The leaders began to outsource a substantial part of its operations more than a decade ago to offload activities they declared non-core to reduce costs and improve strategic focus. Today, however, companies are looking for outside help for more fundamental reasons - to promote rapid organizational change, to launch new strategies, and to change the boundaries of the company. By doing so, they engage in transformational outsourcing: a partnership with another company to achieve rapid, significant and sustained improvements in enterprise performance. Based on a study of 20 companies that tried to practice, the author identifies four major organizational categories that can benefit from the transformational outsourcing. Home windows, such as TiVo, for example, need partners to expand rapidly. "Crouching Tiger," such as shops Christian families now cornered shortages in some key strategic opportunities to meet their aspirations. "Fallen Angels" - such as BP in the mid-1990s - to live in the trajectories and the need for strong performance steps to change their tactics. organizations and on the brink of survival - as a British national savings and investment was a few years ago - to transformational outsourcing to become a "Hide
" born again. "by Jane Linder, Juyne Linger Source: MIT Sloan Management Review 9 pages. Publication Date: December 1, 2004. Prod. #: SMR126-PDF-ENG