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Outsourcing Services: Fulfillment or Failure?
Abstract
The service sector and what is termed “service spend” (i.e., the actual amount spent on services) continues to drive the economy, yet the outsourcing of service activity receives little formal attention from management. This situation produces inefficiencies and missed opportunities to maximize value and, as such, creates dissatisfaction and ultimately failure within the bounds of the outsourcing relationship. With relational transparency, defined and communicated expectations, and a heightened sense of management involvement taken together as a baseline, firms engaging in service outsourcing may begin to see the promised fortunes that have heretofore been elusive.
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