Top 15 Misconceptions on Outsourcing New Product Design for Physical Products & Goods

Good product design is critical for any business or brand to succeed. The design must fulfill the needs and wants of the end user. Designing and developing a new product is very challenging and requires research and expertise in order to transform the product concept into a working prototype and finally, create a final product that is ready to launch to the market. Cad Crowd helps brands bring their product to life by connecting them with a worldwide network of design professionals who can assist companies from conception to completion. You can easily choose a freelance designer who is customized to meet your product’s particular requirements and features.

There are many benefits to outsourcing product design. First is cost savings. Hiring an in-house designer means the company needs to pay salaries, allocate office space, and provide necessary equipment and resources, which all contribute to increased overhead costs. Outsourcing the product design process allows the team to save on all these extra expenses when hiring a freelance supplier who will provide the necessary specialized service. Another benefit would be a shorter timeline and a simplified process. The current company’s team can work in parallel and focus on operations while the outsourced designer handles the entire product design and development process.

While outsourcing the design of physical products and goods is quite common, many companies are still apprehensive about working with outside service providers. The reason why many brands and businesses are still hesitant to outsource specific processes and projects is because of many myths that have become widespread in the industry. Here are some of the top misconceptions among most companies about outsourcing the design of new products development:

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1. Businesses and companies do not have full control over the product design process.

False. Most brands believe that outsourcing the design of their physical products firm and goods to external suppliers will result in losing total control of the final output. This is a myth because actually, it’s the company itself that dictates every step of the project and process, provides detailed instructions, requirements, and specifications, and ultimately approves every design decision, no matter how small.

Most, if not all, design projects that are outsourced always go through regular reviews. Designers are required to check in through every major step of the design process for approval or revision. In reality, it’s the company that makes the final decision, keeping full control of the entire process. The outsourced designers serve as an extended arm of the team only for the duration of the project.

You don’t have to worry about your outsourced team taking over the project. They defer to the company and will work collaboratively at all times.

2. Outsourcing product design will result in poor-quality outcomes.

There is a mistaken belief among companies that having design work outsourced will mean that the end product will be low quality because in-house design is better and superior. This assumption is completely wrong because outsourcing actually gives companies access to designers with specialized expertise and skill, and years of knowledge and experience to back it up.

Outsourced designers from other countries may be even better candidates than existing in-house applicants. Many outsourced designers have had working experience in different industries consultation and businesses and can probably bring tons of insights and best practices from previous projects. Sometimes, the quality of work depends on the person you hire, regardless of where they are located.

3. Only large companies can benefit from outsourcing product design.

Outsourcing is not just limited to big companies. In fact, it can be very helpful and beneficial for small startup companies and businesses. Most of the time, smaller organizations do not really have enough resources to hire an in-house team of designers who can work full time, so outsourcing is the more reasonable and affordable option.

Hiring a full-time team can mean a lot of additional overhead costs that need to be allocated for salary, employee benefits, equipment, office space, etc. If a product needs to scale up, more people need to be hired, which means a lot more in-house employees. With outsourcing, companies can hire only what they need. This model allows smaller businesses to create physical products and goods and compete with bigger, well-known brands without incurring unnecessary expenses.

Plus, outsourced designers are very experienced professionals with specialized skills and expertise to complete the project within a timeline or schedule.

4. Communication and collaboration become difficult when outsourcing.

This is definitely a myth because modern technology has made it easier and simpler to communicate and collaborate with designers remotely, even if they are located in other cities or countries. Distance and time zone differences are no longer an issue because you can reach external team members all over the world with a variety of digital software design.

Companies and their outsourced design teams now have access to a range of instant messaging, video calling, project management, and even shared drives where everyone can easily access files like sketches, models, or prototypes.

In this day and age, it is very much possible to work with transparency, have clear documentation, and organized workflows thanks to various tools. Companies can review designs, make immediate decisions, and give feedback in real time. Plus, outsourced designers are used to scheduled meetings, time-based deliverables, and milestone reporting. A structured workflow makes it easier to track and document each phase of the design process so that everyone is aligned with the current status and the necessary steps that need to be done next. Basically, thanks to modern tools and software, collaboration and communication are now possible and very doable despite any distance.

5. Outsourcing product design is risky and unsafe for a company’s intellectual property.

Concerns about intellectual property are valid. For startup companies and small businesses, protecting original ideas and design concepts agency is a major issue that shouldn’t be taken lightly. You have every right to be worried and hesitant about handing over proprietary designs to outsiders.

However, these fears are misplaced because professional outsourced designers with credible reputations regularly deal with non-disclosure agreements (NDAs) and contracts in their day-to-day dealings with projects that are sensitive in nature. These legal documents are in place to protect confidential information and safeguard the client’s ownership and usage rights of their designs. Also, clients can utilize secure file-sharing platforms to ensure that their intellectual property is safe and protected.

