Outsourcing is the contracting out of functions, typically services, to another individual or firm. Businesses outsource when they feel the function in question can be handled at less cost in a shorter period of time and with less hassle than if they performed it themselves in-house. This leaves the outsourcing firm to focus their resources on doing what they can do best, i.e. why they are in business. This is known as concentrating on one s core competencies .

In businesses, services such as data processing, mailroom and cleaning and security, and outbound and inbound teleservices (including e-mail / Internet handling) are outsourced. Call Center, Computer Telephony and TELECONNECT magazines outsources their customer service and subscriptions to Sunbelt Fulfillment (888-824-9793) and list rental to Rubin Response (847-619-9800, www.rubinresponse.com).

We believe that our core competencies lie in writing and editing great magazines and books, and putting on fantastic conferences and trade shows, not in quickly and efficiently answering calls about lost magazine issues, shipping magazines and marketing lists. This is best left to the experts in these fields who can do it for less than we can in-house. Outsourcing these functions therefore keeps our quality up and costs down.

In call centers there are three general types of outsourcing:

• Service Bureaus, which provide live agent contact handling, plus automated services such as IVR, e-mail response and Web self-service. Service bureaus are synonymous with outsourcers.

• Applications Hosts, which lease/rent, manage and upgrade key technologies, such as IVR (with...