2. Introduction
The Decision Process
The concept of outsourcing or co-sourcing (using outside
resources) has been a widely accepted practice across various
industries for the last several decades. What began as
temporary services, primarily supporting administrative duties,
has flourished into the world of technology (IT), human
resources, finance and loss prevention. Whether utilized to
provide additional support to an existing business function or
support the entire business function, outsourcing has proven
its success as a valid business model.
When a company chooses to do business with an outside
solution provider, the selection process is often based on two
determining factors; the logical decision to outsource and the
emotional decision to outsource. Both require different lines
of questioning and research to determine whether outsourcing
or the potential partner will be a good fit for your organization.
The logical decision is the often the easiest to consider. This
decision includes answering questions such as;
Does our business require the use of their services?
Will the solution improve our business process?
Does it make fiscal sense?
Will it help us achieve our goals?
The emotional decision is often the point of consideration that
takes more thought. This decision process needs to take into
consideration the personal aspects of both those within your
organization and the comfort level of the outsource solution
provider you may select to become your partner. Getting
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3. through the emotional decision includes answering questions
such as;
Are we comfortable allowing outsiders into our
business process?
Will they work for our best interests or their own?
Will they be reliable and deliver results?
The following whitepaper looks specifically at the emotional
decision or the emotional “buy-in” to loss prevention
outsourcing. We choose to use the word “buy-in” because let’s
face it, those who will need to work regularly with the
outsource partner will have to buy-in to the concept. A strong
partnership will only occur if everyone is onboard
and is working toward the overall success and
achievement of results. The word, buy-in brings
forth personal acceptance, which is the emotional
side of the decision process.
For the purpose of this document, let’s assume
that the decision to use outsourcing makes logical
sense. Whether you are interested in using an
outsource provider to manage your loss
prevention function or support your existing
function or department, you have concluded that
specific services will help you to achieve your goals
and the cost of the program fits into your planned
budget. You are logically ready to move forward.
You must now look at the factors involving the emotional buy-
in.
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4. The Factors of an Emotional
Buy-In to Outside Resources
Delivery | Reliability | Creditability
Part of the decision process of choosing an outsource provider
includes speaking with references. You speak to references to
learn more about how current clients interact with their
solution provider, how responsive the solution provider is to
the client and of course to learn the results of their program.
These references should provide you with a comfort level (to a
certain extent) on the provider’s Delivery, Reliability and
Credibility of their outsource solution.
Let’s take these three factors and dig deep into what
information helps those within an organization to become
comfortable with the decision to outsource.
Delivery
If an outsource solution provider cannot deliver on the
expectations of their program elements and expected results
then they will not be in business for long. On the surface it is a
pretty simple concept – deliver your services according to how
you present them in the sales process.
When one speaks with a provider’s reference, the questions
commonly pertain to how the provider set-ups, implements
and execute their services. One may also inquire about the
process of working with internal resources both at the
corporate and location levels as well as those in management
versus line staff. This line of questioning is important but it is
still based primarily on coming to a logical decision to move
forward, not the emotional decision to move forward.
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5. To support the emotional decision process, the line of
questioning around delivery should focus on areas that include
working within your company culture, understanding of
business process and their ability to work as part of your team.
Emotional Buy-In Tip
How well did they learn and understand your company
Look at an outsource culture and business processes?
or co-source solution
provider’s list of Did they come in like “know-it-alls” or did they listen
clients to better and learn your processes before implementing their
understand their solutions.
ability to integrate
into a company’s Does your outsource provider delivery their services as
culture. if they were part of your team?
Are there unique Do you see consider them as an extension of your team
cultures within their and not as outsiders? Do your store personnel feel the
client base? same way?
To move forward emotionally with an outsource provider, one
needs to be comfortable knowing that they will deliver a
program that is built around your business model, speak your
company language, support your corporate culture and most
importantly delivery a program as part of your team, not
perceived as outsiders to your team.
Reliability
When seeking out an outsource loss prevention provider,
reliability or dependability is a must. Chosen services will
include timetables, schedule coordination between multiple
persons and deliverables; all which depend on the solution
provider meeting deadlines and time commitments.
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6. Additionally, certain services will include working side by side
with location personnel, various levels of management, and
being both a resource and a knowledge base for your team.
One must know they will be there for your team, supporting
your team’s goals, objectives and needs.
One fact about working with an outsource provider is the
knowledge that you are not their only client. You are paying
for resources whose time will be split amongst other clients.
And although the frequency of certain services are often
spelled out in service level agreements, you need to know that
your outsource provider will be there when you need them to
be. Emotionally, that is what is important to you, and possibly
how you will truly measure their reliability.
