Can outsourcing work for smaller newspapers?

Posted by Carolyn Lo on March 13, 2008 at 10:38 AM
At a time when outsourcing is prevalent among major newspapers, Jim Rosenberg, Senior Editor at Editor and Publisher, questions how smaller newspapers can outsource newspaper printing. They are supposedly limited to smaller commercial printers within a local radius, but would they profit from a printer a few states or even a few countries apart?

Rosenberg argues that "even where potential partnerships exist, perhaps the most important obstacle is a difference in cultures."

Newspapers have tried to run commercial work in the past and some had succeeded. However, most did not because they failed to understand the marketplace or commercial printing business which requires "a very different mindset," in which quality is the top priority and deadline is not, according to Web offset Services President Sam Wagner.

Before an insourcing deal is considered, these questions should be answered, according to Wagner:
- If a newspaper failed once or twice to make a go of contract work, what are the chances a third party will succeed with the same equipment? Was it the press or was the color, auxiliaries, or automation inadequate?
- Are there nearby competitors?
- Is the sales force the right one for the job?
- Will a third party will make money?

Wagner does not believes that such an arrangement most likely will not be viable, but can succeed "with the right equipment in the right area."

Rosenberg proposes the alternative of leasing a newspaper's plant to a printer instead of outsourcing to someplace far from the readers. This would help meet deadlines and make sure deliveries are made on time, but it must be priced so that the printer makes a profit.

Read Rosenberg's full analysis here.

Source: Editor and Publisher

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1 Comments

tinasilvee said:

Outsourcing has so many benefits:
1) Cost Savings
2) Time Zone Benefits
3) Quick Turn Around Time
4) Standardizing Business Processes
and many more....

http://www.outsourcewebsite.com

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