With more and more businesses outsourcing their labor, there has been an increasing need to know how to select great offshore vendors and to build a great business relationship with them. Here are some tips for small business owners who want to use outsourcing but have a desire to manage the project themselves.

Speak with the vendor
The spoken English of non-native speakers may not be as strong as their written English. One reason for this could be that spoken conversations are more spontaneous in nature. As a result of this, the non-native speaker may struggle with finding the right words during a conversation. If you need to explain something to them over the phone or using Skype and it turns out you do not understand what they are saying, that could be a big problem. This problem may go undetected in e-mails or IMs.

Speaking with vendors also gives the buyer a “sense” of who they are. People judge companies by the customer service they get when calling their 1-800 numbers. This also applies to any offshore vendors. If you feel uneasy about the vendor when speaking with them, you should probably stay away from them.

Know their time zoneAnother crucial thing for buyers to remember when dealing with international merchants is they will most likely be in different time zones. When buyers ask to discuss something with the vendors at a specific time, they need to figure out if it is tomorrow their time or the vendor’s time. This is imperative because a misunderstanding could cause delays and impact the project’s outcome.

Treat providers fairlyWhen working with global providers, it is vital for you to understand that in many countries a contract is considered an informal document. As a result of this, the buyer’s relationship with the vendors could be much more important than what is stated in the document. It is critical for you to treat the sellers with fairness and respect. If they are doing a good job, you should let them know that if they continue the great work you will return for more business. The buyer should not tell the provider lies to motivate them. If you say you are going to do something, you should follow through with it.

Don’t run from touchy subjectsWhen using foreign traders, you should be prepared for the possibility of people bringing up subjects that might make you feel uncomfortable. People in the United States are sensitive about discussing subjects like race, politics and religion at the workplace. In other parts of the world, people may be more willing to talk about these topics at work. While people who do business in the United States should have a sense of American culture, buyers shouldn’t get upset if the vendor talks about something they consider inappropriate. Instead, they should kindly state they would appreciate if the vendor didn’t mention that again.

Respect how they do businessKeep in mind that you should treat others the way you want to be treated when working with suppliers who are outside of the country. If you would like them to understand your culture, you should do the same for them. Respect how they do business unless it causes a major problem.

A personal example of this I’d like to share occurred when one of my offshore people freaked out when I did not immediately pay her. She stated that she always got paid within one to three business days. Her invoice did not specify net term and the shortest net term used in the United States is seven days. I was caught off guard by her reaction. However, nothing prevented me from paying her immediately, so I did.

Say what you meanWhen conducting business with offshore vendors, you should be extremely cautious about the words you choose. Certain expressions that are considered slang could confuse foreign workers. Don’t be cryptic or try to drop a hint in a language-sensitive situation. Use simple and straightforward language as often as possible to avoid miscommunication.

Praise themIt is essential for you to remember that regardless of race or nationality, we all enjoy being recognized for achievements. Keep this in mind when doing business globally. If they deliver your project promptly and to your liking, thank them. If they are under a great amount of pressure, provide encouragement.

Outsourcing your business can be a very difficult task. There are many opportunities for mix-ups and miscommunications. Follow the above tips and you should have great success working with overseas providers. If you ever run into any problems, we are here to help.