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The Textbook on Outsourcing is Brutal. How I Cut Production Costs by 1/20 and Improved Quality

"I want to keep production costs down, but I don't want to sacrifice quality..."

Many business owners and managers likely struggle with this dilemma.

In particular, production items like advertisements, videos, and designs tend to become more expensive the more you outsource them.

However, if you only pursue low prices, quality suffers, which is counterproductive...
Many people are likely suffering from this dilemma.

I myself used to spend millions of yen annually on production costs without getting satisfactory quality, and I was at my wit's end.

However, after encountering a book called "The Textbook on Outsourcing", I was able to reduce production costs to 1/20th of what they were, and the quality has improved significantly compared to before.

In this article, I will explain in detail the "outsourcing" methods I actually practiced and their specific benefits.

By reading this article, you too will be able to achieve dramatic cost reductions and quality improvements.

Let's take a look right away.


What are the 3 causes of soaring production costs?

First, you need to understand why production costs become so high.

1. Over-reliance on outsourcing partners

Many companies leave everything to their outsourcing partners.

Lack of communication and misalignment lead to an increase in the number of revisions, which ultimately causes costs to balloon.

2. The production process has become a black box

Because the work processes of outsourcing partners are invisible, you cannot maintain control, making quality management difficult.

If the final deliverable differs from your expectations, further costs are incurred for re-revisions.

3. Relying too much on professionals

While quality is maintained when you leave it to professionals, the costs are higher.

However, even if you aren't a professional, as long as you have the right manuals and systems in place, you can create high-quality deliverables at a low cost.

A Concrete Method to Cut Production Costs by 1/20 Through Outsourcing

The key point I learned from "The Textbook on Outsourcing" is the "systematization" of tasks. Specifically, I proceed with the following steps.

Step 1: Break down the production process

First, clearly divide each production process. For example, in video production, this would include planning and composition, filming, editing, and narration.

Step 2: Create manuals for each process

Create detailed manuals so that anyone can perform the work. The manuals should include specific procedures, checkpoints, and completion standards.

Step 3: Secure talent through crowdsourcing

Find talent who can work according to the manuals on domestic crowdsourcing sites (such as CrowdWorks, Lancers, etc.).

If you have a systematized manual, you can find excellent domestic freelancers at a low cost.

A Real-Life Case Study: Why My Company Was Able to Cut Production Costs by 1/20

I will share a concrete example of what I practiced.

Previously, it cost about 200,000 yen per web design project, but as a result of systematizing based on "The Textbook on Outsourcing," we are now able to produce them for about 10,000 yen per project.

The specific mechanisms are:

  • Templatizing designs

  • Outsourcing to domestic freelancers based on manuals

  • Systematizing quality control (creating checklists)

By simply practicing these three things, costs were drastically reduced and quality was significantly improved.

4 Reasons Why "The Textbook on Outsourcing" Is Recommended

I will introduce 4 reasons why this book is especially recommended.

1. Overwhelming cost reduction

By avoiding expensive requests to professionals and building a system ourselves, we can significantly reduce production costs.

② Standardization and Improvement of Quality

Through manualization, quality becomes stable, and furthermore, improvements become easy.

③ Shortening Delivery Times

Because it is systematized, delivery times have been cut by more than half.

④ A System Anyone Can Replicate

Once a system is created, know-how is accumulated and can be easily applied to other projects.

Also,

  • those who want to increase their income through a side job

  • business owners and professionals aiming for operational efficiency and cost reduction

  • those interested in crowdsourcing and outsourcing

will find this especially recommended.

3 Actions You Can Take Right Now

After reading this article, let's put the following actions into practice.

  1. Read the "Textbook on Outsourcing" (Purchase here

  2. Break down your company's production tasks and create manuals

  3. Start a pilot project on a crowdsourcing site

Summary: Transform Your Business with the Textbook on Outsourcing

To escape the dilemma of high production costs and declining quality, building an "outsourcing" system is essential.

Thanks to this book, my own production costs dropped to 1/20th, and the quality improved dramatically. You too should get the "Textbook on Outsourcing" right now and experience these amazing results for yourself.

Why not take this opportunity to incorporate outsourcing and take your business to the next level?

Thank you for reading!

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