Design plays a crucial role in the success of a business. It helps to communicate the brand's message, differentiate from competitors and engage customers. When it comes to design work, companies have to make a strategic decision on how to approach it. To hire in-house aka insource or outsource it. The decision on whether to insource or outsource design work is not an easy one and it can have a significant impact on the company's bottom line.
In this guide, we will explore the decision-making process for insourcing vs outsourcing design, weighing the pros and cons of each approach and providing tips for making the best choice for your company. Whether you're a small startup or a large corporation, this guide will provide valuable insights on how to approach design work in the most effective way possible.
Insourcing design work means to hire an in-house team of designers to handle all of the company's design needs.
One of the main advantages of insourcing is that the in-house team will have a deep understanding of the company's brand and goals. They will be familiar with the company's target audience, products, and services and will be able to create designs that align with the company's overall strategy. This can lead to a more consistent brand image, which can be beneficial in building customer loyalty and trust.
Another advantage of insourcing is that the company will have more control over the design process. The in-house team will be able to work closely with other departments and stakeholders to ensure that the designs meet their needs. This can also lead to a faster design process as there is no need to wait for feedback or approvals from an outside agency.
However, there are also some downsides to insourcing design work.
One of the main disadvantages is the cost associated with hiring and maintaining an in-house team. This can include salaries, benefits, and office space. Additionally, the company will also be responsible for providing the necessary equipment and software for the team. These costs can add up quickly and can be a significant investment for the company.
Another potential downside of insourcing is that the company may not have access to the same level of talent and expertise as an outside agency. In-house teams may not have the same level of experience and skill set as specialized agencies or freelancers. This can limit the company's ability to create high-quality, innovative designs.
Outsourcing design work means hiring an outside agency or freelancer to handle the company's design needs.
One of the main advantages of outsourcing is that the company will have access to a wider pool of talent and expertise.
Outsourcing agencies and freelancers specialize in design work and have a diverse range of skills and experience. This can allow the company to create high-quality, innovative designs that stand out from the competition.
Another advantage of outsourcing is that it can provide flexibility in terms of project scope and budget. Outsourcing agencies and freelancers are typically able to take on a wide range of projects, from small design tasks to large-scale campaigns. Additionally, companies can choose to outsource on a project-by-project basis, which can be beneficial if the company's design needs fluctuate.
However, there are also some downsides to outsourcing design work.
One of the main disadvantages is that the company may have less control over the design process. Communication with an outside agency or freelancer can be more difficult, and there may be delays in getting feedback or approvals.
Additionally, the company may not have the same level of access to the designer's thoughts and ideas, which can lead to designs that don't align with the company's overall strategy.
Another potential downside of outsourcing is that it can be more expensive than insourcing. Companies may have to pay higher fees for the services of an outside agency or freelancer, and may also have to pay for expenses such as travel and lodging if the designer is working remotely. Additionally, companies may have to pay for additional services such as project management or account management.
When deciding whether to insource or outsource design work, there are several factors that companies should consider.
Company size and resources: One of the most important factors to consider is the size and resources of the company. Smaller companies may not have the budget or resources to maintain an in-house design team, and may find it more cost-effective to outsource design work.
On the other hand, larger companies may have the resources to support an in-house design team and may find it more beneficial to insource design work.
Budget: Another key factor to consider is budget. Insourcing design work can be more expensive in the long run, especially if the company has to pay for salaries, benefits, and office space.
Outsourcing design work, on the other hand, can be more cost-effective as the company only pays for the services needed on a project-by-project basis. However, the company should also take into account the potential additional costs of outsourcing, such as project management or account management fees.
Timeframe: The timeframe for a design project is also an important factor to consider. Insourcing design work can be faster as thein-house team will be familiar with the company's processes and can work closely with other departments.
Outsourcing design work, on the other hand, may take longer as there may be delays in getting feedback or approvals, and communication with an outside agency or freelancer can be more difficult.
Brand consistency: Brand consistency is also an important factor to consider. Insourcing design work can help to ensure that the company's designs align with its overall strategy and maintain a consistent brand image.
Outsourcing design work, on the other hand, may not be able to provide the same level of brand consistency, especially if the company is working with multiple agencies or freelancers.
Another option for companies to consider is a hybrid approach of insourcing and outsourcing design work. This approach combines the benefits of both insourcing and outsourcing by utilizing an in-house design team for core projects and outsourcing for specialized or overflow work.
This can provide a balance between control over the design process, brand consistency, and access to a wider pool of talent and expertise.
For example, a company can have an in-house design team responsible for creating designs that align with the company's overall strategy and maintain brand consistency. They can handle the day to day design work such as creating marketing materials, packaging designs and website updates.
When the company needs specialized skills or needs to handle a high volume of work, they can outsource to a specialized agency or freelancer. This can provide access to a wider range of skills and expertise and can also be a cost-effective solution.
A hybrid approach can also be beneficial in terms of budget and resources. The company can maintain a smaller in-house team and only outsource when necessary, which can help to keep costs down.
While this is a great option it still requires careful planning and management. The company should establish clear guidelines and expectations for the in-house and outsourced teams to ensure brand consistency and effective communication.
Additionally, the company should also have a system in place for managing the different teams and ensuring that the work is completed on time and to a high standard.
Overall, a hybrid approach of insourcing and outsourcing design work can be a potential solution for companies that want to balance control over the design process, brand consistency, and access to a wider pool of talent and expertise. With careful planning and management, this approach can help to create high-quality, innovative designs that align with the company's overall strategy.
If you’re looking for a strong design partner that can help you take your designs to the next level, Mad Creative Beanstalk can be a good fit. Trusted by 100s of early-stage startups, we can deliver your quality designs at scale.
