What is Outsourcing?
The contracting of management and/or execution of a business or operational function to an external third party contractor or sub-contractor. Outsourcing can refer to either a product or service but most commonly refers to services. Outsourcing has been a feature of the business world for hundreds of years and it is simply a typical modernised term for "contracting out". Note that the business or operational function can be outsourced to either a domestic or foreign third party contractor. The key factor here is that the service be performed by an external third party contractor, not simply by a department or division of the same company. Benefits of outsourcing: the acquisition of specialized services required on a limited or temporary basis; quick solution to a temporary overload work or task; ability to concentrate on the organization's focus on its core competencies; potential to save money. Almost any business or operational function can be outsourced,...