Strategic decision making model for make or buy decisions
by Ilkka Sillanpää
International Journal of Logistics Economics and Globalisation (IJLEG), Vol. 6, No. 3, 2015

Abstract: Purpose: The aim of this study is to analyse factors that are related to make or buy decisions. Within this research, a tool is created for make or buy decision-making which can be used as a help to evaluate outsourcing analytically. Design/methodology/approach: This research is case study research to develop a make or buy decision making tool via literature review. Findings: The finding of the study is a model for developing make or buy decisions. The model is based on the make or buy triggers, competitive factors, McIvor's outsourcing framework, Tayles and Drury's outsourcing decision model and balanced scorecard. Research limitations/implications: This research is focused on making a decision making model in the manufacturing industry supply chain. In the future, more empirical study is needed. Practical implications: The results can be utilised when developing make or buy and outsourcing decision-making in the supply chain. Originality/value: The research results bring additional value to the previous studies regarding make or buy decision-making models.

Online publication date: Tue, 29-Dec-2015

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