9 May 2020

Always a Catch 22 - Getting work done In-house or Outsourced?

HR Success Guide
Author: Ria (Yoma Group)
Hiring is critical to building a successful and thriving business. The teams you hire are the ones that lead you to growth. However, certain businesses struggle to decide whether they should a full-time employee, a part-time worker or outsource a freelancer, because there are so many things to keep in mind -

» The new hire should be in sync with your organization’s ideology, work culture and goals.
» They should be able to settle in as fast as possible
» Need to be skilled and a good fit for your existing team
» The remuneration and work hours should be agreeable

The process just isn’t that easy!

Usually, after reading this one would instantly think about hiring in-house team members. However, you also have the option to outsource tasks.

The internet has connected everyone, no matter where they are. The outsourcing industry has grown leaps and bounds over the last few years. You now have access to a vast pool of talent and low-cost labour. However, outsourcing might not always the best option: Not all work should be outsourced. Categories, like accounts, or any other core operations should always be in-house.

As an HR admin you need to understand when to outsource and when to keep things within your team. Here are a few points you need to keep in mind while you hire someone full time or as a consultant or freelancer:

Compare Costs first

A Freelancer usually charges on an hourly basis or they have fixed rates per task. An in-house employee has a designated monthly salary you offer them. So, list down the work that you would need the hire to do and calculate the freelancer’s charges and compare it to the monthly salary for an in-house. Weigh out the expenses and choose what fits your bill.

However, keep skills always first! There is no point hiring an in-house employee over a skilled freelancer who knows the job better, just to save costs.

Keep the Core in-house

What’s your company’s USP?
What are the core operations?
What are the most crucial job roles?

It's always better and smarter to keep the competitive edge in-house of your organisation in-house. Otherwise, if your business becomes too reliant on the outsourced help for a core operation, there will always be a risk of the Freelancer quitting and you left with nowhere to go.

Have no idea what to do? Outsource!

All businesses have a certain set of important but not so critical tasks - data entry, writing, or design executions. If you lack knowledge and expertise in a particular area that isn't your business's competitive advantage, outsourcing a member for the same can be a cheap and easy solution to fill the knowledge gap. You don’t have to involve yourself much and the work gets done!

How quick do you need the job done?

Hiring a Freelancer through various job portals like LinkedIn, Indeed or Glassdoor can be a quick, time saving and relatively faster process. You don’t have to think about whether they would fit into the company culture also.

Whereas hiring and training a full time permanent employee can be a tedious and time consuming process - you need to keep in mind the time and location as well. The hire would also take time to settle in and adjust to your work environment.

So, it’s better you analyse how much time you have for the work to get done and decide on what’s better accordingly.


When it comes to choosing between an in-house or outsource, you don’t always have to choose either/or.  You can do both too! Weigh out the options you have and decide what would suit the current requirements of your organisation better.

Few of your projects might be better off with an in-house employee while another project may need the expertise of an external. Also, even within one single project, there are chances you need the help from both. So, design a solution that works best for your needs and finances. 

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