Q.

Outsourcing presents a number of challenges to Human Resources in that:

A. it raises labor costs while lowering production costs.
B. a firm is still accountable for the actions of its subcontractors, but it exercises less control over them.
C. employees require close monitoring by HRM, as subcontractors tend to take on less work than they can handle, meaning more subcontractors doing less work.
D. it increases customer use of service centers because customers tend to be more satisfied with subcontractors than with regular employee service representatives.
E. all of the above
Answer» B. a firm is still accountable for the actions of its subcontractors, but it exercises less control over them.
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