SEWING ENTERPRISES COSTS OPTIMIZATION WITH THE HELP OF OUTSOURCING

  • N. Radionova Kyiv National University of Technology and Design
Keywords: outsourcing, cost optimization, cost management, enterprises costs, cost management methods, improvement

Abstract

It has been proposed to use outsourcing to optimize the sewing enterprises costs. The historical stages of outsourcing development in the world practice have been revealed. The positive experience of using outsourcing with European, American and Japanese enterprises has been shown. The structure of types of outsourcing services, which are the most common for the practice of modern foreign enterprises, is presented. The main reasons that cause sewing enterprises to apply such services are investigated. The low level of application of outsourcing by the domestic sewing enterprises is indicated. Such a situation is explained by the subjectivity of the approaches of the leaders of domestic enterprises to new types of services that appear on the domestic market. The article presents data of the American consulting firm that indicates that Ukraine has a significant outsourcing potential. The practice of world brands of sewing enterprises is considered, which, thanks to the outsourcing scheme of work, have taken a leading position in their market segment. The advantages of using outsourcing with designer firms for domestic garment enterprises are shown. The article deals with the list of types of work that sewing enterprises are invited to outsourcing at the stages of studying demand and research and development of products. The advantages of outsourcing for sewing enterprises are systematized into three groups: economic-technological, managerial and marketing. The possible threats from implementation of outsourcing are outlined and the ways of minimizing the level of risk are shown. It was noted that compliance with the rules of the choice of outsourcing firm will help to minimize the level of risk for the sewing enterprise. The factors determining the criteria for choosing an outsourcer are disclosed. The advantages and disadvantages of long-term contracts of outsourcing and short-term contracts are shown. The sewing enterprises that do not have the experience of outsourcing are recommended first to enter into an agreement with the supplier of outsourcing services for 1-2 years. For mutually beneficial cooperation, the contract can be re-enacted for a longer period.

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Published
2018-03-26
How to Cite
Radionova, N. (2018). SEWING ENTERPRISES COSTS OPTIMIZATION WITH THE HELP OF OUTSOURCING. Economic Scope, (143), 160-172. Retrieved from http://prostir.pdaba.dp.ua/index.php/journal/article/view/77
Section
ECONOMY OF THE ENTERPRISE AND SPATIAL AND CLUSTERED BUSINESS