A question many managers face: do we manage it ourselves or contract with an external company? The answer isn't one for all cases.
The Objective Comparison
| Aspect | In-house operation | Outsourcing |
|---|---|---|
| The initial cost | Low | Nothing |
| Total cost | Higher (management + training + turnover) | Usually lower |
| Control and quality | Full | Depends on the company |
| Flexibility | Low | High |
| Specialization | Limited | High |
| Legal obligations | Full | The provider handles them |
When Is In-House Operation Better?
- The facility is very large and requires direct control
- The service is very sensitive to trust in an external party
- You have specialized staff that need permanent employment
When Is Outsourcing the Smarter Choice?
- Medium and small facilities — flexibility outweighs control
- Not wanting to manage the human resources of the staff
- The need for varied skills that are hard to build in-house
- The desire to focus on the core activity
Conclusion
Most facilities find outsourcing the smarter choice economically and administratively. But the decision remains specific to each facility.