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1Benefits of Outsourcing ServicesJudy Thuy PhamHCS/370November 21, 2016Professor Kendra Slatton
2Benefits of OutsourcingOutsourcing has become a more common practice in both larger and smaller organizations. Larger and smaller companies alike can greatly benefit from outsourcing. Organizations such as Atwood Laboratories, which is a smaller company, can find themselves in a bind when they experience an influx of business. Not wanting the current staff to become overwhelmed, Atwood Laboratories needs to come up with a solution to meet the higher demands due to the closure of the larger facility. The solution they came up with is outsourcing patient billing to a company that specializes in patient billing. The Relationship of Outsourced Service & Impact on Organizational StructureYeboah (2013) defines outsourcing as the process where whereby firms purchase products and services from other companies than to make the products or perform the services internally (“The Relationship between Outsourcing and Organizational Performance,” 2013). When an organization decides to outsource, they are forming a relationship between them and their chosen company. This relationship is a collaborating effort with the organization focusing on their consumer needs and the outsourced company focusing on ensuring that the organizations wants and needs being met.