IDEAS home Printed from https://ideas.repec.org/a/pcz/journl/v13y2016i1p145-156.html
   My bibliography  Save this article

OUTSOURCING IN CONTIDIONS OF SMEs – THE POTENTIAL FOR COST SAVINGS

Author

Listed:
  • Marek Potkany

    (Technical University in Zvolen, Slovakia)

  • Renata Stasiak-Betlejewska

    (Czestochowa University of Technology)

  • Robert Kovac

    (University of Pardubice, Czech Republic)

  • Milos Gejdos

    (Technical University in Zvolen, Slovakia)

Abstract

Many enterprises face the issue with increasing own overhead cost and take an effort to reduce it, what is a base for using of outsourcing principles. Outsourcing is primarily used as a strategic tool for corporate resources optimizing. Enterprises decide to remove some supporting activities to external units, which can be provided with ensuring a higher quality and lower costs. These decisions result in increasing attention to a core business orientation and costs reduction. The main purpose of the paper is the cost savings quantification, what is supported by the research results focused on the use and the possibilities of outsourcing in Slovakian SMEs. There was proposed a general model for an economic efficiency evaluation for potential use of the outsourcing through determination of expected costs savings as a result of the research study.

Suggested Citation

  • Marek Potkany & Renata Stasiak-Betlejewska & Robert Kovac & Milos Gejdos, 2016. "OUTSOURCING IN CONTIDIONS OF SMEs – THE POTENTIAL FOR COST SAVINGS," Polish Journal of Management Studies, Czestochowa Technical University, Department of Management, vol. 13(1), pages 145-156, June.
    • Handle: RePEc:pcz:journl:v:13:y:2016:i:1:p:145-156
    as

