For the most part, we have talked about how businesses can benefit from outsourcing. But as it turns out, nonprofit organizations may also want to take a closer look at that option. Here is how your organization can get a strong start using it for your goals.
The Benefits Of Outsourcing For Nonprofits
As it would not be about increasing profits, your organization’s take on outsourcing will be vastly different. This difference also applies to the benefits that you would want to get from it. Here are some of the most crucial ones to weigh on.
Reduced Operational Costs
Running a nonprofit can often be a lot harder financially than running a business. After all, you are not expecting any monetary returns from the effort. As such, you would want to reduce operational costs to keep the organization viable.
Outsourcing provides that benefit by lessening the need for your staff to handle some tasks. You also reduce the need to procure resources such as equipment and office space. The outsourcing provider is the one that will shoulder this for you. You can then focus whatever resources you have on the organization’s core work.
Accessing Top Talent
Attracting good talent is already hard enough for businesses, but it gets even more challenging for nonprofits. After all, you need someone fit not just for the job. They also need to fit the organization’s culture and mission. Then, there is the matter of affordability.
With outsourcing, it becomes easier to reach out to these talents. Many firms can handle specialized functions like bookkeeping and accounting. And they employ expert personnel that you might have a hard time hiring directly. That access can provide your team with a significant boost in its performance.
Better Strategic Planning
To achieve their mission, nonprofits also need to invest in strategic planning. But that also comes at a significant cost when you directly hire a consultant. With outsourced consultancy, you can readily get insights from an outside observer, which will help you better build your organizational strategy.
Image from National Council of Nonprofits.Outsourcing also does wonders for when you decide to scale up the organization’s operations. You don’t just get quick access to the additional resources you need. That strategic expertise also ensures that the scaling goes the right way, leading to success.
Getting A Strong Start With Your Organization’s Outsourcing needs
Much like outsourcing for businesses, your nonprofit organization must plan out your outsourcing efforts. To get a strong start here, you need to have a clear idea of what you want to outsource. For that, you should consider how outsourcing will impact the organization’s ability to do its core work.
Determining What To Outsource
Going with the above guiding statement, your choice of tasks to outsource will rest on how these tasks affect the work. Some of the common tasks that organizations can send out include.
- Accounting and bookkeeping
- Payroll
- Risk management
- Human resources management
- Marketing
- Information technology management
Note that most of these tasks are primarily support tasks. This is so that you can focus on the organization’s core work. With capable third-party firms handling these tasks, you don’t have to worry about possible disruptions.
To further identify what to outsource, talk to the organization’s stakeholders. These include the board of directors and outside supporters. They will help you identify key areas that you might be lacking in, which you can outsource.
Getting The Right Provider For You
In some ways, you need to be more meticulous when searching for an outsourcing firm to help your organization. This is because there is a lot more riding on your success here, with the people depending on your organization.
The first thing that you would want to make sure of is that your candidate providers know about nonprofits. As we have said, operating nonprofits is vastly different from a business. They have their standards and practices. To have a good idea of that, check their portfolio and see how many nonprofits they have worked with.
Another thing that you need to take into consideration is whether they use subcontractors. These subcontractors can make it harder for you to get the kind of accountability you might want from a would-be partner. A good firm would declare whether they do use subcontractors.
Assessing The Provider’s Capabilities
Once you have a shortlist of provider candidates, start assessing their capabilities further. Here, you would want to dig deeper into the value that each candidate can give your organization. Go beyond how they will meet the initial needs you have specified in the job order. Explore what other areas they can help you with.
With Virtua Solutions Solutions, we understand that such organizations have extraordinary needs. As such, we have dedicated ourselves to providing flexible services. We will work closely with you in identifying possible avenues where we can lend a hand.
Another area that you would want to look into is a provider’s responsiveness. You want a firm that will stay in touch with you especially during major organization events. In our case, we dedicate several agents to a single client. This ensures that we can respond to your immediate concerns.
Working With Your Outsourcing Provider
Once you have chosen your outsourcing partner, you need to discuss your organization’s practices with them. They will need to have a clear idea of how your team does its things. You would also want to explain further how these practices help the organization fulfill its duties. This will help them have a greater appreciation of your work.
From there, take time planning your workflow with the outsourcing firm. Explore ways to make everything more efficient and streamlined. Make sure that communication between you and the outsourced team is constant so they can provide feedback on their work.
Give Your Nonprofit A Strong Start With Our Help
Virtua Solutions Outsourcing believes in the work that nonprofit organizations like yours do. As such, we are always ready to help you get a strong start in your mission. Contact us today and we will provide you with a great team.