Whether it’s your first attempt or you’re a seasoned business veteran, launching a new product can be overwhelming for any entrepreneur. Bringing an idea to life is an exciting and scary adventure, especially for entrepreneurs that are trying to do it all themselves. Smart business owners recognize that the need to delegate tasks is often key to meeting business goals.
For most businesses, labor takes up the bulk of financial resources. It also eats away at another valuable resource: time. Finding the right employees to hire can be difficult and it takes a significant amount of time to properly train and manage staff. That challenge becomes increasingly costly if production needs greatly vary.
When product demand can change in an instant, flexibility in staffing is a must. The roller coaster of hiring, training and firing each time your production needs change is an inefficient way to try to keep up with product sales.
Time to Outsource Your Labor Force?
A viable solution to the staffing challenge is to outsource production to a contract manufacturer who can provide you with scalable solutions, such as flexibility in staffing. Consider the following benefits of opting to outsource:
1. Save on cost and lessen liability.
Hiring in-house staff means paying plenty of overhead costs. Outsourcing can save you from having to pay added expenses such as state and federal payroll taxes, benefits and insurance. Additionally, you avoid liability for workers compensation, unemployment claims and various other responsibilities for which a contract manufacturing partner takes ownership.
2. Put your time to better use.
Recruiting, interviewing, hiring and training employees take quite a bit of time. If your production needs vary, you may find yourself having to go through the hire-train-fire cycle each time your production needs ramp up and subsequently slow back down. A contract manufacturer easily accommodates staffing needs thereby allowing you to put your energy into the core competencies at which you excel and make your business successful.
3. Take advantage of existing expertise.
Today’s technology is improving by the minute, making manufacturing increasingly advanced. Rather than taking on the difficult task of recruiting individuals with the right skills or training those that lack such skills, take advantage of the team of experts readily available through a contract manufacturer. Your manufacturing partner’s trained staff have specialized skills to quickly meet your precise needs.
4. Increase responsiveness.
Company success depends upon how quickly you can respond to customers’ changing demands – including variations in quantity, shifts in consumer needs and desires, and coming up with the next big idea before the competition. Flexibility and responsiveness are keys to having a competitive edge and continuing company growth and success.
Outsourcing is no longer just an option for larger companies; it can help entrepreneurs and smaller businesses overcome labor and production challenges. The flexible workforce provided by a contract manufacturer can make your company more efficient, effective and ultimately a smarter business.
At Crossroads, we provide a wide range of solutions all along the manufacturing and supply chain continuum that help entrepreneurs save valuable resources that can be better invested in a company’s core competencies. To find out more about our flexibility in staffing, scalable production or turnkey services, visit www.crossroadsindustrialservices.org.
