We understand that training is essential for the successful future of a company, and that therefore outsourcing training is a major decision. To help, we’ve made a simple list of 4 key points to consider. This guide will help make sure your outsourcing works well!
Tangible Goals
As with any major decision, it is important to be clear why you are making the change, and what you want to achieve from doing it. Without this there is no certain way of knowing if the decision has proved to be correct. Do you want to decrease costs? Then decide what percentage you want to save, and measure the results. Are you trying to increase the quality of training? Then decide on the key metrics, and the results that you want to achieve.
Two mistakes often made in setting goals are poor measurement and poor communication. The results need to be measurable (the “M” in the well known SMART goals acronym). They need to be measured regularly, not just at the end of the project, so that changes can be made if figures aren’t matching up or alterations made if they are over performing. It’s essential the targets are communicated with the outsourcing company. All parties should know what is expected of the arrangement before it begins so that everyone is working in the same direction, and there can be no disagreement about what was expected. Ideally, the targets form part of the agreement between you and the company.
Thorough Research
Outsourcing your training is an important decision and should not be made hastily. It is crucial to conduct thorough research in the training market before choosing a partner. Markets are more transparent now, with customer feedback and comparison websites readily accessible. Ensure you gather and examine a wealth of information about any potential providers. Key performance indicators to consider include pass rates, satisfaction levels, client testimonials, and the experience of trainers.
Many people adopt a long list/short list method. The long list includes all suppliers that meet the basic requirements, and from this, a short list of the top potential suppliers is selected. The companies on the short list are then thoroughly examined in detail.
This research will not only help you find the best match for your organisation but can also enable you to negotiate lower prices. Being well-informed about the market and alternative options gives you greater leverage in discussions with suppliers, increasing your chances of securing a better deal. However, it’s important to remember that successful negotiation means both sides should feel satisfied with the outcome; you shouldn’t pressure the supplier into accepting an unreasonable price.
Supplier Suitability
How well does the concept of outsourcing your training align with your company’s strategy? Many businesses choose to outsource significant portions of their operations, recognising the benefits of focusing on core competencies and leveraging the expertise of other organisations to achieve competitive advantages. On the other hand, some firms prefer to maintain substantial control over their processes to ensure quality—this is entirely reasonable under certain circumstances. So, is your company prepared to engage in this type of partnership? If so, to what extent would your company wish to retain oversight and control, and how much are you willing to delegate?
Regarding the suppliers themselves, how well do they match your needs? Establishing a solid working relationship is vital in partnerships like this, as you depend heavily on them for aspects you are directly accountable for. Do you feel confident in the trustworthiness of the individuals you are collaborating with? Does the operational style of the organisation align with your company’s culture and practices? DO they adopt a laissez-faire approach, or are they meticulous in all their processes? It’s crucial to consider these factors near the beginning of the outsourcing process, as they can lead to significant challenges if not addressed upfront.
Choosing The Scale
You need to determine the extent of training outsourcing for your business. Perhaps you only wish to outsource the search and administration of training bookings on a small scale. Alternatively, you might want a more extensive partnership, where the training provider deeply integrates with your company, conducts Training Needs Analysis, and helps pinpoint your specific training requirements. The best approach varies; it depends on your company’s unique needs and circumstances.
The level of preparation will vary based on your outsourcing decision. For basic training sourcing and administration a simple process may suffice, where staff relay their needs to managers, who then coordinate with the outsourced provider. A more integrated approach will demand greater access to information and more detailed meetings with the supplier. Consider what scale fits your company best. Unlike other factors, you can adjust the extent of outsourcing based on early outcomes.
Increasing Quality, Saving Money
Successful training outsourcing can save money at the same time as increasing the quality of the training. Careful consideration of these 4 key points will greatly increase the probability of your outsourcing project being successful. Once again, planning and preparation produce success.
