Company X: an analysis of contracting out medical services

This project was done in order to assist Company X in determining what policies, procedures, and measurements they must have in place in order to successfully continue the outsourcing of medical services. Similarly, what will the company need to have in place if they create an in-house medical program in the future? This paper is essentially a literature review, where research was done concerning safety history, safety systems, safety culture, human resources, the factors affecting the make or buy decision, and the merits and drawbacks of outsourcing. It was discovered firms may outsource part of their safety management system in order to increase operational flexibility, or because they do not have the technical know-how to successfully manage it to a higher standard. I concluded that due to large fluctuations in employment levels, its relatively generalist approach to HR, and its smaller health and safety department, Company X should continue outsourcing its medical services to a third party. --Leaf 2.