The conventional wisdom is that companies should not outsource core functions. This study of 34 large companies that outsourcing for at least two years shows that outsourcing can be successful even when information systems are considered as the main feature. However, outsourcing negotiations must reflect the role of carrying out the functions and nature of outsourcing external works. The critical key to success in outsourcing arrangements is to firmly contract, even if the supplier is considered as a strategic outsourcing partner or is considered to be the main feature. This article offers recipes for writing contracts and create a balanced arrangement to increase the success of outsourcing. "Hide
by Carol Saunders, Maria Gebelt, Qing Hu Source: California Management Review 18 pages. Publication Date: January 1, 1997. Prod. #: CMR075-PDF-ENG
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