With the changes in corporate world over the last decades, including the extensive use of technology, many of the activities are transformed and even various newer concepts have been adopted in the working of the businesses. Indian organizations too had to be responsive to swiftly changing business
environments. It is known that basic functions of any business are production, marketing, finance and human resource management. To start a business and to run it on continuous basis, these four functions need to be carried on daily basis. With the advent of time, various activities related to these basic functions have gone under change. Previously it was considered that all activities should be performed within the premises of the organization with its own personnel. or this very purpose, individuals were recruited and were tried to be retained in the organization. Complete professional and financial care of such recruited individuals was the prime responsibility of the organization. With passage of time and increasing scarcity of resources, the organizations are
pressurized to cut down total cost related to various business activities. At this point of time, companies started looking for cheaper sources of resources and also for getting the activities done at lower cost. For example, a company may not undertake the work of publicity and advertising by itself but may prefer to hire an agency for the same. Similar practices were adopted while managing human resources. Like, the companies do not spend time in recruiting individuals but hire an agency for the same. Similarly, after sales services are not done by the company personnel but provided by some hired agency. This article focuses on the comparative analysis of outsourcing business activities and carrying on the activities within the organization by its personnel.
Outsourcing, Hiring, Recruitment, Human, Resource Management