How to Identify 5 Red Flags of a Rogue Outsourcing Company

Daya
By Daya Mukherjee Nov 19, 2020
How to Identify 5 Red Flags of a Rogue Outsourcing Company

In the past two decades or so, outsourcing has been nothing short of a revolution for businesses all over the world and this holds true even during the pandemic. Although, when considering the effects of Corona, it would be wiser to say – ESPECIALLY in the pandemic.

Outsourcing is the Best Bet for SMBs

Outsourcing is the Best Bet for SMBs

By eliminating factors such as close contact, location, and time, outsourcing has enabled businesses to continue with manufacturing and providing services even in these uncertain times. This practice also suggests that companies procure the right talent that aligns well with their projects as they focus on other aspects of their business.

This, in turn, has kept small and medium businesses (SMBs) afloat. It is safe to say that outsourcing has managed to shoulder the burden akin to the Greek Titan, Atlas.

 

Perils and Pitfalls of Outsourcing to a Rogue Company

Perils and Pitfalls of Outsourcing to a Rogue Company

But there are obstacles too. Outsourcing comes with its own sets of challenges.

The three different types of outsourcing companies we see are ‘rogue’, ‘established’, and ‘reputed’ firms. And, all three of these may very well be offering services and products on their website on seemingly equal footing. This is exacerbated by the fact that most of the clients choose not to visit vendors on-site before they sign the contract with the vendor.

Hence, they cannot ask questions that are prompted by what they see. Take office infrastructure, for instance. Who is behind the computer screen? A professional outsourcing company or a rogue company wherein just a few people are sitting in a room with outdated systems?

For clients, it is all too easy to fall prey to the swanky websites of vendors that claim to offer the world at their feet. More often than not, clients take them at face value and give in to the allure of getting their project done at lower rates and lesser time.

And this becomes their ultimate Achilles’ heel. This is exactly where the clients get trapped.

So, how do we eliminate the chances of shoddy or sub-standard work before they waste our hard-earned money and precious time?

After all, one has to be sure that the project they are outsourcing is in good hands.

Whether you are a big business or an SMB, if you are thinking of outsourcing overseas to countries such India or the Philippines, you must keep your eyes wide open and head firmly on your shoulders!

Here’s how!

The Dead Giveaways: Website Red flag Indicators

There are enough website red flags if one chooses to see the sandcastles for what they really are.

To save oneself from falling into the trap of rogue outsourcing, it is important to note that in the majority of cases websites play a key role in closing clients. This is because a website is seen as a reflection of a company.

A rogue outsourcing company may be able to get attention, however, it would be tough for them to hide behind these red flag indicators.

Here’s how to identify rogue outsourcing vendors with these website red flags and determine the credibility of a company.

Red Flag 1
Contact Us Page

A company’s Contact Us page is the first indicator of the presence of an office infrastructure. Check if the outsourcing vendor company has a physical contact address or simply a Contact Us form. If the address is not mentioned, it is safe to assume that they probably do not have an office in the first place or are functioning from a modest location. It could very well be a work from home (WFH) setup.

RED Flag 2 - Company Information and Background
Company Information and Background

This goes without saying that you must check the company’s background. These websites have the company pages that talk about the board of directors, CEOs, managers, and the company hierarchy. They also carry information of how the company was established, and other such details. If this information is not available easily, then it raises the question, “What and why is the company trying to hide?”

How is the company going to assist you in your project if you don’t know who you are dealing with?

RED Flag 3 - Office Pictures & Videos
Office Pictures & Videos

The lack of information is information itself – that the rogue company is not taking itself seriously. If the vendor has interacted only on phone or video call, then it would be a better idea to check for pictures and videos of their staff, workplace, company events, or corporate office. One cannot easily fake an authentic video tour of a company’s offices.

If the pictures and video of their staff are woefully inadequate, it would be wise to double check the vendor.

RED Flag 4 - Authentic Testimonials/Reviews
Authentic Testimonials/Reviews

Make sure to check for testimonials that do not seem genuine. Fake reviews usually have no last name, no credible website, and, in some instances, no name of the ‘client’. Video testimonials, too, are a good red flag indicator, because if they lack in-depth case studies they, as a result, will be shorter in duration. The fact that a company is publishing testimonials which are not credible says a lot about the vendor’s approach to business.

RED Flag 5 - Appearance
Appearance

Check the overall appeal of the vendor’s website. Look at the number of pages, navigation style, quality of web content, graphics, and resources listed. Also, make sure to check if the vendor has any social media presence at all. After all, content is not something one can fake.

If you find the lazy template of a website instead of a full-fledged one, riddled with occasional spelling and grammar mistakes or even shoddy graphics, then it is not just the red flags, it is a big red STOP sign for you.

While these do not necessarily mean that they are rogue outsourcing vendors, these red flag indicators should be enough to make you ask more questions and be diligent in outsourcing your precious project.

This is where you, as a prospective client looking for an authentic outsourcing business, must be able to asses and decide, if the vendor’s content is backed by credibility. If you have diligently done your research on the various vendors that you are considering for your business, you must have noticed that authenticity is the common denominator among them.

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