On outsourcing - six poll questions to help determine readers' views on the importance of outsourcing in their companies - Brief Article

Nation's Business, March, 1996

Background: Companies are turning increasingly to outside contractors to perform some of the companies' functions, from administrative jobs such as handling the payroll to manufacturing or assembling all or part of their products. (See the December cover story, "Growing More By Doing Less.") These questions seek your views on such outsourcing.

Results of this poll will be forwarded to administration officials and congressional leaders. Send the attached, postage-paid Reader Response Card. Or circle your answers and fax this page to (202) 463-5636.

1--What percentage of your firm's activities is outsourced?

1. Zero

2. No more than 10 percent

3. 11 to 20 percent

4. 21 to 30 percent

5. More than 30 percent

2--What kinds of activities do you outsource? (You can check more than one.)

1. Payroll/benefits administration

2. Taxes/accounting/auditing

3. Equipment maintenance/janitorial services

4. Manufacturing/processing/assembling

5. Marketing or sales

3--Why do you outsource? (You can check more than one.)

1. Reduces administrative costs

2. Lack of in-house skills

3. Gives managers more time to focus on products/services and business expansion

4. Lowers costs of providing products or services

5. Reduces need for further capital investments

4--How has outsourcing affected your firm? (You can check more than one.)

1. Lowered administrative costs

2. Lowered costs of providing products/services

3. Allowed the shifting of resources to business areas considered most important

4. Helped increase revenue

5. Had no measurable impact

5--Is your firm likely to outsource more functions?

1. Yes

2. No

3. Unsure

6--Are you considering bringing back in-house any function now outsourced?

1. Yes

2. No

3. Unsure