Outsourcing business processes improvement: A DXN Pharmaceutical Sdn Bhd Perspective

Outsourcing is the complete transfer of a business process that has been internally managed and traditionally operated to an independently owned external service provider. Over recent years, outsourcing has become popular as companies grow and their needs start to get so specific which to supply for particular positions that are not easily found in the national market. While companies outsource is to benefit companies but some companies experience issue and barrier. This research paper aims to determine better decision making on outsourcing business process that help to improve business performance in an organization. This study is examined in the case of manufacturing company in Malaysia. The data was collected through a questionnaire survey targeting employees of DXN Pharmaceutical Sdn Bhd and processed with SPSS version 25 statistical technique. The results of Pearson’s Correlation Analysis and ANOVA analysis have shown that there have positive relationship between outsourcing strategies and business improvement. It is concluded that outsourcing strategies are important, but must be applied according to the right situation. Future researcher should be generalize the findings of the research and make sure that these outsourcing strategies are the key factor that affect the business improvement in outsourcing business processes.