Outsourcing is the transfer of a business function to an outside supplier and involves a degree of two-way communication, co-ordination and trust between the outsourcer and the supplier. Its advantages are numerous, namely:

• Reduced costs (wages, statutory contributions, office equipment etc…)
• Ability to concentrate on core business activity.
• Freeing up of valuable resources.
• Increase output through more resources at lower costs.
• Access to specialised services.
• Benefit from time zone advantages.
• Offer better service and retain customers.
• Grow market share and profit.

Popular outsourced business segments include information technology, human resources management, customer support, manufacturing and accounting amongst others.

Overall outsourcing is viewed by many organizations as a strong business tactic that ultimately is a superior economical approach to developing products and services.

Business Process Outsourcing is a strong business tactic that ultimately is a superior economical approach to developing products and services.