Definition

Verb: - To obtain goods or services from an external supplier or provider, rather than producing them internally. - To contract out work, especially to an outside company or a different country, often to reduce costs or access specialized skills.

Usage

The verb "outsource" is typically used in a business or organizational context. It is a transitive verb, requiring a direct object (the goods, services, or function being contracted out). It is often followed by the preposition "to" when specifying the external provider.

Examples

• The company decided to outsource its customer service operations.
• To cut costs, the manufacturer outsourced the production of components.
• Many IT firms outsource software development to specialized agencies.
• We are considering whether to outsource the payroll processing.

Advanced Usage

• "outsource something to somebody/something": This is the standard construction for specifying the external provider.
  • The corporation outsourced its manufacturing to a plant in another country.
• Used in passive voice:
  • The maintenance of the network is outsourced to a third party.
• Conceptual usage (beyond business):
  • Some parents feel they outsource too much childcare. (Metaphorically comparing using external childcare services to business outsourcing.)

Variants and Related Words

• Outsourcing (n): The action or practice of obtaining goods or services from an external source.
  • The outsourcing of jobs has been a controversial topic.
• Outsourcer (n): A company or entity that provides outsourced services.
  • They are a major outsourcer of call center operations.

Synonyms

• Contract out: To arrange for work to be done by another company under contract.
• Subcontract: To hire a third party to perform part of the work of a larger contract.
• Farm out: (Informal) To send work to be done elsewhere.

Antonyms

• Insource: To bring a previously outsourced business function back in-house.
• Internalize: To perform a function or produce a good within the organization itself.

Related Phrases and Concepts

• Offshoring: Relocating a business process or service to another country, which often involves outsourcing. (Note: All offshoring is a form of outsourcing, but not all outsourcing is offshoring.)
• Business Process Outsourcing (BPO): The contracting of specific business tasks, such as payroll or customer service, to a third-party service provider.

Verb

1. obtain goods or services from an outside supplier; to contract work out
   • Many companies outsource and hire consultants in order to maintain a flexible workforce