Outsourcing of the business processes of an industrial enterprise based on a comparison of actual costs

Abstract

Aim. The presented study aims to improve existing methods of economic justification for outsourcing.Tasks. The authors analyze existing outsourcing models; identify their typical stages; investigate qualitative and quantitative methods of economic justification for outsourcing, determine their advantages and disadvantages; develop a model that will more accurately substantiate the practicability of outsourcing business processes.Methods. This study uses scientific, analytical, generalized, and comparative methods to analyze existing outsourcing models and identify their typical stages. Qualitative and quantitative methods of economic justification for the transfer of business processes to an external contractor are used, and their advantages and disadvantages are determined with a focus on the methodological problems of quantitative justification for outsourcing.Results. A model that makes it possible to more accurately calculate the cost of auxiliary business processes of an industrial enterprise is developed with allowance for cyclical economic relationships between them. In the first stage, the costs of auxiliary business processes are allocated to consumer processes in multiple cycles, and conditions for completing cyclical calculations are checked. In the second stage, the actual cost of business processes is calculated. Based on this model, an algorithm of economic justification for the outsourcing of business processes of an industrial enterprise is developed.Conclusions. First, a common disadvantage of the existing tools for the justification of outsourcing is the problem of assessing the impact of transferring one or more business processes to an external contractor on the system as a whole and economic performance. Second, an original model for calculating the actual cost of auxiliary business processes is developed to eliminate the shortcomings of the existing tools. Third, the original algorithm for the economic justification of outsourcing business processes of an industrial enterprise is based on comparing the actual costs of a business process when performed by the enterprise internally and by a thirdparty contractor.