How to Save Thousands on Outsourcing Costs

Sometimes, people are met with the over expenditure on outsourcing costs. They end up outsourcing deals that would have otherwise been made cheaper and better. This blog encapsulates how to avoid these instances! Read on!

How to Save Thousands on Outsourcing Costs

Beliefs regarding Proximity

Outsourcing services near a company’s area does not necessarily mean significantly cheaper costs. That's a myth that must be debunked. Taking advantage of offshoring through different countries with significantly cheaper service demands may be a good option to consider.

While on the contrary, offshoring does not necessarily mean that it’s cheaper as well. Ultimately, it all depends on the type of service demanded through outsourcing and how many deals are offered.

Proximity beliefs must be toned down. A good company knows that outsourcing costs are mainly determined by the quality of service produced, and less determined by where the offers are based.

Confirmation Bias

Many companies get ahead of themselves by immediately accepting deals that they think are already cost-effective, not knowing that there are hundreds more that are cheaper.

This is the case of confirmation bias. When people think of a certain price and they get an offer lower than that of their expectation, they immediately get ahead into thinking that this is the best deal that they would ever get.

The main takeaway is to look for other deals and determine the benefits attainable in each one. It’s going to be surprised how looking into multiple outsourcing services can make companies realize that there are significantly cheaper deals than the ones previously offered.

Take things slow

Outsourcing a significantly big amount of service is unnecessarily costly. By taking things slow, companies are able to explore every avenue and measure whether a specific deal is good in the long run or on a larger scale of service demand.

In these instances, time is an ally. Know when the perfect time to outsource is. Once operations are up and running, more members and services can be outsourced and in the right cost. There’s no need to immediately dive in and outsource large projects with large teams.

Take Advantage of Business Strategies

Outsourcing is a business, and it requires businessmen with sharp tongues and quick-wittedness. At the end of the day, a good business strategy can get companies through good outsourcing deals.

In this aspect, it’s good to have an experienced in-house outsourcing team that are capable of looking for quality and cost-effective business needs.

Communicate with the Vendors

Communication is the king that sits upon the throne. Sometimes, it’s communication that helps many businesses get realistic deals. By being transparent and by simply being upfront, a bond is created and a form of trust is established.

By being realistic about saying how much a company can afford, vendors are able to gauge the scope of service they can offer and in what specific scale and price.

Many vendors are usually one good talk away from establishing a mutually acceptable deal between clients. Clear and timely communication is ideally how things are best done and dealt with in the business arena.


These are valuable lessons that people should manifest in outsourcing to maximize cheaper costs. It’s very important to weigh in the pros and cons of each deal and observe the deals that are worth taking. By doing so, all clients are satisfied and everyone can sleep in the night with a sound mind.

Mangtas – How we can help you

If you’re looking into outsourcing your projects, Mangtas match makes clients to vendors based on their project needs. Think of us as your outsourcing consultants.

We ensure companies that not only are the vendor services in their best possible quality but are also cost-effective. Give us your brief together with your budget, and we will come up with a list of vetted partners that you can choose from. Our matchmaking services are free and a small fee is charged for the eventual use of the platform. Reach out to us here!