The management of Finitos, a stationery manufacturer, wanted to cut down its fixed costs to increase the profits of the company. As a result, it drastically reduced its HR staffs and hired an external agency to manage basic HR functions such as payroll and benefits. To achieve Finitos's objective, the management of the company most likely employed _____.

Question

Quizplus · Accepted Answer

Outsourcing is the practice of hiring external agencies to perform tasks, handle operations or provide services for the company. In this case, Finitos outsourced its HR functions to an external agency to reduce fixed costs.

The Management of Finitos, a Stationery Manufacturer, Wanted to Cut