Outsourcing Strategy - Adopting A Holistic View

Is outsourcing all about cost reduction? In many cases it is, but there is much more that outsourcing can provide. In order to maximize the overall benefits, outsourcing strategies should consider, in addition to cost reduction, aspects such as business processes and operations quality improvement, business growth and modernization enablement, and transition and employee re-badging options. A good outsourcing operation provides constant improvement in terms of business processes and operations effectiveness and efficiency (as should be reflected by a detailed set of Key Performance Indicators).