Recently my company has been learning about Tim Ferris, the author of the 4-Hour Work Week. It talks about how one can outsource her life and business to others so they make the most out of their time. The concept is pretty simple: if you make $30/hr, then instead of doing 4 hours of mundane tasks yourself, you can do one hour of work, make $30, and pay 3 people with $10/hr. That way you did one hour of work, but you accomplished 4 hours of tasks. You now then have the rest of the three hours to do whatever you want (including make more money at your rate).
Our company is looking at ways to outsource and automate too. We want to do everything, but do everything only once (Robert Kiyosaki’s suggestion). Once we set up a system, we can slowly start to replace ourselves with someone who can learn how to do it. Michael Gerber often refers to this as “work on the business, not in the business.” We plan to build a money-making machine, and then automate it so we can develop more innovative stuff.
My company then decided to look at a few places overseas that offer offshoring services. Whew! Americans are going to be in trouble soon (if people don’t already think they are in big trouble from the financial crisis). Lets just say this very professional firm that has been operating for nine years with 180 engineers, who also happen to have built dozens of websites of large brand name firms that you have heard of in multiple countries. The keypoint: they charge 20% of what a service firm like this in the US would charge. Go figure.