasons might vary depending on the given company and the project, the bus usually digital-based employee outsourcing is used for:



<ol class="has-normal-font-size"><li>Reducing project costs. It is not always the best strategy to hire the professionals that you feel your team is missing. If the project is once in a lifetime or short term it will be too expensive to attract and keep the desired talent. Also, digital based employee outsourcing can help you save on overhead cost, as you will not have to invest on expensive infrastructure, technology, or software.</li></ol>



<ol start="2" class="has-normal-font-size"><li>Keeping focus on that matters the most. With non-core functions robbing time, money and effort, most companies are unable to concentrate on the core competencies, resulting in slow business growth. Outsourcing a part of your work can give you the flexibility to focus on the core aspects of your business. Since outsourcing increases the workflow, you can finish your projects and usually finish them faster.</li></ol>



<ol start="3" class="has-normal-font-size"><li>Accessing highly skilled professionals. This literally means staff augmentation based on the needs you have. For example, you might need to hire a remote developer, but are unable to find one. Or keeping him or her inside the house might be too expensive for you. Outsourcing can help you gain access to such skills and invest smartly.</li></ol>



<ol start="4" class="has-normal-font-size"><li>Managing the risks related to the project. The outsourcing of your non-core or even your core business functions to an external service provider helps in sharing the risks. Outsourcing is a good risk management strategy that you can apply for your company and really sky-rocket the possibility for your projects to be implemented on time.</li></ol>



<ol start="5" class="has-normal-font-size"><li>Compensate for insufficient internal resources. When you want to fill the position, you feel that is urgent for business development, do you take into consideration all resources and investments related to filling that position? Firstly, you need resources who find, hire and train new team members. There are also additional costs like software and all the necessary equipment needed for the employee to fulfill his tasks. Unlike internal staff, an outsourcing service provider can usually guarantee you with 24/7 services for 365 days a year, without vacations!</li></ol>



Conclusion: Outsourcing is the new black!



Outsourcing might be scary at first but based on the facts that you have just read it really seems to be a panacea for failing projects. Just think about it – one decision and you can augment your staff. You have a strong team, but it lacks a skilled project manager – outsource it! You feel that your project lacks market research and you do not have internal resources to carry it out – hire a market researcher on a short or long-term basis! A great idea has just been born in your head and you feel it can lead to your business development, but you are lacking internal resources or do not want them to burn out – hire the whole product development team!



Whatever doubts or questions you have related to digital-based employee outsourcing, we are here to help you.

Explore Which of the following is the primary reason why companies outsource?. Learn great tips and tricks on the matter.