Outsourcing has become a standard and accepted strategy for business leaders today thanks to the acceptance of the notion of “core competence” as the focal point for structuring a business. Many companies now have a mix of relationships with their own internal teams and supplier partners all over the world and striving for excellence in core areas while outsourcing the rest is common wisdom. After years of using these guidelines as a rule of thumb, companies now often resemble a web of relationships, with the head office connecting to other companies and internal teams located all over the world.

If you have the need to ramp up services in a particular area, how should you approach the decision? Can you increase the load on an existing service center? Or should you look at launching a new Request for Proposal (RFP)? Or should you initiate a project to build a new captive center?

This Neo Insights presents a comprehensive model that managers can use to analyze the affected roles and functions objectively, in order to reach a data-based decision as to where and how to expand their sourcing initiatives.