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6 Figure Outsourcing

(Reading time: 3 – 4 minutes)

I was hanging out with my friend Mumtaz the other day, admiring the view from her flat on Cathedral Hill. It’s crazy, in the middle of San Francisco, she never has to heat the place, because she has a full-length picture window facing due south.

This means in the winter, the sun low in the sky shines into her apartment (warm). In the summer, the sun high in the sky keeps her apartment well-shaded (cool).

Amazing!

Check out the view. To the left is Grace Cathedral; behind the cathedral is the Mission District; Liberty Hill/Dolores Heights in the middle, and to the right is Twin Peaks. I love San Francisco!

Grace Cathedral, San Francisco

Anyway, I was showing Mumtaz what I’ve been up to lately (Website In A Weekend), and discussing how I’ve breaking down my work load. It turns out we have the same sorts of problems: getting things done right means doing many of those things ourselves.

Which is particularly irksome for me, with respect to graphics.

I loathe doing graphics work.

It turns out I do have a graphics genius more-or-less on call, but he lives on Gran Canaria. I subcontracted Roberto Koci for about a year on some really advanced texturing for a simulator I had been contracted to build. We did some spectacular work (which is completely proprietary, sad to say).

But Gran Canaria and Roberto are 8 hours away, and besides, he has better things to do than spend an hour discussing what I want done, when it’s a 5 minute job for him (once he gets it).

So, as Mumtaz says, “Dude, just figure it out and get it done. You’ll waste hours of time trying to find someone else to do it for you.”

Mumtaz is right. And I know this from experience too. Building productive working relationships takes a lot of time. And there are things I do on a regular basis that I need to just get “knocked out.”

I should add, right here, that Mumtaz is the CEO of TransWeave, Inc., a business processing outsourcing company built on SAP technology. She knows a bit about outsourcing. She outsourced the entire toolchain herself.

Come to think of it, I know a bit about outsourcing too. Being downright crass about it: Line 11 on my 2008 1040 Schedule C (US tax form) reads $91,507.31. I don’t have a “grand total,” but over the years I’m sure I have outsourced more than 6 figures worth of work.

Here’s the deal: sometimes it makes sense to outsource, sometimes it makes sense to suck it up and learn the skills yourself.

What’s your experience? What are you outsourcing? Anything? Everything? Do you have a method for determining what gets outsourced and what you do (or learn to do) yourself?

I’m seriously interested in what you’re doing here.


I might be willing to write up more of what I know… put some of that 6 figure outsourcing experience to work, for you. Tell me what you want to know.

Comments

  1. If paying $20 for membership of an awesome pro theme thing for WP counts as out-sourcing, then I outsource the basic design of my site. In fact, thanks to the amazing generosity of Amanda, I’ve outsourced the design of Give A Brick too. It’s important for the goods to be displayed pretty isn’t it?

    But I’ve also dug in an forced myself to learn how to hack about with the code a little too. And it’s been very satisfying :)

    The thing I’d most like to outsource is cleaning my house. Maybe one day ;)
    Eleanor Edwards´s last post ..On changing roller-coasters & silencing the critic with the baseball bat!

  2. I outsource the article marketing once back then. It is surely save my time a lot since no need to write the article and to search the article submission site also do not need to do submitting. There are many work avoid in one time outsourcing indeed.
    Dana @ Blogging Tips Blog´s last post ..Blogging Learning From The Current FIFA World Cup

  3. Outsourcing? At this point I’m such a poor church mouse that outsourcing anything is pretty much a pipe-dream.

    But I have always been a little obsessive about giving a responsibility over to someone else anyway. The need to have it done “just so” takes over. Then I fear I will be terribly disappointed in the outcome and end up doing it all over myself.

    Ultimately it’s been easier and less stressful to do it all myself. Though I am learning to let it go somewhat. I try not to hover when someone else offers to do the dishes or fold the clothes.

    LOL, I sound like I’m completely obsessive compulsive, maybe I am, but I’m also a procrastinator. They kind of cancel each other out and I end up being an obsessive compulsive who borders on being a slob!

