Industry sector and outsourcing. Many companies have chosen to outsource segments of their business to external providers in order to cut costs and improve quality and/or efficiencies. Common business segments that are outsourced include Information Technology (IT) and Human Resources (HR). The data below show the types of outsourcing decisions made (no outsourcing, IT only, HR only, both IT and HR) by a sample of companies from various industry sectors.

Do these data highlight significant differences in outsourcing by industry sector?

a) Select the appropriate procedure.

b) Check the assumptions.

c) State the hypotheses.

d) Test an appropriate hypothesis and state your results.

e) Interpret the meaning of the results and state a conclusion.

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Industry Sector No Both IT Outsourcing IT Only HR Only and HR Healthcare 810 6429 4725 1127 Financial 263 1598 549 117 Industrial Goods 1031 1269 412 99 99 Consumer Goods 66 341 305 197