Advantages and Disadvantages of Outsourcing

Outsourcing has both advantages and disadvantages. This research was a prospect to investigate and disadvantages of endorse outsourcing business and economics. As a consequence of using selective sampling technique, the samples of this study were 20 managers and director in the selected 20 small and medium enterprises in  different  types  of  industries  of  Chennai  that  have  for  applying  outsourcing system. The findings exposed that the majority of the respondents agreed that the advantaged included know-how, the potential and time to deliberate process, risk- sharing,  and  cost  reduction  such  as  recruitment  costs  and  operating  costs.  The disadvantage of using outsourcing included the risk of exposing not to be mention data  and  technology,  wrong  partners,  lack  of  customer  focal  point,  and  many hidden costs.