    I’m so confused, I should call my therapist. Well maybe later…

    • Dave Doolin says:

      There’s a real art to it, the letting go. In the best case, with someone you trust, you can just say, “Do it right” and it gets done right.

      That’s what I did with Amanda Farough for the current theme here, just let her do her thing without worrying overmuch about the end result. I knew she would come up with something striking and effective.

      For other things, I’m really picky. All depends.
      Dave Doolin´s last post ..Get Those Visuals Handled – Blog Better with a Virtual Assistant: Tip #2

  4. This is what I do for a living! I went from jewelry designer to jewelry outsource. I provide expert jewelry assembly services, helping designers to get their retail and wholesale orders out by handcrafting, hand making everything here in the USA.

    Often the tricky part for me is trying to make the client feel safe and secure in letting all their precious metals, gem stones and one of a kind designs leave the safety of their studios and let me help them expand and grow their businesses. Once they let go and realize that there is help for them out there, we are the relief they so need. We guarantee our work, we help relieve the stress of filling orders they can no longer keep up with. It’s okay to let go, but start with little steps to help you get comfortable with the idea.

    I work out of a studio in Hudson Valley, NY and employ local part timers in my community that all have flexible schedules. I’m so pleased I found a niche, I’m able to employ stay at home moms, and most of all to be able to help businesses grow here in the USA without going overseas for production and assembly.

    When and if you decide to outsource, ask a million questions, work with your outsource step by step. Start with a small order to develop a relationship, get their vibe, know where they are coming from. Tell them exactly what you want and what you expect. You are hiring them and their services. You are the voice and you want your vision to be realized. If you can, go to their studio (or factory, or warehouse) and get the feel of the place. How involved are the leaders, the bosses? How do they take care of the materials they are responsible for? How organized are they?

    I’ve developed relationships with the designers I work with. I’m at the point now where I can offer the help, techniques that will better their product and input if they hit a road block. I share my wealth of information and love to help these up and coming designers fulfill their goals and become stars in their own right! I just help shoot them into the sky….

  5. It’s because I want it ‘just so’ that I have to hand over the design control to someone else. I understand what you’re saying but I want my stuff to be brilliant and part of that means having the behind the scenes stuff looking and working brilliantly. That requires the help of someone more brilliant than me ;)
    Eleanor Edwards´s last post ..Wanted: Experts. Could you write a monthly column for Give A Brick?

  6. Carlos Velez says:

    Julie and I are trying to implement outsourcing in our brand spanking new photography business. We really can’t “afford” to outsource as we are operating on a shoestring budget…a frayed shoestring at that…but ultimately, I figure we can’t afford not to. I figure if we don’t establish the habit now, it will only get more difficult.

    So far we’ve outsourced a few of the graphics we need to design the site, and yesterday we discussed giving a pendant to our clients as a follow up “thank you” gift. We have a few friends that have a crafting group called “The Craftivists” (they’re crafty, they’re empowered female rights activists, and they’ve clever as hell) and we’re going to see about outsourcing that to them, even though Julie was really tempted to do it herself. I told her it would add some undue pressure to the whole experience per client…she already has enough work to do with backing up, editing, posting galleries, writing blog posts, posting on facebook, blah blah blah. Outsourcing it means we can have it can be done while Julie’s editing, or even sooner.

    We can’t afford it, but we’re setting aside a set amount of money from each session to put towards outsourcing. It’s a good habit to start.

    • Dave Doolin says:

      Sounds like a smart plan.

      Once you get going you can split your outsourcing expenses into expenses you can recoup as part of your products and services, and expenses you cannot recoup, such as asset building and maintenance.

      I keep these as different line items on my account, because they get reported differently on Schedule C.

      Your real money comes when you can outsource production. Which is also the work you need to make sure you can do yourself in a bind.
      Dave Doolin´s last post ..WordPress Case Study: Gran Canaria Travel Guide

  7. John Soares says:

    Dave, right now the only thing I outsource is web design and graphics. I do know how to set up a WordPress blog, but I don’t know how to put in a header and design a background.

