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Outsourcing 101

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Naysawn Naderi

Presentation on getting started with outsourcing. More tips at http://naysawn.com/9-tips-for-growing-your-startup-with-freelancers/

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Outsourcing 101 Naysawn Naderi Naysawn.com
Overview About You Pros and Cons To outsource vs. what not to outsource Locating Help Hiring and Interviewing Management Tips Typical Costs Some Practical Tips Q+A
You What are you hoping to do/learn?
About Me Founded ArtSumo.com 2011 Single founder Hired freelancers for design, front-end development, shipment, etc 4 Years at Microsoft Team split between India + USA Made a lot of mistakes along the way
Definition Outsourcing is the contracting out of an internal business process to a third party organization. The definition of outsourcing includes both foreign and domestic contracting - Wikipedia
Why I do it? Puts a $$ on your own time Frees up time Work gets done while I sleep Access to skills which I lack
Pros + Cons vs doing tasks yourself Pros Cons
Pros + Cons vs doing tasks yourself Pros Cons Time Time Dedicated resources To Ramp up To Interview Money To Actively Manage Requires trust Requires Crystal Clear Communication Places undue importance on trivial tasks Money
To Outsource To Outsource: Clearly defined Well Understood Clear expectations for a job well done (Ideally) Repeatable Examples: Editing a blog posts before they goes live Posting to social media updates from a pre-defined set of blogs Commenting on blogs that match Google News Alert of Adobe Photoshop Converting PSD to HTML
To Outsource/Not Outsource Not Outsource Tasks which are constantly changing Ambiguous expectations No clear expectations for what done looks like Examples: Research topic X Back-end development work
Locating Help 1. Friends/Recommendations: best quality 2. oDesk: cheap programmers + virtual assistants 3. Mechanical Turk: market research 4. Craigslist: everything else
Hiring and Interviewing 1. Submit request for freelancers Write the proposal in terms of whats in it for them (around an eager want) 2. Receive and review applications Flag people who seem to have a good background Ignore generic applications People who have too much experience 3. Do tests + interviews Interviewing takes time, use sparingly Tests are usually a better judge of quality Eg. Edit the attached blog post, send me your edits within a day 4. Hire + keep other promising candidates on file
Managing Tips 1. Freelancers are like all other employees Set them up for success Give clear expectations + guidelines Understand their interests 2. Require regular communication Eg. Daily email stating tasks from yesterday + task for today 3. Dont overburden yourself with management Remember the goal is freeing up time 4. Be good to your people but fire fast
Typical Costs Philippines: $5/hr is a good salary Eastern Europe: $10-15/hr is a good salary Pay per post: USA + Canada: $20 for a 500 word blog post To some extent, you get what you pay for
Some Practical Tips Pay close attention to location Language spoken? Work Ethic of Culture? Strength of culture Avoid development shops Pay hourly but ballpark Use tools to track time
Project Get your first request for an outsourcer online If using odesk -> please use my affiliate link, we can will split the $50 commission Affiliate link: http://www.naysawn.com/odesk Remember: In addition to money, describe your project with the outsourcer in mind

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Outsourcing 101

  • 1. Outsourcing 101 Naysawn Naderi Naysawn.com
  • 2. Overview About You Pros and Cons To outsource vs. what not to outsource Locating Help Hiring and Interviewing Management Tips Typical Costs Some Practical Tips Q+A
  • 3. You What are you hoping to do/learn?
  • 4. About Me Founded ArtSumo.com 2011 Single founder Hired freelancers for design, front-end development, shipment, etc 4 Years at Microsoft Team split between India + USA Made a lot of mistakes along the way
  • 5. Definition Outsourcing is the contracting out of an internal business process to a third party organization. The definition of outsourcing includes both foreign and domestic contracting - Wikipedia
  • 6. Why I do it? Puts a $$ on your own time Frees up time Work gets done while I sleep Access to skills which I lack
  • 7. Pros + Cons vs doing tasks yourself Pros Cons
  • 8. Pros + Cons vs doing tasks yourself Pros Cons Time Time Dedicated resources To Ramp up To Interview Money To Actively Manage Requires trust Requires Crystal Clear Communication Places undue importance on trivial tasks Money
  • 9. To Outsource To Outsource: Clearly defined Well Understood Clear expectations for a job well done (Ideally) Repeatable Examples: Editing a blog posts before they goes live Posting to social media updates from a pre-defined set of blogs Commenting on blogs that match Google News Alert of Adobe Photoshop Converting PSD to HTML
  • 10. To Outsource/Not Outsource Not Outsource Tasks which are constantly changing Ambiguous expectations No clear expectations for what done looks like Examples: Research topic X Back-end development work
  • 11. Locating Help 1. Friends/Recommendations: best quality 2. oDesk: cheap programmers + virtual assistants 3. Mechanical Turk: market research 4. Craigslist: everything else
  • 12. Hiring and Interviewing 1. Submit request for freelancers Write the proposal in terms of whats in it for them (around an eager want) 2. Receive and review applications Flag people who seem to have a good background Ignore generic applications People who have too much experience 3. Do tests + interviews Interviewing takes time, use sparingly Tests are usually a better judge of quality Eg. Edit the attached blog post, send me your edits within a day 4. Hire + keep other promising candidates on file
  • 13. Managing Tips 1. Freelancers are like all other employees Set them up for success Give clear expectations + guidelines Understand their interests 2. Require regular communication Eg. Daily email stating tasks from yesterday + task for today 3. Dont overburden yourself with management Remember the goal is freeing up time 4. Be good to your people but fire fast
  • 14. Typical Costs Philippines: $5/hr is a good salary Eastern Europe: $10-15/hr is a good salary Pay per post: USA + Canada: $20 for a 500 word blog post To some extent, you get what you pay for
  • 15. Some Practical Tips Pay close attention to location Language spoken? Work Ethic of Culture? Strength of culture Avoid development shops Pay hourly but ballpark Use tools to track time
  • 16. Project Get your first request for an outsourcer online If using odesk -> please use my affiliate link, we can will split the $50 commission Affiliate link: http://www.naysawn.com/odesk Remember: In addition to money, describe your project with the outsourcer in mind
  • 17. Additional Materials 際際滷s of talk: slideshare.net/NaysawnNaderi Summary of suggestions: naysawn.com/9-tips-for-growing-your- startup-with-freelancers Systematic Outsourcing eBook: http://bit.ly/15nBdpx Any questions: naysawn@artsumo.com