EXERCISE FIVE – Make or Buy Decision

https://www.cleverism.com/make-or-buy-decision-step-by-step-guide/

Thanks to this website for describing the steps in this decision-making process

QUESTION ONE: Most of us understand the quantitative aspects of the make-or-buy decision when it comes to hiring bookkeeping and accounting staff. Everyone aspires to hire someone with out-sized skills for a modest salary. However the qualitative aspects of the decision are the most difficult – and important here:

Qualitative factors to look at call for more subjective assessment. Examples of such factors include control over component quality, the reliability and reputation of the suppliers, the possibility of modifying the decision in the future, the long-term viewpoint concerning manufacture or purchase of the product, and the impact of the decision on customers and suppliers.

What qualitative aspects do small companies have to face in making the outsourcing decision?

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