subject: The Age of Product Development Outsourcing [print this page] The Age of Product Development Outsourcing
Outsourcing, since it conception, has already evolved beyond what the pioneer strategist could ever imagine. Aside form having to outsource your customer service; you can also opt to outsource your marketing, accounting and even your production. Outsourcing is no longer for functions that are repetitive and non-strategic. It has become the edge of businesses worldwide.
Businesses are pushed on every side by the fluctuating economy, stiff competition, decrease in market shares and a new business market paradigm. If companies do not venture outside the box, they will soon face decrease in customers, high turnover and lost of profit. One method that lets a lot of businesses stay on top of the competition is product outsourcing.
Competition is intense nowadays no matter what product or service you are trying to sell. The stiff competition led to new challenges for the business minded individuals. Such challenges include technological obsolescence, shorter life cycles of products and rapid advancement in design and engineering concepts and complexity.
A company just cannot be an expert in every field. If they know how to handle marketing or if they are able to focus on conceptualization alone, then outsourcing other functions is necessary for the business to survive. Outsourced product development has been the answer for some business. It could also be the solution for your problem.
Outsource product development has a number of benefits, foremost of which is its cost-effectiveness. It would save the company time and resources to have production outsourced than to have it in-house. It will also enable the management to focus more on the core businesses. Access to advanced technology and highly skilled employees are possible in less the cost with the use of outsourcing firms. Globalization led to the possibility of acquiring technology and expertise even outside your own country by means of outsourcing.
Outsource product development is no longer for functions that are categorized as non-innovative, repetitive and non-strategic. A lot of business functions can now be outsourced. Now, businesses have the ability to create better product quality, in less the time and expense with the option of outsourcing their production.
