Outsourcing Strategies In Supply Chain Management Comparative Study

With terrific progress of science and technology, the key resources in companies are changing from capital to the combination of knowledge, information and creation. It drives companies to face more and more pressure on improving effectiveness and get core competitiveness. In order to win in such a competitive environment, they must evaluate the position and strength of their own and focus on the core business. More and more companies, especially Top500 companies around the world are handing over some business to outside companies, which is different than the traditional strategy.Outsourcing has certainly taken the business world by storm. It means that company integrates the outside resources to save the cost, raise effectiveness and focus on the core competitiveness. It is also a management model of prompt response for the environmental changing. Outsourcing strategy brought big revenue to companies in recent years and is becoming a trend in the industry.The wireless handset business is booming in recent years. The shipment increased significantly and innovation technology drives the fierce competition. So it becomes hot topic on how to manage the supply chain effectively. This paper is focusing on handset business, describes what the outsourcing trends are in the wireless handset industry, how they chose different outsourcing strategies by different positioning and by adapting the dynamic environment. I also choose two typical big companies for comparison. It illustrates the importance of outsourcing strategy in Supply Chain Management and the real application on R&D and manufacturing aspects. It also shows the difference by comparing the market share, growth drivers and specific strategies.I hope to provide some suggestions to the implementation of outsourcing strategy for the enterprise by the combination of theory and practice.