What are outsourced processes?

The ISO/TC 176/SC 2/N 630R2 ISO 9000 Introduction and Support Package: Guidance on Outsourced
Processes provides the following definition of the term: Within the context of ISO 9001:2000 an
outsourced process is a process that the organization has identified as being needed for its quality
management system, but one which it has chosen to be carried out by an external party.
A simple litmus test for any outsourced activity might be whether you can fulfill the customers requirement
without that process. Consider, for example, outsourcing the catering for the companys annual awards
luncheon. This activity probably isnt integral to fulfilling customer requirements and usually wouldnt be
considered as part of the QMS. An argument could be made that it should be included if its part of a
recognition program for achieving objectives. However, its reasonable to exclude it.
What about outsourcing the development of a products user manuals? Such an activity is definitely integral
to meeting customers requirements and directly relevant to their ability to experience optimum value from
the product. Also, it should be integrated into the planning and design/development process as well as any
other related activities, such as training service technicians, ensuring manuals are included in shipping
documents and incorporating provisions for review of any revision to the product.
The reasons for outsourcing processes fall into two general categories: 1) the organization doesnt have the
necessary expertise and/or resources; 2) the organization can perform the process but has chosen to
outsource it for cost savings, increased efficiency or some other business reason. Examples of typical
outsourced processes include:
Design
Internal auditing
Calibration
Web hosting
Independent lab testing
Plating, painting, heat treating or coating
Contract assembly of components provided by the organization
Entire manufacturing processes
Development of user manuals and maintenance instructions
Customer surveys
Call centers
Design validation
Purchasing

Field service
Human resources
Equipment preventive maintenance
Installation (where contractually required)
Records archiving
The diversity of outsourced processes illustrates why consideration must be given to the manner in which
each is controlled. It would be as inappropriate to use the one-size-fits-all approach for these as it would be
for any other element of your QMS. The method used to plan how a part is manufactured is different than
how an e-commerce Web site is set up. The tools and techniques employed to assess fulfillment and
conformance of these two different requirements would be quite different as well. Control typically is
achieved through one or a combination of several techniques such as those listed below:
Supplier audit
Provision of detailed process documentation, work instructions, build specifications and/or in-process test
information
Third-party validation of product performance
Training
Joint planning sessions
Representative on-site
In-process performance data
Demonstrated conformance to ISO 9001:2000 or comparable QMS model
Pre-existing criteria as defined in purchasing procedures
The following secondary activities also relate to controlling the output of a process. Generally they shouldnt
suffice as stand-alones but are used in conjunction with process controls such as those listed above.
Incoming inspection
Certificates of analysis
Final product conformance data
As with any QMS requirement, its important that it make good business sense. What are the benefits that
might be derived from outsourcing and bringing definition, control and consistency to these processes? The
purpose of any activity is to fulfill the customers requirement. If the outcome of such a process doesnt
contribute to that purpose, its a detriment. Having a supplier do something twice because it had poor
control is no more efficient or less costly than if the organization repeats the process. Both carry costs of

scrapped material, lost time, wasted labor, missed deliveries and customer dissatisfaction. Therefore, the
benefits of definition, planning and control are the same--regardless of whether it happens here or there.