Outsourcing Service

Gordana Nikolic () and Dario Zoric ()
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Gordana Nikolic: Poslovna akademija Rijeka, Hrvatska
Dario Zoric: Poslovna akademija Rijeka, Hrvatska

Business Logistics in Modern Management, 2009, vol. 9, 257-264

Abstract: Companies have always been engaging special external associate, other complementary companies, for performing particular business activities through contracting their mutual access to the resources that were out of the possibility of their autonomous range. It can be said that all the familiar business concepts and activities represent the elements of outsourcing, however outsourcing today represents more of it. Outsourcing developed on an old concept of externalization with an overview on partnership between contracting parties. As a concept, in the last 50 years outsourcing resulted noticeable development from simple decision on “making or buying” to complex skill of managing the services. The market of outsourcing grew fast, which was mainly the consequence of highly specialized companies in service outsourcing and generally the need for companies to focus on the main business. Currently there are different kinds of outsourcing, determined by the level of autonomy and the organization form. Although from the financial point of view, service outsourcing brings certain risks which are to be considered in the decision making process. The process requires efforts in seeking the optimal level of procedures which had to be concede to external associate, but also in pursuit for the best service outsourcing provider. The paper elaborates substantial features of outsourcing, outsourcing in transportation, outsourcing in IT and outsourcing in supply.

Keywords: outsourcing; transportation; IT; supply; company (search for similar items in EconPapers)
Date: 2009
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