The Outsource decision analysis software or Make or Buy analysis software is used to make decisions related to:

• deciding whether to “Make” or manufacture a product or “Buy” the product from a supplier
• deciding whether to provide a service in-house or outsource the service

Outsource decisions involve completing the “Make Template” and a “Buy Template” and then using the incremental cash flow analysis report to decide whether to make or buy the product or provide or outsource a service

Outsource (Make or Buy) Decision Examples

1. A city is considering outsourcing the servicing and repair of plant and equipment. Should they continue to service repair the plant and equipment or outsource?
2. A manufacturer can invest in the equipment to make the cam shafts for a fork lift truck or they can outsource to China. Which is the most economical?
3. A manufacturing plant consumes a large amount of electricity. Should they continue to buy from the utility company or install their own power generating equipment and sell the excess capacity?
4. A hospital is considering whether to continue processing the laundry or outsource to a laundry company. Should they outsource the laundry cleaning?
5. An organization currently uses a maintenance crew to service and repair their plant and equipment. Should they enter into a maintenance and service agreement with an outside supplier?

Sample Reports