Outsourcing is contracting a business process to an independent organization that provides it as a service. The main reasons for outsourcing are to reduce costs by accessing a provider's lower cost structure from economies of scale or specialization. There are two main methods of outsourcing - outsourcing projects to companies or hiring manpower from companies to execute projects. While outsourcing can maximize profits, disadvantages include losing the chance to develop in-house talent and losing managerial control over an outsourced process since the service provider is separately managed.