Outsourcing Services

Outsourcing is the contracting out of an internal business process to a third party organization. The practice of contracting a business process out to a third party rather than staffing it internally is common in the modern economy. Outsourcing sometimes involves transferring employees and assets from one firm to another but not always.

The definition of outsourcing includes both foreign and domestic contracting, and sometimes includes off shoring, which means relocating a business function to another country. Financial savings from lower international labor rates is a big motivation for outsourcing/off shoring.