The emotional “buy-in” to the reliability of an outsource
service provider is from asking questions to the provider and
their references about how they manage their clients,
determine priorities and support their clients with regards to
time management and resources.
Do they have a separation of duties, which allows for
more efficiency in support of their client needs, or do
they have personnel that wear “multiple hats” for
multiple clients?
How do they determine resource ratios when it comes
to supporting various clients?
Talk through the expectations of priorities and
determine the “reasonableness” of these expectations.
Ask references what were their initial concerns when
they were choosing to outsource. Did these concerns
come to fruition? If so, how was it handled by the
outsource provider?
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7. Taking into consideration the Law of Human Interaction, issues
will always occur. Regardless if you utilize internal resources or
an outsource provider, there will be times where something
happens; scheduling conflict, miscommunication, etc. Knowing
that inevitably issues will arise, you still need to have a comfort
level knowing that your chosen partner handles conflict and
issues efficiently and effectively. You want an outsource
provider that has shown;
Established thought and process in being available and
supportive to all of their clients.
A proven history of reliability and support to their
clients.
A genuine commitment to serving your company and
supporting all that is necessary in achieving your goals.
Creditability
The last factor of the emotional “buy-in” is the factor of
creditability. Through our years of experience in the outsource
business, we have learned that creditability is often the
deciding factor in choosing to outsource a business function.
Realizing that the definitions of reliable, dependable and
creditable are often interchangeable, when it comes to the
decision to utilize outsource providers, the term creditability
must include some terms within its definition.
When we speak of creditability, we include the terms honesty,
integrity and trusting in all that we do and what we represent.
That representation is to our clients, our business partners and
all to whom we service.
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8. For an outsource provider to be successful, they need to have
a strong, solid reputation in supporting its client base. Yes,
there may be individuals out in the industry that have a
negative view of outsourcing or an issue with a specific
company. Like a disgruntled shopper, their view may be
accurate or it may be inaccurate, but it is their personal view of
the situation. There is very little a company can do to change
the viewpoints of some individuals.
Creditability means having a track record of a positive
reputation. It means having clients, other solution providers
and industry contacts speaking the praise about what you do.
This praise shows that you in fact do what you say you are
going to do. It means doing right for the industry and the
clients we serve.
When it comes to deciding whether or not to choose
outsourcing certain aspects of your business, you need to be
comfortable knowing that an outsource provider will do right
by you. This means that you need to determine that they will;
Work in your best interest, supporting your goals and
initiatives.
Be a valuable resource to provide industry knowledge
and trends, using their collective knowledge to support
your company.
Be seen as an extension of you and your team. Not
seen or acting as an outside consultant, but part of
your team.
Build and maintain a trusting relationship, a true
partnership, where everyone is in it together.
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9. The Emotional Conclusion
Emotion | Logic
The decision to outsource parts of a business function is as
individual as those responsible for making the decision.
Outsourcing has come a long way over the past couple of
The BIG Question decades and with some business functions, like loss prevention
services, it can still be considered young. For some, they have
Do we want to
been utilizing these outsource solutions for more than a
use someone decade, for others they don’t know it even exists.
that is not part
of our team or When it comes to determining if outsourcing is logically right
not an employee for your company, it is pretty simple. You review the services
of our company? and they either fit or do not fit your needs. You look at the
financial numbers determine if the numbers fit your budget.
You then look at what you want to achieve and see if it
appears that the expected results will make your company
better. The logical choice is normally a black or white decision.
The big question, however, is an emotional one. For many the
question is - “Do we want to use someone that is not part of
our company?” Our answer to this question is not a direct
answer, but rather additional questions.
Aren’t the emotional factors of selecting the right “person” the
same when it comes to hiring a new employee as it is an
outsource provider?
Don’t the three factors of an emotional “buy-in” come into play
when hiring a new employee?
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10. If you were interviewing an internal candidate for a position
would you not want a candidate that;
Has shown that they have the knowledge and
experience (and background) to deliver results?
Appears to be reliable and with a good understanding
of time management, process development, handling
conflicts, working with various people and taking
action?
Represents themselves with strong confidence and
creditability and it shows in their past experiences and
references?
If the answers to these questions are positive during an
interview with a job applicant most would consider them a
good choice. Our point is that there should be very little
difference in the selection process of an outsourced resource.
So if you are in the process of determining whether or not to
outsource your loss prevention initiatives, you need to
determine both the logical and emotional sides of the selection
process. But contrary to what many may believe, the
emotional side should not be any different than that of
reviewing a job applicant. The only difference between the two
is found on the logical side of the decision process.
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