The Effect Of Outsourcing On Organizational Performance In Spa Service Enterprise.

Logistics And Supply Chain Management Project Topics

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The research was based on spa service enterprise, a prominent and government owned bath andrnhotel service provider. The purpose of the study was to establish what driven spa to outsourcernand how that decision affects the overall performance of spa. The research questions werernpresented in order to identify the effect of cost-driven outsourcing on organizationalrnperformance; the effect of expertise-driven outsourcing on organizational performance and therneffect of focus-driven outsourcing on organizational performance. The study employed anrnexplanatory research design. Out of the study population of 780 employees of the enterprise, arnsample size of 205 was taken, whose elements was selected using a random sampling technique.rnQuestionnaires were used as the primary data collection instrument. The response rate wasrn97%, with 199 questionnaires properly filled out of the distributed 205 questionnaires. Data wasrnanalyzed using descriptive statistics, correlation and regression analysis and then presented inrntables. The finding of study implies that cost driven outsourcing had positive and statisticallyrninsignificant effect on spa performance. And expertise driven outsourcing had negative andrnstatistically insignificant effect on spa performance. Finally, focus driven outsourcing hadrnpositive and statistically significant effect on the organizational performance of spa. Although,rnspa driven force for outsourcing was cost reduction, focus driven outsourcing had shown arngreatest effect on spa performance. This study recommends, since the results shows that there isrninsignificant effect of outsourcing strategy on spa service enterprise performance, thernmanagement of the organization should review this strategy again for further decision. In thisrnstudy 38.3 % of the variance in dependent variable (organizational performance) was explainedrnand predicted by independent variables (cost driven, focus driven and other capability drivenrnoutsourcing). Therefore an interested researcher could identify other predictor and execute studyrnmore

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The Effect Of Outsourcing On Organizational Performance In Spa Service Enterprise.

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