SPHR Human Resources

Answer - A - It would not be advisable or appropriate to consider each vendor’s technological resources and capability until you have ascertained whether outsourcing is an appropriate option. Engaging in those sorts of comparisons is predicated on the assumption that outsourcing is an appropriate option.

Key Takeaway: Instead, these comparisons should not be made until and unless you determine that outsourcing is, in fact, an appropriate option. Comparing talents and abilities that are available internally to talents and abilities that are available through outsourcing is an appropriate consideration to engage in at this point in the process. The importance and complexity of the function that is being considered for outsourcing is an appropriate factor to consider at this point in the process. The degree of variability in transaction volume of the function that is being considered for outsourcing is an appropriate factor to consider at this point in the process.