One of the reasons outsourcing is undertaken is to ________.
A) diversify the business portfolio
B) increase costs for the outsourcing vendor
C) cap an organization's financial exposure
D) enhance management's focus on nonessential functions

Question

Quizplus · Accepted Answer

Outsourcing can help an organization limit its financial exposure by transferring certain functions or tasks to an external vendor. This can mitigate the risks and costs associated with performing those tasks in-house, such as hiring and training employees, purchasing equipment, and maintaining facilities. It allows the organization to focus its resources on core competencies and strategic objectives while the outsourcing vendor handles noncore functions.

One of the Reasons Outsourcing Is Undertaken Is to ________