Step by step: Breaking outsourcing down into manageable phases

The phases of the outsourcing process and the actions required are discussed. The most difficult and the most important phase of o a successful outsourcing process is to know what activities to outsource. The criteria for suppliers selection must be developed and should cover the reasons why the activity is being outsourced, the expected benefits and potential dangers. Contract negotiation is a very important phase of the outsourcing contract in which rules of the outsourcing are set. The transfer of activity phase corresponds to the reassignment of control of the outsourced activity from the outsourcer to the contractor.