Gaebler Ventures Gaebler Ventures is a business incubator and holding company providing venture capital investment and shared services to early-stage companies. We've invested in some great portfolio companies. Some of the best resources for entrepreneurs -- all based on our real world experiences! Our guiding investment philosophy is to provide exceptional returns for our investors. Check out the latest news from Gaebler Ventures. Learn more about Gaeber Ventures! Get in touch. We'd love to talk with you!   
 
 
Gaebler Ventures is a business incubator, holding company, and private equity firm. We help entrepreneurs transform ideas and innovations into greatness.

Articles for Entrepreneurs

 

Business Strategies

 

Collaboration via Insourcing

Written by Clayton Reeves for Gaebler Ventures

Learn about a new phenomenon known as insourcing. It is a snapshot of something big that is happening worldwide and will soon impact your small business.

Most people have heard of outsourcing, which is the act of sending work to another country for cheaper, more efficient completion.
(article continues below)

One of the more obvious examples of outsourcing is call centers in India. This is the cheapest and most efficient way to get call centers up and operational for most American companies.

When people started to complain about unqualified, non-English speaking technical support, the Indian workers responded by requiring Midwestern accents and ongoing technical training. Now, it is difficult to tell who is actually from New Delhi when dealing with call centers.

Ask your next technical support operator, and you might be surprised at how American they actually sound. Some operators are trained to have different accents depending on the company that they work for. Now that is some impressive collaboration.

The other form of foreign involvement is called offshoring. This usually gets the worse reputation of the two. Offshoring is the process of moving an actual operation that makes goods to another country.

This could be an entire factory, with workers, managers and supplies all moving to the cheaper labor market. Most people have a negative connotation with offshoring because of the immediate impact it has on jobs and cities that lose entire factories. During the manufacturing era, entire cities were built around major operations, and workers that have their jobs offshored usually have some pretty intense feelings.

Another more positive revelation in the new collaborative economy is the concept of insourcing. This is something new that hasn't really evolved to maturity yet. Thomas Friedman talks about insourcing in his book, The World is Flat.

It is the process of horizontal integration of services between big companies and small companies. A company that has five people can often purchase services that it would not have the resources to build themselves.

Horizontal integration has been a flattening force in the world for some time. However, with the general movement away from manufacturing to a service oriented economy in the United States, things like supply chain management have become much more important, even to small companies. That is why insourcing is so important.

Everything from information technology, marketing, advertising, manufacturing and distribution can now be sourced to another firm. A company will soon be an organization that contracts with other companies to perform certain functions. The key will be how companies optimize their operations to sustain a competitive advantage over others. In the retail industry, Walmart has been able to do this, but Sears and Kmart haven't.

Take, for instance, UPS. They offer services to small companies for supply chain management. These services can range from simply shipping and tracking to absorbing the entire customer experience, from order to delivery to follow up. Small companies can act big with integrated solutions. This is how the entrepreneur will function in an evolving economy; as a creative force and innovator in the practice of tying together companies in creative and value adding ways.

When he's not playing racquetball or studying for a class, Clayton Reeves enjoys writing articles about entrepreneurship. He is currently an MBA student at the University of Missouri with a concentration in Economics and Finance.


Comment Board

What's your take on collaboration via insourcing? We welcome your comments.

Be the first to comment on this article.



Write a comment  Code Image - Please contact webmaster if you have problems seeing this image code
Problem Viewing Image
Load New Code

If you are an ambitious entrepreneur or an aspiring executive looking to get involved with a startup, please take the time to learn more about Gaebler Ventures.

 

 

Additional Resources for Entrepreneurs

Entrepreneur Attributes - Small Business Failure - Starting a Business

Business Incubators - Business Location - Business Partners - Startup Costs

Entrepreneurial Backgrounds - First Year of Business - Inventions

Network Marketing - Online Startups - Startup Resources - Entrepreneurship

Young Entrepreneurs - Business Ideas - Naming and Branding - City Guides

Buying a Business - Writing a Business Plan - Raising Money - Incorporate

Small Business Marketing - Advertising Advice - Public Relations -

Customer Service Tips - Entrepreneurial Selling - Workplace Safety

Startup Leadership - Strategy - Intellectual Property and Entrepreneurs

Articles on Exporting - Human Resources for Entrepreneurs - Workers Comp

Legal Information for Entrepreneurs - Sarbanes-Oxley - Accounting - SBDC

Business Credit Cards - Nonprofit Entrepreneurs - Mission Statements

Tax Tips and Resources for Entrepreneurs - Operating Your Startup Business

Real Estate Decisions for Entrepreneurs - Franchising - Selling a Business

Starting a Home Business - Small Business Technology - Business Travel

Business Finance - Advice for Retailers - Entrepreneurship for Scientists

Administrative Professionals / Office Managers - Family Business Advice

Good Businesses to Start - Start an Energy Business - Start a Hedge Fund

Payroll Service Information - Productivity Tips - Bad Economy Advice

Small Business Websites - Search Engine Optimization - Online Reputation

Search Engine Marketing - Social Marketing Optimization - Business Forms

Business in the Jungle - Business in Fiction - Negotiating - Radio Ad Costs

Newspaper Advertising Rates - City-Specific Resources for Entrepreneurs

Small Business Insurance - Global Entrepreneurship - China & Entrepreneurs

Entrepreneur Features - Employee to Entrepreneur - Small Business Ethics

Acquisition Speculation - Good Business Books - SBA Franchise Loans

Small Business Loans - Studying Entrepreneurship - How Kids Make Money

Social Entrepreneurship - Mergers and Acquisitions -

Veteran Entrepreneurs - Useful Web Sites for Entrepreneurs - Dell Deals

Buy.com Deals - Female Entrepreneurship - Small Business Experts

Entrepreneurial Resources by State - Resources for Young Entrepreneurs

African American Entrepreneurs - Resources for Hispanic Entrepreneurs

Resources for Asian Entrepreneurs - Resources for Women Entrepreneurs

Resources for Gay Entrepreneurs - Businesses for Sale - Office Supplies

Economics - Lists of Small Business Incubators - Lists of Angel Investors

Lists of Venture Capital and Private Equity Firms - Franchise Opportunities

Recommended Products and Services for Entrepreneurs - Contributors

Get FREE Price Quotes from Multiple Vendors - Business Glossary