Questions: When a team decides that a task or function currently performed by company employees is a noncore competence, they are most likely to consider: - outsourcing - privatizing - continuing to buy - continuing to make - insourcing

When a team decides that a task or function currently performed by company employees is a noncore competence, they are most likely to consider: - outsourcing - privatizing - continuing to buy - continuing to make - insourcing
Transcript text: When a team decides that a task or function currently performed by company employees is a noncore competence, they are most likely to consider: - outsourcing - privatizing - continuing to buy - continuing to make - insourcing
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Solution

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The answer is the first one: outsourcing.

Explanation for each option:

  • Outsourcing: This is the correct answer. When a team decides that a task or function currently performed by company employees is a non-core competency, they may choose to outsource it. Outsourcing involves contracting out the task to an external organization or third party, allowing the company to focus on its core competencies.

  • Privatizing: This option is incorrect in this context. Privatizing refers to the process of transferring ownership of a business, enterprise, or public service from the government to private individuals or organizations. It is not related to the decision of handling non-core tasks within a company.

  • Continuing to buy: This option is incorrect. Continuing to buy implies that the company is already purchasing the service or product from an external source, which does not align with the scenario where the task is currently performed by company employees.

  • Continuing to make: This option is incorrect. Continuing to make suggests that the company will keep performing the task internally, which contradicts the decision to outsource a non-core competency.

  • Insourcing: This option is incorrect. Insourcing involves bringing tasks or functions back in-house that were previously outsourced, which is the opposite of what is described in the question.

In summary, when a company identifies a task as a non-core competency, outsourcing is the appropriate strategy to allow the company to focus on its core activities.

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