Outtasking

Outtasking is a business practice in which a company retains ownership and control of a core process while outsourcing only specific tasks or functions to an external provider. Unlike traditional outsourcing, where an external party may take over an entire function, outtasking keeps the overall process management and governance in house and assigns defined tasks to a vendor or contractor.

Typically, outtasking involves clearly scoped tasks, such as routine maintenance, data entry, specialized testing, or repetitive operational activities, with the client maintaining responsibility for the end-to-end process, integration, and strategic direction. The external provider performs the agreed tasks within specified boundaries and performance targets, often under a service level agreement that ties deliverables to measurable outcomes.

Advantages of outtasking include focused cost control for non-core activities, access to specialized skills without fully relinquishing process ownership, greater flexibility in scaling resources, and the ability to preserve core competencies and institutional knowledge in house. Risks involve potential loss of control over the outsourced tasks, dependency on the vendor, integration and data security challenges, and complexities in governance and coordination.

Key considerations when adopting outtasking are clear scope definition, robust governance structures, well-defined service levels, performance metrics, data protection measures, and an exit or transition plan. This approach is commonly used in information technology, finance and accounting, human resources, and operations, where organizations seek external support for discrete tasks while maintaining strategic control of the overall process.