Sub-Contracting

Question 1

What is Sub-Contracting?

Answer 1

When a certain part of a job is contracted to another company

Question 2

E.g. of Sub-Contracting

Answer 2

You hire a Housing company to fix your house so they get a wall company to fix the walls and a window company to fix the windows.

Question 3

Why would sub-contracting be used?

Answer 3

Too much work
Not enough time
Requires more specialised help
More help needed

Question 4

Advantages of sub-contracting

Answer 4

Saves time(things happen quicker)
Customer Satisfaction
Meet order amount
Delivery date can be met without hindering quality
Can provide better service

Question 5

Disadvantages of Sub-contracting

Answer 5

Can take sub-contractors time to work on the product, finish it & ship it back
Quality can be different between different companies
Difficult to track all the different parts.