What is the greatest risk to an organization when it involves outsourcing?

Answered on : 2024-01-24

Sources

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Answer

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The greatest risk to an organization when it involves outsourcing is the lack of control over the outsourced process, which can impact the quality of the service provided [1]. When a business process that was previously executed by an in-house team is outsourced to external agencies, the organization has little to no control over it. If the service provider mismanages the outsourced process, it can have negative consequences for the organization [1]. Therefore, it is important for organizations to carefully manage and monitor their outsourcing arrangements to mitigate this risk.