On the ABC News the other night there was a piece "Boom times for internet start-ups". I was surprised at the messages and found the piece painfully naive. It exaggerated the ease (and cheapness) with which people could outsource the development of their business idea (let's call the idea a widget).
Let's deconstruct the messages and look at the reality...
Free - open source
Free is not free. Open source is fine but you still either need to know how to set up your widget using open source tools (which takes time and time is money), or you need access to the skills (which generally come at a cost). Don't even get me started about ongoing issues.
Open source is fine as long as you know that free is not free.
Outsourcing - low cost
Outsourcing is just not as simple or easy as the clip implied, particularly when, as was stated "...freelancers are usually in developing countries". Why isn't it easy peasy then? Because of two main challenges:
- Language
Most of the time the freelancer doesn't speak or write English particularly well. I'm not picking on them, it just creates problems when you're trying to tell them what you want and they're trying to interpret it in a language that is not their first. It's not easy for them and it's not easy for you and this is where confusion arises.
- Distance
Yes technology lets us reach out around the world, I work with people all over the globe thanks to technology, but it still has its issues.
They're not on the same timeframe as you, which means you need to allow for the delay in communication. This can usually be worked around but if something happens that needs urgent attention and your freelancer is tucked up in bed chasing Zeds, what then? Not a deal breaker but something you need to allow for.
"I know what I want done I just need someone to help me do it"
Oh yes, so easy to say but this presents a third challenge:
- You don't really know what you want done
For all that you think you want a widget that does XYZ, to really get something like that you also need to know that it has to do abc, 123 and 000.
Given this isn't your area of expertise you're not likely to know that you need to know abc, 123 and 000. There's no fault with that, it's just that if you did know you wouldn't be considering outsourcing.
Now most people at this point will say, "yes but that's what the freelancer is for". The reality is that most low cost freelancers will deliver exactly what is asked for, they're not strategic. So if you don't give them clear instructions then you won't get what you want. How then, can you give clear instructions if you don't even know you need to know abc, 123, 000... well that's one of the reasons I found the whole news clip overly simplistic.
The good news is that at some point you will probably get what you want in the end but you'll go back and forth, back and forth and be half bald by the time you get it.
I can do it, I can do it, I can do it cheap
The news piece paints the picture of a community of skilled workers all vying for your work and that it's cheap. This is true to a point but another challenge is...
- Can you trust them?
You don't really know if the person your considering can actually do what you want. Anyone, can say they can do something but you don't really know if it's true. This of course can be overcome by looking at their work history, seeking references, looking at the feedback within the community etc. Just don't jump in and accept the first - cheapest - person who says they can do it.
You also need to be aware that you have no real protection of your ideas. Once you post your idea online, it's there for everyone to see. You may select a widget-maker but all of the other candidates could possibly steal your idea (because you have to give them a brief so they can pitch and that means you have to tell them about your idea). Shucks, even your contracted widget-maker could steal your idea.
Promote your product online ... use Facebook
Facebook is not the be all and end all of online promotional opportunities and it may not even be appropriate for your widget. The statement made was just too simple to be useful.
Oh and who just lost $10 million in advertising? Facebook. Who's IPO is a mess? Facebook. Good advice.
Upshot
Don't get me wrong, I'm not writing this because I feel threatened (we are after all a company people outsource to).
We occasionally use freelancers and we source some from freelancing community websites. But, I have to dedicate a fair amount of my time to making sure they understand what is expected of them, clarifying any confusion, monitoring their progress, testing their work and explaining carefully any revisions or changes.
This is what the news piece fails to address. Yes there's opportunity but you need to approach it in a considered and methodical manner. Don't get all excited and post your great money making idea online, take the first person to put their hand up and sit back and think you'll get what you want.
