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Outsourcing of Manufactoring R&D Functions - Motives and Results (in Finnish with English abstract and summary)

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  • Jyrki Ali-Yrkkö,
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    Abstract

    This study analyses the motives and results of outsourcing. According to the results, companies have pursued outsourcing for a variety of reasons. Cost savings are the major driving force behind the outsourcing of production function. Increased flexibility, focusing and additional capacity are other important motives. In most cases, R&D outsourcing is driven by knowledge acquisition, but increasing R&D capacity and increasing flexibility are also important motives. In addition to outsourcing motives, another major result of the study concerns the results of out-sourcing. Approximately 50% of companies have completely achieved the original goals of outsourcing. Moreover, the targeted cost savings have been completely achieved in 40% of cases.

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    File URL: http://www.etla.fi/wp-content/uploads/2012/09/dp1071.pdf
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    Bibliographic Info

    Paper provided by The Research Institute of the Finnish Economy in its series Discussion Papers with number 1071.

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    Length: 16 pages
    Date of creation: 2007
    Date of revision:
    Handle: RePEc:rif:dpaper:1071

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    Related research

    Keywords: outsourcing; production; research and development; services; motives; success;

    This paper has been announced in the following NEP Reports:

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