Outsourcing is any task operation job or process that could be performed by employees within your company but is instead contracted to a third party for a significant period of time. Outsourcing is the process of subcontracting services and operations to other firms that can do the job better and/or less expensively. If a business performs every one of its administrative and business services and operations it is almost certain to be doing at least some of them in an inefficient and/or low-quality manner. If those areas can be identified and outsourced the company will save money and realize a higher-quality service or operation.
The affects for the organization are great. There are no benefits associated with outsourcing. When the workload is low the company does not need the services and save even more money. For example the wait staff is outsourced at the Anatole. When business is slow the budget does not suffer because the waiters are not needed and the banquet captains share the workload.