U.S. Federal Government Outsourcing Initiatives, Implementation and Benefits

摘要

Ambitious plans of the U.S. government to outsource commercial activities are reviewed. The institutional model of Douglass North is applied as justifying these initiatives under the cost savings generated. Beyond transaction costs considerations, the role of motivations, institutions and descriptive jargon are discussed as relevant to current trends of outsourcing in the federal sector and private sector. Enabling legislation is traced that supports federal policy actions. In addition, the strategic sourcing policy under the George W. Bush administration is examined as the most current spin on federal outsourcing initiatives.