Supply Chain Outsourcing | ISB Vietnam Glossary
Operations

Supply Chain Outsourcing

Definition & Scope

Supply chain outsourcing is the practice of delegating supply chain management functions to external providers. This includes procurement, logistics, warehousing, inventory management, and distribution.

Why Companies Outsource

Companies outsource supply chain functions to reduce operational complexity, lower costs, improve flexibility, and access specialized logistics expertise. It is widely used in manufacturing, retail, and e-commerce industries.