With so much time and money going into training new employees, the decision to hire is a difficult one. This is where using a partner to outsource your installation can help improve your bottom line, through measurable savings in both hiring costs and project efficiency.
Let’s look at a couple of examples:
Scenario A – Seasonality: When integrators deal with seasonality, they often hire resources simply to meet their growth needs for that period. However, it is not only hard to find great installation or programming talent for part-time or seasonal work, but such hiring requires an investment in onboarding, training, and then off-ramping when things slow down. This turnstile approach to personnel and talent is hard on an integrator both financially and from an employee morale perspective.
An outsourced partner approach is far more predictable and scalable. An integrator can work side by side with its outsource partners to create a resource plan and secure pricing as seasonal work approaches. With costs being directly allocated to those resources, the integrator is prepared for the bottom line impact as they utilize seasonal help. This eliminates costly recruiting and onboarding and creates a more transparent transition when work slows down. Why hire someone to later let dismiss them.
Savings = Recruiting Costs + Training + Onboarding
Scenario B – Labor Spike: Although seasonality has its challenges, sometimes the hardest thing for an integrator to deal with is an unpredicted labor spike, for instance a project that pops up over the Thanksgiving or Christmas holidays. Finding help at this time would be near impossible so the options are to try and hire (as said, near impossible), bill over-inflated overtime hours, and/or leverage outsourced resources.
Unlike the seasonality issue, often labor spikes come with little to no warning. When this happens, you want to jump on these projects quickly, but, you also don’t want to eat up your profit by having to exhaust your workforce, pay overtime, and have projects done ineptly, as employees rush; and you struggle to meet deadlines. Outsourcing can provide on demand resources with the exact expertise you need, and can often be obtained with limited notice, resulting in more work done than your existing capacity allows.
If hiring is not your strong suit or there aren’t enough hours in the day for training, Herman will help you meet demand with outsourcing in the following areas: installation, engineering, CAD and programming. Contact us today.