Why Outsourcing is a Must for Manufacturers and Makers
Getting a business off the ground is never going to be easy, but these days there are processes in place which can help things run a lot more smoothly.
Gone are the days of old-fashioned, manual bookkeeping, for example- now computer software can do all of that for you. No longer do staff have to spend hours doing tedious tasks which take all day; thanks to the internet and the business programs available, these jobs can be done in minutes.
But this isn’t the only way you can make life easier for yourself as a business owner. By outsourcing things like HR, accounting, and health & safety to companies or individuals who specialise in exactly this, you can free up your time to focus on the areas you want to work on.
When it comes to making goods, there are a number of practical issues to consider – issues that can mean manufacturing on-site is tricky. So why outsource?
Running your own manufacturing plant is a massive task. Getting the product itself right is the first step; you then need to decide how it’s going to be packaged. In bespoke pouches? Boxes? In plastic? Once you’ve fine tuned your product, you need someone to make and package it. This can require a lot of specialist equipment and machinery which can be extremely expensive. Plus, you will need to find the right staff to run things. You will need easy access for large deliveries, and space for forklifts to move around – and such a space can be very costly. If you outsource instead, it means you avoid having to sort all of these things and can hire a company which already has everything you need in place.
If you want to manufacture in-house, you need a lot of space. Bigger premises will always mean higher rent cost. You will also need to invest in machinery and equipment, and when it comes to manufacturing products, this can cost thousands – sometimes millions. On top of this, you then have to pay for the maintenance of the machines. It’s true that once everything is up and running you can go on to manufacture products cheaper than paying another company. But if you don’t have this kind of money up front for everything you need, outsourcing is the answer.
Health and Safety
Every business comes with health and safety concerns. Even in an office, people can slip or trip, fall down stairs, or cut themselves with scissors. But health and safety is particularly important in manufacturing. This is because machinery, power tools, vehicles like forklifts, and other potentially dangerous equipment is being used on a daily basis. A lawsuit from an injured employee due to something not being handled correctly could be extremely bad news for your business. If you outsource to a company who deals exclusively with manufacturing, this means they will be up-to-date on the law and can ensure things are handled correctly. This takes pressure off you and means you can you to get on with running the other areas of your business.