Outsourcing: In the Deepest Sense of the Word

  • April 25, 2011
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I have been searching for the most profound definition of the term ‘outsourcing‘ on the net. Yet, all of them seem to be well appropriate for their different interpretations. Going through a lot of browsing, skimming and collecting these meanings from different sources helped me a lot in breaking down these definitions with a fine-toothed comb.

In searching the web, we find some statements which do not thoroughly define the things we wanted to know like just the term “Outsourcing” for instance. Some information in the net gives us inaccurate or unsuitable ideas which hinder us from acquiring the exact meaning of a certain word. After a week of writing just about one topic which is “outsourcing,” I guess I have found the most precise definitions of the word that the web has given in the results page. According to it, OUTSOURCING is the passing on of tasks from an internal production to an external body such as a subcontractor. In recent times, it was also defined as the elimination of domestic staff to hire workers from another country where the employment cost is extremely lower than 50% from its own.

Outsourcing is also the concept of taking the internal functions of a certain company and paying an external organization or firm to do the tasks for them. The purpose of outsourcing is primarily to save money that is why transnational firms do offshore outsourcing. It serves to perk up quality and free internal resources of a certain company from other activities for them to focus on other more significant functions, tasks or departments within the company.

Outsourcing was first done in the data processing industry and later on evolved in the areas of telemarketing and contact or call centers. Outsourcing has indeed been a huge upsurge in the present day business allowing great opportunities especially for the third world countries to reduce their unemployment rate. In turn, to generate a great amount of revenue for their unstable economy.

With these, I hope readers will finally have a clear insight or idea of what outsourcing is all about. Before going on to the more complex details of outsourcing, it is important to know the basics including its accurate definition and its areas.

Source: http://www.businesstransformationoutsourcing.com/what-is- outsourcing.html .

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