Outsourcing Has Many Potential Advantages

question 32

Multiple Choice

Outsourcing has many potential advantages.Which of the following is NOT a potential advantage of outsourcing as a means to create an agile,virtual organization?

• A) It can lower costs incurred when the activity outsourced is done in-house
• B) It can reduce the amount of capital a firm must invest in production or service capacity
• C) The firm's managers and personnel can concentrate on mission-critical activities
• D) Careful selection of outsource partners allows the firm to eliminate the need to learn and develop many of its abilities

---

Definitions:

Human Sustainability

The practice of ensuring human rights, well-being, and equitable opportunities are maintained for future generations.

Organizational Stakeholders

Individuals or groups with an interest or investment in the success and operations of an organization, such as employees, customers, and shareholders.

Flexible Working Hours

A work arrangement that allows employees to alter their workday start and finish times or work from different locations.

Environmental Uncertainty

The degree of unpredictability in an organization's external environment, affecting decision-making processes and strategies.