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Cost Reduction Through Outsourcing

Joseph Joy
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Joseph Joy: Deloitte Consulting LLP

Chapter Chapter 34 in Divestitures and Spin-Offs, 2018, pp 425-437 from Springer

Abstract: Abstract Some key concerns for C-suite executives who are considering a divestiture include the operational and financial impacts of separating people, processes, and technology between the seller company and the divested entity. The financial impact of the separation is a key driver of deal valuation, while the operational impact is a key driver of deal probability and the deal timeline. Financial and operational impacts manifest themselves as both one-time events occurring at deal execution and ongoing effects such as stranded costs and dis-synergies between the entities involved in the deal.

Keywords: Divestiture; Company Sold; Financial Impact; Outsourcing Agreement; Global Services Location Index (search for similar items in EconPapers)
Date: 2018
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Persistent link: https://EconPapers.repec.org/RePEc:spr:mgmchp:978-1-4939-7662-1_34

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DOI: 10.1007/978-1-4939-7662-1_34

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