With the subsequent downturn in the economy, outsourcing became an even more attractive opption for some funders. Today, more than ever, grantmakers facing fluctations in the economy need to work more resourcefully, efficiently, and effectively. This paper will explore why grantmakers choose to outsource, what functions are typically contracted out, and how an outsourcing arrangement is best managed, based on the lessons TCC Group--and our clients--have learned over the past 30 years.
- Grantmakers outsource for one or more of three main reasons: 1) to save time and money; 2) to tap expertise that is not available in-house; and 3) to obtain objectivity.
- Outsourced functions fall into three categories: planning, implementation, and evaluation.
- Funders may worry about delegating appropriately or feel a loss of control. Depending on the type of work, funders may feel removed from their grantees or become too dependent on the consultant.
- Not all grantmakers will feel comfortable with outsourcing, but for those that do and do it smartly, the result can be greater efficiency and, ultimately, an increase in the positive impact of their grantmaking.