Published On: Fri, Oct 24th, 2014

Is Outsourcing Over? The Rise of In-House Manufacturing

The dawn of outsourcing appears to be over. According to recent statistics, a greater number of smaller businesses are bringing resources in-house. Outsourcing is still prevalent in the telecommunications industry. But, in manufacturing, more businesses are omitting the need for outsourced companies. They are striving for long-term success by bringing more functions in-house.

In-House Manufacturing

Outsourcing: Is it Over?

Outsourcing is far from over in many companies. Marketing, contact centres and human resources are all still performed by outsourced companies. With bigger corporations, they are always keen to outsource. The prevalence of bringing services in-house is becoming a  business trend with smaller ventures. After all, more businesses want a greater control of their outputs. Outsourcing is not a negative thing. For many, it can be a critical and savvy approach to saving money for the long term.

But the rise of bringing functions in-house is becoming more than just a passing trend. It’s becoming a business mainstay.

Let’s find out more.


The Rise of In-House Services

For consumer and product led businesses, there is a need for in-house services to be completed. Due the rising costs of outsourcing, it’s become cheaper to perform some tasks in-house. Things like packaging, business cards and offline marketing materials are being completed in house.


Due to the advancement of technology, it is now commonsensical for businesses to do this in-house. Core business operations are more economical to run with the rise of technology. Digital printers and cardboard core cutter machines are more inexpensive to obtain. The sheer onset of technology has allowed companies to bring these resources in-house for a fraction of the cost. It makes sound economic sense to cut out the middle man and utilise the marvel of technology.


In-House Measures: So Much More than Cost-Reduction

The need to save money is imperative for any astute CEO. But, there is also a rise of entrepreneurs wanting to gain greater control over their business processes. Not only does bringing these critical functions into the office become cheaper. It also ensures that processing times are cut. The output times are drastically reduced by having more functions in-house. Smarter processing times mean that companies can deliver to their customers in a shorter time span. With this in mind, these efforts mean that clients and customers are happier with their service levels. A reduced time effort is vital to the success of any organisation.


Regaining Control

Control over goods that are manufactured in-house is said to be relevant to business owners. According to an online survey, more companies are eager regain control over their processes.

In the glory days of outsourcing, it seemed commonsensical to outsource. Many CEOs trusted the opinions of those whose specialist companies focussed on packaging needs. Now, more business owners are savvier. They are aware of the growth of technology. This means that they can now complete these tasks in-house. What’s more, they don’t have to worry about communication breakdowns. They get a well-produced product in the comfort of their own office or factory. Little wonder there is a rise of in-house solutions within manufacturing.