Complete Outsourcing

Complete or Strategic Outsourcing

The meaning of complete outsourcing is that a large part of an enterprise activity, for example, the logistics, is transferred to another company. In this case, the external service provider takes over the staff, trucks, also hardware and software as well as contractual obligations from the enterprise.

Here are some characteristics of complete outsourcing:

  • Preparation and negotiation need a lot of time and money (advisor).
  • It is a long-term business connection.
  • There is a high dependence of the business partners in good and bad times.
  • There must be a high understanding of the needs of your business partner.

Sometimes, only strategic outsourcing is referred to as outsourcing, since the other forms of outsourcing (except partial outsourcing) are more or less internal forms of service specialisation.

If you have entered into such an outsourcing , you will have the chance  that the outsourcing will only fail in case of a fundamental breach of contract. If the business goes smoothly both companies will work together for a long time.