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A Management Thinking to Solving Material Outsourcing Problems

Keywords: DO-MITIC strategy , Outsourcing , materials management , recruitment , management thinking

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Abstract:

In an environment with limited resources and keen competition, many companies have outsourced their non-core business to reduce their operational costs and concentrate on using limited resources to develop their core business. Based on the consideration of cost reduction, many case-study institutions have also outsourced materials management. However, this resulted in high staff turnover rates and operational problems. Therefore, this study employed DO-MITIC problem-solving strategies and logic to improve outsourcing operations, with the result that staff turnover rates were reduced, customers satisfaction was enhanced and costs were substantially reduced, thus proving that DO-MITIC problem-solving strategies can enhance the effectiveness of materials management.

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