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Welcome to ‘The Outsource Blog’, forĀ  general discussion, news & views about Outsourcing and Offshoring. This group is for exchanging ideas, debating issues and collaborating with other industry professionals.

For our old archive starting form 2005, click here.

“Outsourcing” became part of the Business lexicon during the 1980s and refers to the delegation of non-core operations from internal production to an external entity specializing in the management of that operation. “Outsourcing” is utilizing experts from outside the entity to perform specific tasks that the entity once perform itself.

The process of “Outsourcing” formalizes the description of the non-core operation into a contractual relationship between the client and the supplier. Under the new contractual agreement the supplier acquires the means of production which may include people, processes, technology, intellectual property and assets. The structure of the client organization changes as the client agrees to procure the services of the outsourcer for the term of the contractual agreement.

The decision to “Outsource” is often made in the interest of lowering firm costs, redirecting or conserving energy directed at the competencies of a particular business, or to make more efficient use of labor, capital, technology and resources.

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