Why Does the Public Sector Use Outsourcing?
The concept of outsourcing has featured frequently in the business news recently following the failure of Carillion and the profits warning by Capita.
This excellent video from BBC News explains why the public sector makes such extensive use of outsourcing contracts to private sector businesses. It also highlights some of the issues that have arisen, not just recently.
The controversial PFI (private finance initiative) is a classic example of how outsourcing has raised significant concerns about its use.
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