6. The only benefit of outsourcing is that it’s cost-saving

Yes, it is true that outsourcing is cheaper for businesses in the long run. Many companies use it as a strategy to really cut down on costs. While outsourcing’s main advantage is reducing overhead costs that come with hiring a full in-house team, the bigger benefit is actually the opportunity to work with specialized experts and experienced design professionals.

Building an entire design team takes up a lot of resources, and sometimes the people that a start-up company needs to create a product may not be available in their location, or may be too expensive to hire full-time. Not only does outsourcing avoid incurring expenses from retaining employees, but you also get access to experienced designers who have already worked on previous projects involving the design of physical products. This helps businesses avoid starting completely from scratch and going through trial and error.

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As a result, the design and development timeline becomes shorter and more efficient. Instead of wasting time and resources on research and experimentation process, outsourced designers bring with them technical know-how and even proven best practices from past projects that can guide the entire team, both the company and the outsourced team. The outsourced team can also finish the project in less time because they are dedicated solely to the design task.

Plus, with the design work outsourced, managers can focus time and money, and even other staff, on core operations of the company like marketing and building relationships with partners and customers. In the end, it’s not just about lower costs but more innovative design, better work results, and improved efficiency in terms of schedule and timeline.

7. Outsourced designers will probably not understand the product’s brand.

This is completely untrue. Many companies believe that external designers will not be able to understand the brand, its philosophy, target market, or end users’ positioning. While this is valid because, after all, the brand is essential in order to capture the market’s attention, influence perception, and build the reputation, professional designers already know about all of this.

Before starting any project, any professional designer will address this by researching the brand ahead of time and learning about it. The research involves checking the brand book or guidelines, asking about the target audience, finding out the positioning of the product and its competitors in the market.

Once the designer understands the brand and learns how the physical product answers the company’s strategic goal, they can easily develop tons of product ideas consultancy that fit the brand’s identity. Creating mood boards, sketch studies, and design concepts is one way that companies can see if it fits their brand and also make any revisions for elements that don’t reflect the company. This will not be successful without regular feedback. The company also needs to check for consistency and be partly accountable for any or all decisions when it comes to the design of the product.

8. Outsourcing is limited only to simple designs for physical products and goods.

Outsourcing is not just for simple projects that can be done through sketching or modeling in CAD. What happens in real life is that companies hire outsourced external designers who are experienced in handling all stages of the entire product development life cycle. These professionals already know how to design and develop a product from the concept sketch to the preparation of the final files that are ready for manufacturing.

This kind of reliable support gives clients the ability to move through the entire project or process without having to hire many different kinds of people. Companies can be assured of seamless continuity and fewer coordination problems because the same team understands and is working on the project from the beginning all the way to the end, where the final product is packaged and ready for shipment.

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So, outsourcing is not just for simple tasks. It can be a very smart approach to managing difficult and complex product development projects.

9. The outsourced designers do not care about the success of the product.

Completely False. The success of an outsourced design professional is the overall satisfaction of the client because they rely on positive referrals and feedback from companies and businesses. So, outsourced designers feel very strongly about maintaining relationships with their clients by delivering very good products. In reality, they probably are more committed to the project compared to some in-house employees who think that a design project is just another routine task.

Any design work is important to an outsourced designer because successful projects immediately become part of the portfolio. The stronger the portfolio, the more chances for other companies to hire them for repeat projects or even long-term, sustainable collaborations in the future. Any successful project becomes a valuable addition to their capabilities, expertise, and experience. That’s why they will make sure to provide great work that ensures the client is always satisfied.

Another thing is that most outsourced designers see new design projects as a challenge and an opportunity to expand their knowledge. By working on a wide range of products from different opportunities, they get to develop innovative and unique design solutions.

10. Outsourcing product design takes much longer to finish than in-house design work.

Not True. Some companies probably think that working with outsourced designers is difficult to manage and that they will be a factor in slowing down the timeline of the project. It is the exact opposite. More often than not, outsourcing can shorten the design and development process and make things go faster in the timeline.

Why? Outsourced designers have specialized expertise. They have spent their entire design career focusing totally on developing new products. They already know how to work efficiently and fix common design mistakes in order to present sound product options, pinpoint any potential errors, and troubleshoot any issues and problems early on.

Also, outsourced designers are dedicated to working on a specific project during the duration of the contract. They are laser-focused on working with one designer during a time period. This is better than in-house teams, which are usually doing multiple tasks and jobs. Outsourcing can definitely be faster and have shorter timelines as long as they are managed properly.

11. Outsourcing product design can result in companies not learning anything.

This is also completely false. Businesses are worried that by outsourcing design work, the internal team will not learn anything. In reality, companies learn a lot when they work with outsourced designers. These experienced professionals are able to share knowledge about working with different products and companies from different industries.

