Which of the following is a characteristic of outsourcing?
A) Outsourcing involves the transfer of a significant amount of management control from an organization to another;
B) Outsourcing involves two-way monetary transfer between two organizations;
C) Outsourcing involves turning employees of one organization into employees of another one;
D) Outsourcing involves establishing new sub-organizations to do the work that needs to be outsourced;
E) The outsourced services will be fully controlled by the service supplier without the need for any coordination.

Question

Quizplus · Accepted Answer

Outsourcing involves transferring specific tasks, operations, jobs, or processes to an external contracted third party for a significant period of time. This often includes transferring a degree of management and decision-making control to the service provider. Coordination and some level of control by the outsourcing organization are typically maintained, contrary to options B, C, D, and E which either misrepresent the nature of outsourcing or describe scenarios not inherent to all outsourcing relationships.

Which of the Following Is a Characteristic of Outsourcing