Over 50% of all companies worldwide hire third-party teams to connect with customers. It is also expected that the global IT outsourcing market will grow by $98 million from 2020 to 2024. However, outsourced solutions have their own advantages and disadvantages for companies across all industries. Just like the classic, in-house production has its benefits and downsides.
Your choice between the two depends on a wide range of factors. In this article, we decided to unpack the fundamental principles of each method and help you choose the one that fits you best.
Which camp are you in?
Classic production or in-house production is an activity that is conducted within the same business. You are able to perform the task using the time and effort of your own employees and any other assets that the company already has.
In-House Production – Advantages
Basically, the whole team works ‘under one roof’ and it is easier for the members to maintain strong communication, especially when a project involves several stages. For example, if you have a question, you can always ask your colleague and receive an answer straight away.
This makes the whole process of communication not only faster but also more effective. Of course, this point has become less valuable in 2020 and WFH. Still, the in-house team members know each other’s work schedules and are familiar with the project’s fundamentals which saves valuable time for work.
It’s easier to control the quality of the product
With an in-house production team, it is easier to keep an eye on the quality of the product. The tasks conducted by every member of the team can be assessed and calibrated on-spot. Moreover, it is more convenient to ensure that everyone is meeting the deadlines and that the planned workflow is running smoothly.
In-house hires are less of a flight risk
Ideally, a person would like to find a job that he or she enjoys and devote quite a few years (or even decades) to this company. According to the Harvard Business Review, employees like the feeling of stability at work, and the fact that they have health insurance, paid vacation days, and other perks helps as well. Some employees are ready to work towards promotion and more benefits. That’s why the chances of someone suddenly leaving the team are relatively small.