    And I got an F in art in high school. The fact that I spent every class period flirting with girls was only partly to blame, so I have a local person in Mount Shasta take care of anything artistic.
    John Soares´s last post ..Resolved: Coffee Increases Productivity…

  8. Ralph says:

    Brilliant and multi-talented as I am, it is so easy to get hung up on details when you do everything. There is some stuff I just don’t like and others I just can’t take the time to learn and perfect. I am ready to engage a VA for SEO. Little by little I am drawing my graphic designer wife into my blog design but SEO and building traffic is my first priority for now. And I know that I need to learn how to write.
    Ralph´s last post ..Acetaminophen – Is the Government trying to kill us?

  9. Jean Sarauer says:

    My outsourcing budget is quite teeny at the moment, but I stretch that baby’s seams.

    First I consider if the task really needs to get done at all, as I trend towards minimalism in life and work.

    Then, if it’s a ‘green-lighter,’ I consider if there’s a real value in learning/doing whatever the thing may be.

    I’ve already proven I can get good marks doing things I don’t enjoy (math), but that doesn’t mean it’s smart for me to pursue those things.
    Jean Sarauer´s last post ..7 Signs That Granny Hijacked Your Blog

  10. Anne Moss says:

    Outsourcing can be very tricky. In some areas, like content production, I have people I know and trust and can hand over the work to them. In others, like design, I just go with ready-made solutions, or do basic stuff myself. Been burnt twice before outsourcing for unique designs – probably because I went with cheap providers.
    Anne Moss´s last post ..Blog Comment Links – Where Do You Link To?

  11. Gabriel Novo says:

    If I can do it myself and be happy with the results, then I at least make the attempt. When I reach my limits I step back and re-assess the situation. It usually boils down to if I’m willing to deal with the consequences of a less than perfect execution.

    Yes, I could design my own business cards, but do I want to take the chance of making a poor first impression with a substandard card? Just because you’re a one man company doesn’t mean you have to look the part. Same went for my WordPress theme and header graphics.

    Kristine Rusch, a one woman book writing machine, created a fantastic resource called the Freelancer’s Survival Guide. Geared toward writers, but valid for all self employed folks, she dives into serious detail on ALL aspects of being your own business. You’d dig her post on employees or as she calls it “People You Hire To Do Stuff For You” http://kriswrites.com/2009/07/30/freelancers-survival-guide-employees-part-one/
    Gabriel Novo´s last post ..WordPress Plugins Spotlight: Comments

    • Dave Doolin says:

      I am total fan of Kristine Kathryn Rusch! And I’ve only read “Recovery Man!”

      Thanks for the link. I’ve read that article before, but it definitely bears wide promotion. Kristine also has a lengthy article in a free ebook I have floating around one of my computers. If I find it, I’ll send you it to you.

  12. Todd Sileo says:

    Hi Dave,

    I’m with the trailmeme team and am interested in learning more about your ideas.

    • Dave Doolin says:

      First things first:
      1. Envy. Total envy. I wish I had corporate backing to pursue some of my ideas.

      2. Haven’t looked at the source code yet, on my list of things to do Real Soon Now.

      3. I suspect I’ll be incorporating a writeup into Blog Post Engineering ebook under section 12. I suspect it’s exactly what I’m looking for section 12.

      The longer story is that building “trails” through my material is something I’m already doing with a combination of WordPress tags and a little bit of WordPress custom fields hocus pocus loaded in from a custom plugin. Which isn’t a bad way to go. I’ll probably continue that work.

      Displaying separate, overlapping and independent story lines is _extremely_ cool. I hadn’t actually planned on tipping my hand quite yet about what story lines I have running, but maybe it’s time. I don’t have to show them all anyway. There’s a lot of moving parts on this website… more than meets the eye.

      Thanks for contacting me, I really appreciate it.
      Dave Doolin´s last post ..Blogging Hamster Wheel… tired of it? Then get off it

Trackbacks

  1. [...] get me wrong: I’m a huge fan of outsourcing. I’ve outsourced 6 figures worth of work in the past (and hope to in the future). But as Darren notes, until you can [...]