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What is Outsourcing  

Member rating: 9 out of 10 stars (2 votes) | Words: | Submitted: Mon Jun 19 2006

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IS IN ORGANISATIONS Outsourcing What is Outsourcing Outsourcing occurs when a function or department of a company, which was traditionally guided by company staff, is instead completed by a third party. The nature of outsourcing has changed from facilities management and time sharing to functional outsourcing. A lot of companies are outsourcing telecommunications, system operations, management of PCs and the computing infrastructure, even strategic planning in some cases. This third party are sub-contracted to all parts of the information systems services to a company. There has been an increase in the amount of subcontracting, where firms do not carry out the whole of the production process themselves but subcontract some of their activities to other organisations. Subcontracting goes some way to explaining the vast growth rate in business services that occurred in the 1980s. It has changed since the early days of the industry in the early 1970s, when outsourcing relationships were essentially...

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