The document defines outsourcing as contracting a business function to a third party. It then asks some questions about outsourcing, including asking for examples of companies that outsource and reasons a company might decide to outsource some work. Finally, it provides an activity where the reader takes on the role of a CEO considering outsourcing some functions to save costs.

1. Outsourcing

2. Q.
What do you understand by the term
outsourcing?

3. Out + Source= Outsourcing

4. A.
Outsourcing is the practice of contracting
a business function to a third party

5. •Do you know of any companies that
outsource?
•Why might a company decide to outsource
some of its work?

6. Reading
Read carefully and find the order.

7. Listening
Pros and Cons of Outsourcing
http://www.youtube.com/watch?v=90a2qHYqMoU

8. As the world is getting smaller, more companies are now
making decisions to outsource some of their work.
<Activity>
You are the CEO of a major car company.
You know you can save millions of dollars in staff costs by
outsourcing.
Name your car company.
You must choose one country as your outsourcing base.
With your partner(s), discuss the possible advantages and
disadvantages.
ADVANTAGES DISADVANTAGES