What is an outsourcing company?

It means that in the process of implementing the management system, enterprises outsource those non-core departments or businesses to corresponding professional companies, which can save a lot of costs and is conducive to efficient management.

Outsourcing allows you to focus more on your core business. Improve the overall quality of products for executives when they focus on their professional business. Outsourcing liberates the company's financial capital and uses it for activities that can achieve the maximum profit return.

Extended data:

Outsourcing terminology

1, application service provider (ASP)

ASP is an enterprise that provides computer network applications, such as e-mail services, payroll management and ERP applications.

2. Business process outsourcing

Business process outsourcing refers to the outsourcing of front desk functions and logistics services, especially the outsourcing of white-collar and clerical work, such as accounting, human resources, medical coding and medical transcription.

3. Competitive outsourcing (competitive outsourcing)

Competitive content refers to the process in which employees in an enterprise bid for a specific business with a competitive third party. See inner package.

4. contract manufacturing

Contract production refers to outsourcing a productive work to a third party at home or abroad, and the entrusted party has the equipment, facilities and production technology to accept the contract.

5. Cooperative procurement

Collaborative outsourcing means that the business functions of an enterprise are completed by internal employees and external forces with professional knowledge, such as consulting companies.

6, equipment management (facilties management)

Equipment management is a specific outsourcing solution, which means that customers choose an outsourcing provider to be responsible for the operation and maintenance of one or more of their equipment.

7. coercion

Internal outsourcing is a contingency measure of outsourcing, that is, outsourcing functions are completely handed over to another department within the enterprise. In other words, it is to undertake the work from other departments by improving the operation of a certain field. In the United States, the word is also used to refer to foreign companies that invest and employ American employees in the United States.

8. Offshore operation

Offshore outsourcing refers to the outsourcing of business to domestic companies, which is characterized by short distance, convenient contact and being in the same or similar time zone.

9. Offshore outsourcing

Offshore outsourcing refers to outsourcing business to overseas companies and outsourcing business to companies in neighboring countries, sometimes called offshore outsourcing (see the previous article).

10, service level agreement SLA.

SLA refers to the attachment document (or separate contract) of outsourcing contract, which stipulates the type, value and provision conditions of outsourcing services. Generally speaking, SLA is the stipulation of quality, such as reflecting time, effectiveness, speed, etc.

1 1, * * * Shared service

* * * Enjoying service refers to outsourcing the business functions needed by other departments of the enterprise to a department or team with special skills. For example, the purchasing department of a manufacturing enterprise can provide purchasing services for all production units of the company, and the services can also be outsourced to a third-party service company.

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