ABSTRACT
The importance of selecting outsourcing-insourcing partners should not be underestimated (Hamblen 2002). Other than the decision to use outsourcing as a strategy in the fi rst place, there is no more important decision than fi nding the right provider
(Mamaghani 2000; Michell and Fitzgerald 1997). That is why Chapter 4 discussed partner selection in international O-I and suggested a risk assessment methodology to aid in selecting an outsourcing partner. Chapter 5 demonstrated how rating/scoring metrics with multi-criteria scoring methods could be used to select outsource providers, while Chapter 6
illustrated various fi nancial methodologies that may be employed for this purpose. While these methodologies can apply to a broad range of decision-making situations, this chapter will focus entirely on the tactical step in O-I planning, and specifi cally the selection of an outsource provider. In addition, some of the methodologies suggested in this chapter can be used at the operational level of planning, where a client fi rm might wish to conduct a comparative analysis to evaluate a current outsource provider or select a new one. These areas of application to the international O-I planning process are presented in Figure 7.1.
