Question

Recent outsourcing of parts and services that had previously been produced internally is addressed by which current issue facing operation management today?

Short answer

Minimizing cost

Step-by-step solution

Definition of outsourcing

When any business gives the task of doing a small or big business process to other companies who specialize in it, it is known as outsourcing.

Understanding the issue

Cost minimization is the most crucial issue being faced by the management. Every business tries to reduce its expenditure, and this is done by outsourcing. Outsourcing requires the company to spend less on infrastructure and setting up the department and get work by spending less.