Outsourcing can be defined as “the strategic use of outside resources to perform activities traditionally handled by internal staff and resources”. It is a business strategy in which an organization contracts out major functions to specialized and efficient service providers, who become valued business partners. This involves the transfer of employees from the company to the outsourcing company possessing the necessary skills, competencies, experience and technical know-how that will enable a more efficient approach in maximizing profitability.

Outsourcing has become a major trend in human resources over the past decade. It's the practice of sending certain job functions outside a company instead of handling them in-house. More and more companies, large and small, are turning to outsourcing as a way to grow while restraining overhead costs.

Outsourcing involves the contracting out of a business process to another party which will allow companies to attain specific targets allowing faster turn-around in terms of deployment of people and completion of desired objectives.