Companies get to learn new insights and methods about the process, about the materials, and even about manufacturing the product. By sharing their expertise with the company’s representatives, there is a huge potential for improving the development of new and better product ideas in the future. The outsourced design can also prompt the company to discuss more about different kinds of materials, techniques for production, and even tips on better and innovative design.

Plus, companies also have access to all the documents, processes, design studies, and even technical information process of the entire project. In the end, partnering with outsourced freelance designers can be a great source of mentorship and a way to strengthen internal knowledge and design capabilities among companies.

12. Outsourced designers cannot coordinate with manufacturers.

It’s very common for companies to think that external designers do not know much about manufacturing or designing a product that is ready for mass production. In truth, product designers actually have a strong relationship and solid experience working with manufacturers. These outsourced people already understand how to create a production-ready design.

From the start of the conceptualization stage, professional designers already know how to develop and implement specific features into the product that can match the requirements of manufacturing. Their previous experience allows them to understand how materials should be utilized, how parts need to be assembled, and even how to suggest alternatives that can control rising production costs.

Outsourced designers already have experience with the development of the prototype, communicating and negotiating with suppliers while providing complete documentation for every step of the project. It’s this valuable experience of working with many manufacturers that results in outsourced designers being able to prepare for potential challenges and bring physical products and goods to life.

13. Outsourcing product design tasks is very limited.

Definitely a myth. There are many product design and development services that can be outsourced, from the product design concept to the prototype and features, to the packaging and label design, video presentations, marketing collateral, 3D animation services, and even other communication and visualization materials. All aspects of the design and development process for physical products and goods can be successfully outsourced to ensure that these are not just attractive and appealing but functional and can solve user problems as well.

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Outsourcing these services saves you money on hiring multiple in-house designers to the team with varying skills and backgrounds. Thus, you don’t have to exhaust resources in maintaining and managing a large group of internal employees. Instead, you can choose different specialized designers with different skills and expertise and assemble these outsourced professionals together to form a multi-disciplinary team.

14. Making revisions is difficult when working with an outsourced designer.

False. Revisions are a necessary part of the design process. There will always be instances of multiple feedback, and these clients will always request changes. Just because you are working with an outsourced design team doesn’t mean it is easier or more complicated. What’s important is that the designer is experienced enough to work with multiple revisions, changes, and iterations.

Outsourced designers are already aware of this workflow. They manage the inevitable revisions by already presenting multiple design studies and variations in the concept stage alone. This way, clients can explore different ideas before picking the final concept. Also, with the help of digital design tools expert, designs can be revised and adjusted quickly and with just a few mouse clicks. Afterward, the new and updated versions can automatically be presented to the client for approval through shared drives and messaging platforms. Once approved, everyone moves on to the next phase of the project easily.

15. Outsourcing negatively affects innovation in the long run.

One last misconception is that companies are afraid of outsourcing because their capability to innovate as a small start-up business will be weakened and limited. To be clear, outsourcing does not replace innovation or design thinking. Outsourcing complements the internal company’s vision by adding outside expertise.

Outsourced designers provide specialized knowledge, new insights, different perspectives, and best practices from different industries and technologies. These new ideas and new learning can inspire the company to come up with more creative solutions. Outsourced technical skills are a valuable source of knowledge and internal improvement, and as a result, push for better products on the market.

The bottom line is that outsourcing product design for physical products and goods makes it easier and more affordable for companies that are in the product development stage. Instead of worrying about an in-house team of employees, you can choose from Cad Crowd’s wide pool of professionals. All you have to do is describe the project, the duration, the timeline, and any software requirements. Afterward, Cad Crowd will connect companies with a pre-qualified expert who not only fulfills your product requirements but also brings with them a lifetime of experience and expertise.

How Cad Crowd can help

Whether you need a product for corporate or individual end users, Cad Crowd offers a wide variety of services that can be fulfilled by world-class designers who will ensure that your product is functional, attractive, and ready to be launched into the market. Cad Crowd will transform your vision into reality, your sketch into production-ready projects. Our roster of skilled designers has the right experience you need to help you with every stage of the design process. Hire a highly specialized product designer from Cad Crowd today and get the service you need. Contact Cad Crowd today for a free quote!

MacKenzie Brown CEO

MacKenzie Brown is the founder and CEO of Cad Crowd. With over 18 years of experience in launching and scaling platforms specializing in CAD services, product design, manufacturing, hardware, and software development, MacKenzie is a recognized authority in the engineering industry. Under his leadership, Cad Crowd serves esteemed clients like NASA, JPL, the U.S. Navy, and Fortune 500 companies, empowering innovators with access to high-quality design and engineering talent.

Connect with me: LinkedIn ✦ X ✦ Cad Crowd

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