Outsourcing

Outsourcing as the name suggests refers to the process of subcontracting some work assignments to a third-party. In the current scenario, it is being sold as a hot cake - the process itself along with the information related to outsourcing has equal demands in the market.

The History Repeats Itself

Human beings have been outsourcing from the beginning of clustering and strategizing of societies. Initially we were capable of handling all sorts of activities related to life. Later we felt the needs of fundamental structuring of business processes which gave birth to division of labor which ultimately led to job specialization. Gradually, there aroused the profession of plumbers, carpenters, electricians, masons, barber, smith, cooks, postmen, surgeon, policemen, lawyers and so on.

Why Outsourcing - Specialization and Prioritization

With the development of the society, we started to realize the following:

• We have work to do more than we can single handedly handle
• We might not have the skills and competence to do all that we need to do
• It is better to allow others to do some work that requires some sort of framework that we don't have
• It is easier to make profit maximization with the reduced over-head costs
• Businesses cam always generate dynamism through conversion of fixed costs into variables
• When we ward off or transfer the non-core process to the external, it becomes easy to prioritize on the core process
• Diversification, the mother of profit maximization has its inception only in the outsourcing of non-core operations from our side

In a nutshell, a business process outsourcing always allows us to settle for specialization and set the pace for positive and developmental prioritization of our operations and activities associated with our life.