Abstract:

Today’s fierce competitive conditions have forced many companies to reduce operational costs. Therefore, companies have to look for new ways of managing organisations. Outsourcing is regarded as a strategic management technique to maintain their competitive position in the future. The use of outsourcing enables companies to reduce operational costs, improve product quality, focus on core competencies and minimize the risk of business failure. Today, the advantages of outsorcing go beyond the financial aspects. Cost reductions are not the only consideration of outsourcing. Therefore, the outsourcing decision must be more strategic than tactical. Nowadays, outsourcing implementation became a popular technique for almost every industry. The propensity of outsourcing has increased gradually especially in the service industry. Accommodation establishments within the tourism indutry are also being affected from this trend. The purpose of this study is to investigate the outsourcing implementations in accommodation establishments within the context of strategic outsourcing approach. Furthermore, the critical issues such as main risks of outsourcing and propensity to outsource have also been discussed in the light of previous emprical studies related outsourcing implementations in accommodation establishments

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