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Reasons to Outsource

Financial Companies outsource with the intention of reducing costs. They want to reduce fixed costs and replace them with variable costs. By doing so, return on assets improves by selling unnecessary assets and from reducing inventory levels. [Pg.209]

Improvement Companies outsource with the intention of improving the quality of their products and services. This is accomplished by obtaining expertise, skills, and technologies that are otherwise unavailable in-house. Further, companies can improve productivity and shorten cycle times for introducing new products to market. [Pg.209]

Organizational Companies will outsource to improve their effectiveness by focusing on what they do best. In addition, companies [Pg.209]

Just as risk evolves and changes over time, so do outsourcing decisions. If outsourcing was favored in the past, there is nothing wrong with reversing this decision at a later date. Economic, social, and competitive reasons could favor insourcing. Airlines and computer companies outsourced call center support only to find that this move reduced customer satisfaction to the point that these companies reversed their earlier decisions. [Pg.210]


Finally, the case is developed that the focal firm has decided, for reasons discussed above or other, individual reasons, to outsource its core item. It is expected that the intention is to keep parts of the capability, such as design or technological skills, in-house, while other parts, such as, for instance, manufacturing, are purchased (Mclvor 2000). In general, several variants of buyer-supplier relationships exist, with different degrees of interdependence between the parties. This issue will be addressed in more detail in the following section. [Pg.91]

The roots of the big and medium pharma companies go back either to drugstores or chemical companies, the former prevailing in United States the latter, in European enterprises. The lack of a chemical manufacturing history is also a reason why US pharma companies en principe are more prone to outsourcing. [Pg.95]

The globalization of pharmaceutical companies means that, within the same company, the same assay may be carried out at different sites, within the same country or in a different continent. Under these circumstances, it needs to be assured that the assay transferred to each of these sites continues to perform as originally developed and validated. In addition to within-company transfers, there is an increasing tendency to outsource methods to contract research organizations (CROs). The method is usually developed within the innovator company and subsequently transferred to the CRO. The reasons for using CROs vary with the philosophy of the company. [Pg.265]

Many pharmaceutical companies outsource one or more of the control, manufacturing, and chemistry (CMC) processes, for which numerous regulatory agencies guidelines are available. Reasons for this outsourcing include but are not limited to ... [Pg.2501]


See other pages where Reasons to Outsource is mentioned: [Pg.2018]    [Pg.106]    [Pg.434]    [Pg.209]    [Pg.209]    [Pg.2018]    [Pg.106]    [Pg.434]    [Pg.209]    [Pg.209]    [Pg.15]    [Pg.20]    [Pg.178]    [Pg.122]    [Pg.11]    [Pg.292]    [Pg.165]    [Pg.87]    [Pg.87]    [Pg.90]    [Pg.136]    [Pg.147]    [Pg.142]    [Pg.20]    [Pg.435]    [Pg.438]    [Pg.80]    [Pg.7]    [Pg.420]    [Pg.327]    [Pg.8]    [Pg.83]    [Pg.45]    [Pg.227]    [Pg.24]    [Pg.409]    [Pg.280]    [Pg.335]    [Pg.360]    [Pg.89]    [Pg.669]    [Pg.440]    [Pg.190]    [Pg.861]    [Pg.101]    [Pg.2488]    [Pg.418]    [Pg.917]    [Pg.120]    [Pg.350]    [Pg.490]   


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Outsourcing

Outsourcing reasons

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