Local outsourcing has been around for a long time. In the last few years, it has come to provide a competitive advantage for many companies. Why? Because we have become better at managing resources and understanding how best to implement them.

Balancing resources

Outsourcing doesn’t work for every situation. There’s a balance of core intellectual property that needs to be weighed against services that can be easily and efficiently outsourced without jeopardizing the secret sauce. Today, that balance is easier to identify and outsourcers have learned how to utilize a company’s best practices and how to integrate into development processes with the right portfolio mix. Today, many service providers have fine tuned their offerint to provide a more packaged approach for a more comprehensive solution.

Fine tuning with results

The overall result of this fine tuning and customer involvement is evident by the number of companies now partnering with Configuration Management (CM) companies for initial product development and NPI. We at Core Source Solutions believe this is driven by a need to more closely manage development, to have quicker and leaner problem resolution, and to communicate specifications and intent more effectively.

An efficiency measure

So, why should companies outsource certain services? Should they significantly increase their risk and go abroad for both engineering and production needs? Should they stay local? Local outsourcing can solve multiple problems for businesses—not just cost savings—it is also an efficiency measure. The business of outsourcing has changed dramatically in the last few years and we as engineers, program managers, contract manufacturers, and investors have learned how to use local resources more effectively and with a very high degree of quality.