Outsourcing, U.S.

Outsourcing refers to organizations purchasing goods and services from outside sources and is a term frequently used when referring to purchases from foreign or nonunion suppliers. Outsourcing in higher education is a partnership or contractual agreement between a higher education institution (HEI) and an external organization, where the external organization delivers a service to the HEI. It is also referred to as privatization or public–private partnerships (P3). HEIs have been increasingly outsourcing services since the mid-20th century, with some of the most common outsourced services including dining services, vending, custodial services, and bookstores. This entry focuses on outsourcing of services at HEIs in the United States.

As student populations continue to increase at HEIs and state funding allocations decrease, institutions have looked for ways to lower ...