In-house outsourcing

In-house brands have become the fastest growing FMCG phenomenon in the retail environment. Think of Spar House Brands and Pick-n-Pay No-Name. The manufacturing and logistics of these products are outsourced, ensuring the retail brands remain focused on their core expertise.
In-house outsourcing

They are then branded with the retailer's brand, immediately building credibility into the product. This is essentially an in-house outsourcing model. And why is this so successful - because they stick to their expertise and let the experts in other fields manage what is needed.

Advertising agencies have been outsourcing for many years through their freelancer models. Utilising an in-house outsourcing model allows an agency to provide the strategic direction to their clients, with the right strategist for the right client, without having to carry the overhead costs of a strategist when they can't use them to full capacity. What this does for agencies is bring down their overhead costs, whilst ensuring that they have the experts on board when they are needed. It also increases their business offering and value provided to their clients.

Corporates have adopted this approach through using strategy consultants. The biggest issue comes from the information overload without follow through. What good is a 400-page presentation that cost your organisation a huge amount of money, which just sits on the server.

Here are some key points to consider when using a consultant:

    1. What are they actually going to deliver?
    2. What level of involvement are they going to be in your business?
    3. Are they going to help with the implementation of their plans?

    4. How does the strategy evolve over time?

The fundamental difference between a consultant and an in-house outsourcing model is that a company that offers in-house outsourcing ticks all of the above boxes. They don't just arrive, put together a pretty presentation in a dark room, present it and disappear (and of course, don't forget the invoice). These companies get involved, work with your management, meet with all of the relevant people, put the plans together, work with your team, and most importantly implement it.

There is only one way to measure the effectiveness and strength of a strategy. It is not how many pages the strategy is, how many clever words are used, nor how many three-letter acronyms are crammed into a single sentence. It is to see what the result has been for your business. When implemented has it driven growth, changed customer perception, increased awareness and met your business objectives? If the answer is no, it doesn't matter how "clever" the strategy was, it failed.

Business, marketing, branding and communication strategies need to be living breathing documents that can adjust as time goes by when different opportunities are presented.

So when you are looking for real, measurable results, in-house outsourcing not only brings down your overheads, but also ensures that you have a partner throughout your strategy and implementation phases.

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