When people hear the word “outsourcing” it is usually associated with bringing on an extra set of hands to handle a marketing fulfillment or customer service project that a company’s current staff does not have time to do.
In the 2015 International Association of Outsourcing Professionals and Information Services Group’s State of the Industry Report, business were asked about their outsourcing activity expectations and 51 percent indicted they planned on pursuing more outsourcing opportunities for their companies.
The definition of outsourcing, however, is changing for chemical manufacturers, formulators and distributors and involves more than stuffing envelopes or managing customer service inquiries. Outsourcing can be a key strategic initiative that can help move a company’s sales needle.
One such resource is Direct Contact, an outsourcing supplier to the agriculture industry now making inroads into the structural pest management industry. The company, which was founded in 1997, offers chemical manufacturers, formulators and distributors turnkey sales and marketing solutions through its network of sales and marketing professionals.
Roger Wilson, project leader for Direct Contact, says outsourcing provides companies with a simple and clear way to achieve their goals.
“Our contractors’ experience in the field with the various active ingredients makes for an easier knowledge transfer and assimilation into the market,” says Wilson. “Because our people know the active ingredients, they only have to learn the specific formulations used for pest control.”
When is the right time to outsource? Wilson says Direct Contact’s services have proven valuable for companies when a product receives an expanded label, after a merger when the full-time sales force finds itself with an overflowing portfolio of products to sell or during transition periods following a merger or acquisition.
“We are comfortable working in compressed time frames usually associated with sales promotions, early order programs or product launches,” says Wilson. “Our clients know the contractors we work with are experienced and can hit the ground running.”
Direct Contact isn’t just a staffing agency there to provide a warm body. The company is deeply involved in the project management process from start to finish.
“We take a consultative approach to the process and work with clients to help them determine the exact needs of the project,” says Wilson. “We help them define sales goals and identify the marketing and customer service support and training needs that are required.”
Wilson says most of Direct Contact’s contractors have a blend of sales, marketing and technical backgrounds and can easily communicate technical concepts such as application rates, label usages and pest life cycles to clients.
“When a client has a need we can fix it with experienced professionals who know the lay of the land and know what it takes to get the job done,” says Wilson. “Our people really enjoy the opportunity to engage or reengage with markets they know well and put their experience to work.”
However, Wilson is quick to point out that Direct Contact’s staff is not there to take anyone’s job. Their role is to complement the company’s sales representatives or serve as a bridge during a transition periods in the hiring or merger process.
The lead time Direct Contact requires to hit the ground is usually between 30 and 45 days from the initial contact with the client but Wilson says they have been able to have staff in place within a week.
A NEW GENERATION. According to research from the Pew Research Center, there are more than 53 million millennial-aged workers in the United States workforce, surpassing Generation X (those aged 35 to 50).
Wilson says the company is adapting its services to reflect the shift in worker demographics where staying with one company from college graduation to retirement is a rarity.
“Today’s generation of workers will hold multiple positions with many companies over the course of their careers and during that time there be periods where their skills can be used as an independent contractor,” says Wilson. “We are able to tap into the expertise of people during those transitions and it is a win-win for both.”
The stability of the structural pest management market was attractive to Direct Contact and it helps that many current management teams at the major basic manufacturers have agriculture backgrounds and are familiar with its services.
Direct Contact’s business model makes it easy for companies when it comes to budgeting and planning. At one point most major companies have to manage by cost controls and that usually means controlling people expenses.
Using an outsourcing firm gives companies the flexibility to add experienced staff for a pre-determined length of time at a cost that is lower than hiring full-time staff when you factor in benefits and training expenses.
“Our clients can control costs in a single line item when outsourcing,” says Wilson. “Another benefit is the flexibility of our contracts. They all contain an escape clause that allows a project to be stopped should market conditions fluctuate or objectives change.” If a client is seeking full-time employees, Direct Contact’s sister company, Direct Resources, can assist with access to another deep pool of experienced candidates.
WHO’S AN IDEAL CONTRACTOR? With merger and acquisition activity strong among pest management companies, as well basic manufacturers and formulators, the market for would-be contractors is strong. With early retirements and force reductions as the result of mergers, Wilson says the company has a strong pool of talented candidates to choose from. Wilson says the company can identify and place experience levels as fresh as an intern right out of college to someone who is between jobs to a candidate who is looking for an “internship” on the other side of their career and only wants to commit to three days a week for a specified time.
“Our marketing for contractors is very straightforward — it is a word of mouth,” says Wilson. “We are always on the lookout for good candidates because the need is definitely there from our clients.”
Editor’s note: For more information about Direct Contact’s services or how to become a contractor, visit www.directcontact.com.
The author is a partner of B Communications. Email him at jfenner@giemedia.com.
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