    Download full text from publisher

    File URL: http://pjms.zim.pcz.pl/PDF/PJMS131/Outsourcing%20in%20Conditions%20of%20SMEs%20%E2%80%93%20the%20Potential%20for%20Cost%20Savings.pdf
    Download Restriction: no
    File URL: http://pjms.zim.pcz.pl/-articles-13.1.php
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Aronsson, Thomas & Koskela, Erkki, 2009. "Outsourcing and optimal nonlinear taxation: A note," Economics Letters, Elsevier, vol. 102(2), pages 135-137, February.
    2. Pawe³ Szlêzak, 2014. "It Profiles In Request Of Outsourcing And Final Customers," Polish Journal of Management Studies, Czestochowa Technical University, Department of Management, vol. 9(1), pages 225-232, June.
    3. Janusz Grabara & Sebastian Kot, 2010. "Business Relations in Reverse Logistics Outsourcing," Economic Analysis, Institute of Economic Sciences, vol. 43(1-2), pages 99-107.
    4. Alberto López, 2014. "Outsourcing and firm productivity: a production function approach," Empirical Economics, Springer, vol. 47(3), pages 977-998, November.
    5. Dante Di Gregorio & Martina Musteen & Douglas E Thomas, 2009. "Offshore outsourcing as a source of international competitiveness for SMEs," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 40(6), pages 969-988, August.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Jaroslav Belas & Jan Dvorsky & Ludmila Kozubikova & Martin Cepel, 2019. "Important Factors of SMEs Entrepreneurial Orientation," Economic Studies journal, Bulgarian Academy of Sciences - Economic Research Institute, issue 3, pages 165-179.
    2. Ezekiel Leo & Quang “Neo” Bui & Olayele Adelakun, 2022. "Outsourcing for Sustainable Performance: Insights from Two Studies on Achieving Innovation through Information Technology and Business Process Outsourcing," Sustainability, MDPI, vol. 14(4), pages 1-16, February.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Aronsson, Thomas & Koskela, Erkki, 2008. "Optimal Redistributive Taxation and Provision of Public Input Goods in an Economy with Outsourcing and Unemployment," Umeå Economic Studies 759, Umeå University, Department of Economics.
    2. Krzysztof Zborowski, 2013. "Logistics Outsourcing In Management Strategy In Sme – Survey Results," Advanced Logistic systems, University of Miskolc, Department of Material Handling and Logistics, vol. 7(1), pages 117-124, December.
    3. Caroline Stiel, 2017. "Modern Public Enterprises: Organisational Innovation and Productivity," Discussion Papers of DIW Berlin 1713, DIW Berlin, German Institute for Economic Research.
    4. Thomas Aronsson & Erkki Koskela, 2010. "Redistributive Income Taxation under Outsourcing and Foreign Direct Investment," CESifo Working Paper Series 3051, CESifo.
    5. Aronsson, Thomas & Koskela, Erkki, 2009. "Outsourcing, Public Input Provision and Policy Cooperation," Umeå Economic Studies 799, Umeå University, Department of Economics.
    6. Michela Pellicelli, 2018. "Gaining Flexibility and Innovation through Offshore Outsourcing," Sustainability, MDPI, vol. 10(5), pages 1-12, May.
    7. Hernández, Virginia & Nieto, María Jesús, 2016. "Inward–outward connections and their impact on firm growth," International Business Review, Elsevier, vol. 25(1), pages 296-306.
    8. Byungjoo Paek & Joohyun Kim & Joonyoung Park & Heesang Lee, 2019. "Outsourcing Strategies of Established Firms and Sustainable Competitiveness: Medical Device Firms," Sustainability, MDPI, vol. 11(17), pages 1-28, August.
    9. Yang, Huixiao & Ou, Jinwen & Chen, Xiaofeng, 2021. "Impact of tariffs and production cost on a multinational firm's incentive for backshoring under competition," Omega, Elsevier, vol. 105(C).
    10. Martina Musteen & Mujtaba Ahsan & Taekyung Park, 2017. "SMEs, Intellectual Capital, and Offshoring of Service Activities: An Empirical Investigation," Management International Review, Springer, vol. 57(4), pages 603-630, August.
    11. Ingi Runar Edvardsson & Guðmundur Kristján Óskarsson, 2021. "Outsourcing of Human Resources: The Case of Small- and Medium-Sized Enterprises," Merits, MDPI, vol. 1(1), pages 1-11, May.
    12. Asimakopoulos, Grigorios & Revilla, Antonio & Rodríguez, Alicia, 2023. "International R&D sourcing, innovation and firm age: The advantage of ‘born-international sourcers’," Technovation, Elsevier, vol. 122(C).
    13. Damian Kedziora & Elzbieta Klamut & Timo Karri & Andrzej Kraslawski, 2017. "Higher Education Offshoring as an Innovative Response to Global Learning Challenges," International Journal of Management, Knowledge and Learning, International School for Social and Business Studies, Celje, Slovenia, vol. 6(2), pages 239-260.
    14. Baier, Elisabeth & Rammer, Christian & Schubert, Torben, 2015. "The Impact of Captive Innovation Offshoring on the Effectiveness of Organizational Adaptation," Journal of International Management, Elsevier, vol. 21(2), pages 150-165.
    15. Huwei Wen & Yutong Liu & Fengxiu Zhou, 2023. "Promoting the International Competitiveness of Small and Medium-Sized Enterprises Through Cross-Border E-Commerce Development," SAGE Open, , vol. 13(4), pages 21582440231, November.
    16. Maximilian Palmié & Marco Zeschky & Stephan Winterhalter & Philipp Walter Sauter & Naomi Haefner & Oliver Gassmann, 2016. "Coordination mechanisms for international innovation in SMEs: effects on time-to-market and R&D task complexity as a moderator," Small Business Economics, Springer, vol. 46(2), pages 273-294, February.
    17. Khraishi, Ahmad & Huq, Fahian & Paulraj, Antony, 2020. "Offshoring innovation: An empirical investigation of dyadic complementarity within SMEs," Journal of Business Research, Elsevier, vol. 118(C), pages 86-97.
    18. Eliane Choquette, 2019. "Import-based market experience and firms’ exit from export markets," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 50(3), pages 423-449, April.
    19. Calabrese, Giuseppe Giulio & Manello, Alessandro, 2018. "Firm internationalization and performance: Evidence for designing policies," Journal of Policy Modeling, Elsevier, vol. 40(6), pages 1221-1242.
    20. Aronsson, Thomas & Koskela, Erkki, 2009. "Optimal Income Taxation, Outsourcing and Policy Cooperation in a Dynamic Economy," Umeå Economic Studies 784, Umeå University, Department of Economics.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:pcz:journl:v:13:y:2016:i:1:p:145-156. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Paula Bajdor (email available below). General contact details of provider: https://edirc.repec.org/data/wzpczpl.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.