Traditional
outsourcing
- an organisation hires an outside service provider to provide
one or more business functions that were previously provided
internally by the organisation
- Outsourcing can enable organisation to reduce costs, accelerate
time to market, and take advantage of external expertise
Enterprise
partnership outsourcing
- It is to develop a new organisation that is wholly or partially
owned by the outsourcing entity to take on the activities that are
externalized
- It can be controlled by the outsourcing entity
Describe the
differences between traditional outsourcing and enterprise
partnership outsourcing
- traditional outsourcing is completely independent from
outsourcing organisation, whereas an enterprise partnership
outsourcing is wholly or partially owned by the outsourcing
organisation
- There is little or less control over the quality of products in
case of traditional outsourcing, whereas an enterprise partnership
outsourcing can result in providing ultimate control to the
outsourcing organisation
- In case of traditional outsourcing, acontract has to be created
everytime a project concludes, whereas in an enterprise partnership
outsourcing project renewal is not necessary