University of Phoenix Wk 4 Advantages of Outsourcing and Aggregation Paper

Write a 525- to 700-word paper that addresses the following:

Provide a detailed overview of the advantages of outsourcing and aggregation and describe 2 to 3 cases of when it may be most effective for a company to pursue outsourcing opportunities.

Evaluate potential risks to using a third party within one’s supply chain, as well as possible consequences for a company’s supply chain if things were to go wrong.

• Select a company of your choosing and determine 1 or 2 products or services that may benefit from outsourced production (e.g., a product with high production costs, high warehousing costs, 24/7 customer service needs, website development/maintenance).
• Determine the product lead time needed and develop a timeline from the initiation of the project-to-project completion.
• Research third parties for possible outsourcing opportunities and appraise the third party’s estimated labor and production costs, warehousing capacity, transportation modes/channels, quality assurance practices, and other relevant factors, as applicable.
• Assess potential problems and solutions in each of these areas.
• Determine whether it makes sense for the company to outsource its product or service based upon a comparison of all the variables involved and summarize your conclusions using relevant examples.