What Outsourcing Can Bring in the Long Run?

Abstract

Our research deals with dynamic aspect of outsourcing – in the world of business change is the only constant, nothing is permanent, which also holds true for the relationships in outsourcing. Thus we should think about the consequences of the termination of such a relationship, which could be terminated by both sides. Outsourcing can be an all-important strategic decision for the outsourcing company and for the company, which accepts orders from an outsourcing partner. In our research, we were especially interested in finding out what companies do and which measures are taken, if outsourcing is terminated and how companies respond to problems related to outsourced supplies. The research for this paper is based on the collection and analysis of both quantitative and qualitative data. A mail survey was conducted among 65 firms and five personal interviews were carried out with outsourcing decision makers, in order to get a deeper understanding of different responses to crises arising from outsourcing. More attention shall, therefore, be given to mutual exploration of motives and possibilities of both parties before entering a potentially short-sighted outsourcing relationship.