Creating a strategy is vital, whether you want to clear college tests or go on a world tour. This principle applies to business as well. Every company needs to plan, research, strategise, visualise and set goals and targets.
Strategy research is key to making correct and productive decisions on time. With the help of accurate findings obtained from properly conducted research, an organisation can climb the ladder of success. Research plays a crucial role in almost every function or department of an enterprise.
From product development and sales techniques to capital funding and employee engagement, all of an organisation’s functions require research. Both types of research – quantitative and qualitative – are needed to operate well. While some departments or teams require research data to a small extent, others may require it to a large extent.
But without strategy research, a company may end up making losses or losing the trust of its stakeholders. Despite understanding the significance of diligent researchers, many companies are reluctant to employ them, likely because they are not clear about their exact function or are overwhelmed.
However, like functions such as customer service, strategy research can also be outsourced. Agencies that specialise in conducting research provide services to both big and small enterprises across industries and countries.
Why Not Conduct It In-House?
A large number of organisations prefer to handle crucial operations in-house in order to maintain data confidentiality and remain self-sufficient. Such organisations may find it difficult to trust another entity to manage its business strategies. Conducting research in-house would be the solution here.
Both methods of research – in-house and outsourcing – have their pros and cons. A company would need to select the method that best suits its specific needs and budget.
How To Choose
Choosing the best option is essential to ensuring profitability. We explain briefly the associated advantages and disadvantages below.
Communication
When the services of a strategy research agency are hired, you need to communicate your vision and mission statement, goals, targets, policies and more. You also need to make sure the agency interprets all this information correctly; this means a significant amount of time needs to be spent in oral and written communication.
On the other hand, your employees who work on-site learn a bit about your organisation every day. They gain insights into its operations, priorities, ethics and moral values. Holding discussions and meetings with a dedicated research team that works in-house is less time-consuming than doing so with an external agency.
Expertise
Not every company knows how to hire research executives, especially if it is new to research and strategy building. It could recruit employees who do not have adequate knowledge or experience in the field.
A company that offers strategy research support, however, is experienced in conducting research and analysing results.
Privacy
Data confidentiality is a major concern when deciding whether to outsource research. However, research companies sign agreements not to share or sell a client’s data and take other measures to ensure data security.
Cost
Cost is another factor that affects business decisions. Setting up and maintaining a team in-house to conduct research could be very costly and would include the cost of training and development programmes.
It is true that a research company would also charge fees, but most often, the benefits outweigh the cost, especially when the efficiency of the research providers is considered.
