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Five Causes of Outsourcing Failures

5 Causes of Outsourcing Failures

Posted on October 5, 2015

What causes an outsourcing project to fail? Lack of communication, high expectations, negative public opinion, poor quality, and lack of communication are some of the top reasons an outsourced project could fail.

With the growth of a company, comes the increasing need for assistance in a variety of areas such as IT support, customer care, or production. While some enterprises will choose to recruit new employees to handle the increase in the workload, other companies will choose to outsource the extra work to external service providers. Outsourcing is indeed an effective way to meet the increase in labor needs while maintaining low costs.

However, outsourcing can sometimes fail due to several underlying risks.
What are these risks? And how can your enterprise mitigate them? Here is a list of some of the risks that could send an outsourced project into the depths of failure:

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