New England Supply Chain Conference & Exhibition

APICS - The Association for Operations Management North Shore Chapter 20 and Boston Chapter 10    --   The Council of Supply Chain Management Professionals (CSCMP) New England Roundtable    --    The Northeast Supply Management Group, A Special Interest Group of ISM®

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The Top Ten Hidden Costs of Outsourcing

by Joe Petti

Clearly there are significant savings to outsourcing. Unfortunately there are some real hidden costs in outsourcing that are usually not considered in the typical evaluation process. By not considering these hidden costs, most companies find that the actual cost of the outsourced product is significantly more than they had forecasted.

These hidden costs can have a significant impact on operational profit, customer service levels and overall competitiveness.

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