The relationship between outsourcing and organisational performance in the book publishing industry
The highly competitive environment along with customers' demands for tailored products and services has forced companies to continuously evaluate, improve and reengineer their operations. The objective of the study was to determine the relationship between outsourcing and organisational performance among book publishing industry-firms in Kenya. The research design adopted was descriptive. The population of the study was made up of 30 firms operating in the publishing industry in Kenya. The study used primary data collected through self-administered structured questionnaires. The data was analysed and presented using mean. The study's finding was that the firms outsource printing services, support services, distribution, production and pre-press, advertising services and technology services. Outsourcing of functions influences the performance of the publishing firms because it enhances productivity, flexibility, better quality of products, operating cost reduction, technology advancement and customer satisfaction. However, outsourcing has challenges which the research highlighted such as piracy, cost of delayed delivery or non-delivery, vendor failure to deliver, leakage of confidential information, plagiarism, loss due to disasters and recovery costs, disclosure of commercial secrets, interest conflicts with outsourcing partners and poor quality of goods and services. The study though successful, had some limitations in response rate due to suspicion by some publishing heads that the information collected can be used against them, especial by competitors. The study found out that outsourcing of processes by the book publishing firms in Kenya has influenced its performance and it is recommended that the firms should continue outsourcing other services which they do not have competitive advantage over its competitors so that they can continue improving their performance.