5 Tasks To Never Outsource

Outsourcing may be useful for many reasons, saving money being one of the most obvious. However, certain jobs a business should always complete in-house. These are five of the top such tasks.

1. Social networking activity

Businesses should never outsource their social networking activity, no matter how small or easy the tasks may be. The reason for this is that businesses should always be aware of what type of public interaction their company is participating in. This interaction includes who is following them on social networks, who the business is following and what posts are being written under the business’s brand.

2. Taxes

When tax season rolls around, a company should hire their own tax professionals rather than outsourcing the job. It seems that every single year tax laws change, so a business should be up to date on the relevant laws and file taxes themselves. Outsourcing to a company that does not know the current laws can spell huge legal and financial trouble for the business.

3. Employee Training

Businesses know their employees and their vision for the future better than anyone. Therefore, training employees and employee development are jobs that should be handled in-house. If a company outsources this task, they could find themselves staffed employees or with employees who do not understand the company’s goals and vision.

4. Goal and succession planning

Goal development and succession planning are tasks that should only be handled by people who hold leadership within the company. Only people who work within the company can say who deserves a promotion or a raise, and only people within the company can decide what the company’s goals should be. If these tasks are outsourced, many different things can go wrong and lead the company in the wrong direction. Third parties simply do not possess the same level of inside understanding, nor the same level of passion for the business’s future, as those inside the company.

5. Payroll

It is true that some companies outsource payroll responsibilities, but this can be a major risk. For one thing, payroll processing involves handling a great deal of very sensitive personal information; the only way a company can truly ensure that it is protected is to process it in-house. Additionally, if an outsourced payroll ends up being messed up, this can end up costing a company a great deal of both money and stress – not to mention the damage to employee morale and faith in the company. Payroll mistakes could actually lead to very serious legal consequences. This is certainly not an area to leave in the hands of a third party.

Outsourcing or hiring third-party companies and freelancers can be a great way for a company save money and improve efficiency. Especially if a company has begun to experience the benefits of this type of outsourcing, the temptation can be strong to outsource everything under the sun. Tasks like those discussed above, however, should never be outsourced. The potential savings in these situations are simply not worth the risk in terms of money, time and intangibles.

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Jordan Rodgers is a freelance writer that has worked extensively as a business management consultant. His articles appear on various business blogs.