As a business owner or entrepreneur, you understand the importance of delegating tasks to others. This frees up your time and resources, allowing you to focus on what you do best – growing your business.
But when it comes to deciding whether to delegate or subcontract, the decision can be a difficult one. Both approaches have their own set of pros and cons, and it’s important to understand these before making a decision that will impact your business in the long run.
What is Delegating?
Delegate means to assign a task or responsibility to someone else to perform on your behalf. This could involve tasks such as managing social media accounts, answering customer service inquiries, or performing administrative tasks. Delegating allows you to focus on the core aspects of your business while ensuring that these important tasks are taken care of by someone who is qualified and experienced in that area.
Pros of Delegating
- Increased efficiency: When tasks are delegated, they can be performed faster and more effectively by someone who has specialized skills and experience. This frees up your time to focus on the most important aspects of your business.
- Improved quality: By delegating tasks to someone who specializes in that area, you can ensure that these tasks are performed to a high standard. This can result in better overall quality for your business.
- Better resource allocation: Delegating allows you to allocate resources more effectively, as you can focus on the most important aspects of your business while ensuring that other tasks are taken care of by someone else.
Cons of Delegating
- Loss of control: When tasks are delegated, you may feel like you’re losing some level of control over your business. This can be difficult for some entrepreneurs who are used to being in charge of everything.
- Higher costs: Hiring someone to perform tasks for you can be expensive, especially if you need to hire someone with specialized skills or experience. This can be a challenge for small businesses with limited budgets.
- Communication issues: Delegating tasks involves communicating with someone else, which can sometimes lead to misunderstandings or miscommunications. It’s important to ensure that clear communication is established from the outset.
Case Study: Airbnb
Airbnb is a great example of a company that has successfully delegated tasks in order to grow and scale their business. The founders, Brian Chesky, Nathan Blecharczyk, and Joe Gebbia, recognized the importance of delegating tasks in order to focus on the most important aspects of their business – creating an amazing user experience for their customers. They delegated tasks such as managing customer service inquiries and performing administrative tasks, allowing them to focus on building a great product and growing their business.
What is Subcontracting?
Subcontracting means hiring another company or individual to perform a task that you cannot do yourself. This could involve tasks such as software development, graphic design, or marketing services. Subcontracting allows you to take advantage of the expertise and resources of others while still maintaining control over your business.
Pros of Subcontracting
- Access to specialized skills: By subcontracting tasks to a company with specialized skills or experience, you can ensure that these tasks are performed to a high standard. This can result in better overall quality for your business.
- Cost savings: In many cases, it can be more cost-effective to subcontract tasks than to hire someone in-house. Subcontracting allows you to tap into the resources and expertise of others without having to invest in hiring and training employees.
- Flexibility: Subcontracting provides flexibility for your business, as you can scale up or down depending on your needs.
