What does it mean to "Outsource" in a business context?

Outsourcing in a business context refers to the practice of utilizing external companies to provide specific services or functions that an organization needs, typically under a contractual agreement. This approach allows businesses to access specialized expertise, manage costs more effectively, and focus on core functions by delegating non-core tasks to third-party providers. By opting for outsourcing, companies can leverage the efficiencies and resources of external vendors, which can lead to enhanced service delivery and potentially lower operating expenses.

The other options don't accurately capture the essence of outsourcing: bringing services in-house relates to insourcing, hiring temporary employees addresses workforce flexibility rather than service provision, and delegating responsibilities to another department involves internal resource allocation rather than external engagement.