Accounting Outsourcing Work: Depro Tech

Journal
Aini Aman, Ruhanita Maelah, Rozita Amiruddin, Noradiva Hamzah, and Sofiah Md. Auzair (2009) Accounting Outsourcing Work: Depro Tech Asian Journal of Case Research 2(2):125-130 


Abstract: In order to cater daily operation and to concentrate in the core business, DEPRO Technology has been outsourcing their accounting works to third party, Alpha Associates. Along the way, several problems have arisen from the outsourcing. Mr. Adzim as the General Manager of DEPRO Technology needs to make a decision whether they should renew the contract with Alpha Associates or not. He needs to examine the difficulties of doing the accounting work in-house and the risk should they continue using the service of Alpha Associates as their outsourcer. The case illustrates the accounting outsourcing practice specifically in IT industry, and the situation faced by a company when evaluating whether to terminate or renew an outsourcing contract. It gives the readers opportunity to analyze the situation faced by Mr. Adzim and to give suggestions on what should be done in order to take control and avoid the risk of outsourcing work.