An Investigation of the Benefits of Using Outsourcing for Apparel Companies

Abstract

Local and international competition, economic crisis and lack of resources have prompted companies to look for different ways. Because of that, instead of performing all of the production functions, the companies concentrated on some of them and started to realize most of them through outsourcing. As a result, large manufacturing companies have been transformed into small workshops and are generally focused on management functions. The most important factor in the realization of this is outsourcing, and the companies continue to carry out their production activities with fewer employees, higher production volumes, cheaper and lower risks. Outsourcing provides great benefits for companies. In this study, a survey was conducted to investigate the benefits of outsourcing for apparel companies and the data obtained were evaluated. Research results have shown that the most important benefits of outsourcing today are “reducing costs”, “overcoming the demands beyond capacity”.