Which of the following is NOT a reason for outsourcing?
A) avoiding long-term resource costs
B) enabling a firm to focus on functions it does best
C) improving internal management controls
D) gaining flexibility to change vendors at the end of contract periods

Question

Quizplus · Accepted Answer

Outsourcing is commonly done to achieve cost savings and gain access to specialized expertise. It can also allow firms to concentrate on their core competencies and business functions. However, outsourcing is not typically done to improve internal management controls. Rather, it may lead to challenges in communication and coordination with vendor companies. The option D might lead to more flexibility in choosing vendors, but it is still a potential motivation for outsourcing.

Which of the Following Is NOT a Reason for Outsourcing