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Why Outsourcing


For companies to focus on core strategies especially in Supplychain, its better of to outsource its non core SCM activities. Core SCM actvities such as strategic Planning & Sourcing are still managed in house.
Non Core activities are mostly tactical and transactional such as warehousing & distribution which are volumeness and repetivite in nature can be outsourced.

What are the drivers for change:

Customer satisfaction
Availability of modern information technologies
The integration of the supply chain