Why Is Outsourcing a Viable Alternative for Organizations? What Are

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Why is outsourcing a viable alternative for organizations? What are the major potential advantages and disadvantages of outsourcing? Value chain analysis and Six Sigma are processes used to improve quality and ensure that value is added by each technique and at each stage in a process.For the compensation system,the basic question to ask is,"Does each specific activity directly contribute to our objectives?" If some added value is not apparent,then the question is,"How should it be redesigned? Or should it be dropped?" Of those activities that do add value,the next question is,"Who should do it?" "Should the activity be done in-house,or can others do it more effectively? That is,should it be outsourced?"