CHAPTER 15
CHAPTER 15 :OUTSOURCING IN THE 21st CENTURY LEARNING OUTCOMES 19.1 Describe the advantages and disadvantages of insourcing ,outsourcing ,and offshore outsourcing. 19.2 Describe why outsourcing is a critical business decision. 1.Outsourcing Projects ➜Insourcing -common approach using professional expertise within an organization to develop and maintain the organization's information technology systems. ➜Outsourcing -an arrangement by which one organization provides service or services for another organization that chooses not to perform them in-house.They hired outside people because did not have expertise and focus on core competency. *The most common functions outsource is information technology. *Reasons companies outsource ➔Onshore outsourcing -engaging another company within the same country for services. ➔Nearshore outsourcing -Contracting an outsourcing arrangement with a company in a nearby country such as Singapore,Indonesia ,Th
