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The Outsourcing Decision Matrix

The Outsourcing Decision Matrix

Analyzing the Make-or-Buy Decision

Make it yourself, or outsource to someone else?

When considering outsourcing, many organizations start with the same question: Which activities should we outsource, and which tasks should we do in-house?

For instance, imagine that you work in the healthcare industry. Should you outsource your cleaning staff, or hire in-house cleaners? Would the decision be the same for an IT company? If you worked for an airline, would you outsource your catering, or hire cooks directly? What if you managed a luxury hotel?

These are complicated questions, and the answers can have huge effects on your organization’s short-term and long-term success.

 

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