Why Msme Should Hire Professional Testing Laboratory for Testing Activities?

by Rahul G. Founder

For every Businessman, their business is like their baby which makes it hard to compromise with any business aspect. To grow to hire right staff members is not enough, you need to come in contact with right contractors that can help you to work and focus on those things which neither you nor your staff members are efficient enough to do to make your business thrive. So, one can say business outsourcing for small and medium business has a lot of benefits.

What is Outsourcing Manufacturing?

Outsource refers to the hiring of people from the outside of the enterprise to assemble, built our the entire product. The main reason why companies choose outsourcing is to reduce its overall cost, labour is among the top factor in terms of cost.

Outsourcing in production companies to third parties leads to a great amount of decrease in production costs, which leads it to be more affordable that can have a comparative advantage than in-house production.

Most of the times outsourcing provide a great benefit to utilize assets which are already there without investing in any additional fixed and variable costs.


When and What to Outsource?

So, the question arises when you need to do outsourcing? The answer to this is quite simple, you must evaluate the goals of your business, things only you can achieve? and things only you can provide to your customers? Things which can be done with outsourcing? So, for all these you need to ask some questions:

·       Is there a need to deduct a certain fixed cost to optimize the budget of the company?

·       Are there some tasks that need your business to operate which require certain skills and expertise that your staff does not have?

·       Are there some basic tasks which are making your staff to divert their focus on main and important tasks?

Benefits of Outsourcing Manufacturing

·   Lower Labour Costs

Low labour costs are the main benefit of outsourcing, while there are many implications, performing outsourcing at the right time and place is the most essential and viable option. Labour cost which can be reduced to so much if you come in contact with the right outsourcing partners, it is confirmed by various enterprises that achieve high level of savings and are able to focus on main tasks when they chose outsourcing options.

·   Overhead Cost

Various companies outsource their work to eliminate overhead costs which are associated with business operations facility. Overhead costs include production equipment and utilities. There are other costs also like indirect costs, technicians, material handlers, shipping personnel etc.

·   Focus

For a company to grow it is important that they focus on core competencies which are things that they are best at whether it is sales, marketing or production and leave the general or non- core competencies to the third party to handle so that business can focus and grow. There may be a certain situation arises that there is sometimes an increase in demand and you need additional resources to meet the deadline as lack of it can affect the business so outsourcing companies can help them to fulfil demands in this way, you will grow thus maintaining its goodwill.

·   Fortress Nutrition

There are a lot of companies that help in food and nutrition services. From research development to manufacturing and packaging, they partner with small and medium clients to fulfil their demands and needs. They also provide unrivalled skills and expertise in all the aspects the business needs, whether it is packaging, blending, food testing or quality control.

Why MSME's are preferring outsourcing for testing?

Increase in regulation is mainly impacting the decision of a small business to shift from in house testing because they are  on small scale and don’t have enough resources which can increase their overall cost so that is why they prefer third-party labs for testing and it is more cost effective and at the same time they can focus on other important things.

Small and medium enterprises don’t always have resources like volume, knowledge, micro testers to perform pathogen or allergen testing in-house as well as they may send testing to focus on what they do best like food production and not o0n which they lack or they may want to keep them outside of litigious circumstances, apparently, the industry wants to do what is right for them but want to spend limited so that is why they outsource to get work done in the most cost-effective way. Small and medium companies are outsourcing their testing, third party labs are getting immense popularity in allergen and pathogen testing.

An area in which outsourcing is growing in terms of food:

Lab Accreditation

National Accreditation Board for Testing and Calibration Laboratories (NABL) is a quality control board of India, they are established with an objective to provide industries to collaborate with third-party for quality and technical check and test in laboratories.

So to achieve this NABL provides laboratory accreditation to perform tests in labs in accordance with ISO 17025:2005 medical labs. These services are provided in non- discriminatory manner and are accessible to all labs abroad as well in India regardless of status, ownership, size, and independence.

 ISO17025 accreditation is driven by customers standards and rules as sometimes customers specify some rules which require customised models which should be done in ISO certified lab to ensure the quality of the food system and the integrity of its lab test results...

While specifications are not listed on the import testing in accredited labs, implications are to follow ISO 17025, its a requirement has heightened the interest in accreditation.


So, from the above, we can conclude that outsourcing industries have a lot of scope in terms of lab testing because of it is better, cost-effective and experts work on it.

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About Rahul G. Innovator     Founder

9 connections, 0 recommendations, 97 honor points.
Joined APSense since, August 2nd, 2019, From New Delhi, India.

Created on May 7th 2020 03:37. Viewed 375 times.


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