The fact that businesses want to do jobs based on their abilities and skills has revealed a common practice of "outsourcing" or "outsourcing". Outsourcing both saves resources, downsizes and becomes lean, and they find the opportunity to focus on the jobs they know very well.

Importance of Outsourcing

There are multiple reasons why outsourcing is becoming increasingly important. The competition between businesses has reached a level that does not cause any mistakes. However, reducing costs by agreeing with producers working with lower costs is another important factor. As a result of the rapid advancement of information and communication technology, great advantages are achieved by using outsourcing in cosmopolitan areas and routine works.
Thanks to the flexibility that outsourcing gives us, the factors that cause problems are reduced or eliminated by being completely rejected. Especially in America, 65% of companies are outsourced by their human resources department. Outsourcing has many advantages for human resources. The most important of these is that it reduces the workload. For example, when training programs for company employees are to be carried out, tasks such as researching training companies are the responsibility of the human resources department. However, if the work is outsourced to a consulting company, possible mistakes will be prevented and time will be saved.
PricewaterhouseCoopers (PwC) Human Resources Consulting Services Manager states that outsourcing for human resources is attractive in two ways:

• It creates competitive advantage,
• Resources are used effectively,
• Costs are reduced,
• Service is taken as needed,
• There is no need to make technology investments,
• Confidentiality factor is successfully provided by experts,
• Salaries can be kept confidential, depending on preference.

If we consider the use of Outsourcing with its main lines, we can list the benefits it provides to us as follows:

• Focus on the core business,
• Collecting scattered data in a single center,
• The opportunity to reach the desired information in a short time,
• Protection of privacy,
• Saving time,
• Increase in efficiency,
• Using technology from outside,
• Work done by an expert,
• Ensuring more effective use of resources,
• Access to the best practices in the world,
• Savings in costs.

These factors have an important place in today's competitive environment. For this reason, outsourcing areas are increasing day by day.

Application of Outsourcing

If the manager decides to use outsourcing, he should seek answers to 3 key questions:
1. What is the potential competitive advantage that can be achieved in this activity by considering commercial values?
2. What is our potential vulnerability rate when there is a market failure?
3. How should we arrange control with suppliers to see the least damage? (considering elasticity of demand)
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