Topic > Outsourcing Case Study - 1055

Through outsourcing, operating costs are expected to decrease due to the availability of cheaper labor provided by a supplier. Additionally, the skilled labor brought in by the vendor makes up for the lack of experience while a project is conducted in-house. This way, the time taken would also be less than the internal one. With more budget and time available, the organization is better able to focus on other key issues. Outsourcing also involves the organization being offered access to internal resources by its partner company. Furthermore, once an outsourcing contract is entered into, the organization shares the risks with another partner company. Therefore, risks will be minimized for both parties with respect to conducting the project