Disadvantages of Outsourcing Engineering Services
A business practice that involves hiring a third party to carry out operations, perform functions and provide services is called outsourcing. The outside company which is hired to carry out tasks is called the service provider or a third-party provider They subsequently arrange for employees or technology services for the hiring company at their facilities or an external location. Client companies can outsource either a particular department like the MEP department of engineering or an entire department like the complete IT department.
For instance, the MEP outsourcing services, USA offers customised mechanical, electrical and plumbing designs for its clients.
Across the globe, engineering firms are opting for outsourcing particular services to enhance efficiency, improve capability and reduce unnecessary expenses. A multitude of global engineering firms prefers outsourcing engineering services to India because of no additional administrative and overhead expenses, no training, low hourly rates etc. For example, the structural drafting services provider in Ahmedabad offers calculations, technical drawings and sketches at amicable rates.
Outsourcing engineering services has its advantages and disadvantages. When it comes to outsourcing engineering services, a plethora of challenges are faced by hiring companies.
A few of the challenges or disadvantages include:
1. Concern over quality- Outsourcing engineering services are always accompanied by the risk of low quality. Furthermore, the requested product or services might not be delivered at the expected turnaround time. If the outsourcing companies fail to match the expectations of the client, the entire business might suffer. Hence it is always encouraged to have trial projects.
2. Lack of trust- There is always the issue of trust between the hiring company and services providers. Hence, the client company has to find the appropriate engineering services provider companies.
3. Low performance- Low performance has always been a challenge while outsourcing engineering services. Hence, companies must hire professional services providers who have a good reputation and trustable records.
4. Concern over control- Hiring companies often want control over every aspect of their business. Subsequently, the loss of control and supervision perpetuates fear regarding outsourcing engineering services. Therefore, to overlook every detail of a particular project, it is considered feasible to hire in-house services. Another option could be asking the outsourced company for regular updates about the progress of the project.
5. Issue of non-compliance- Failure to act according to the demand of client companies and minute variations in services can have grave repercussions in the project. It also questions the credibility of the hiring companies.
6. Question of national security- Outsourcing engineering designs from foreign countries can lead to questions of national security. If proper security systems are not followed, the sketches and plans can end up in the wrong hands.
In conclusion, the advantages of outsourcing engineering services outweigh the disadvantages. Regular communication between the hiring company and services providers ensures the completion of the project at the expected time with no errors. Outsourcing structural engineering services and architectural bim services can increase efficiency and reduce costs.