What Is Outsourcing?
Outsourcing involves delegating specific tasks or functions to an external third-party provider. These providers are typically specialized firms responsible for delivering defined outputs within agreed parameters. Outsourcing is a transactional relationship where the emphasis is on completing projects or performing tasks rather than integrating with the client’s team or culture.
Key Characteristics of Outsourcing:
- Task-Oriented: Focuses on individual tasks or projects.
- Limited Control: The external provider manages operations, processes, and resources.
- Scalability: Easy to scale up or down based on project needs.
- Expertise: Access to specialized skills or technology.
- Short-Term Engagements: Often suited for temporary needs or one-off projects.