Most people who purchase a BMW X3 have no idea that it's not built by the company from Munich, Germany, that claims to provide "the ultimate driving machine." The $36,000 sport utility vehicle is actually assembled by Magna Steyr, a contract manufacturer that builds cars for several other automakers, including DaimlerChrysler (Auburn Hills, MI) and General Motors Corp. (Detroit).

As outsourcing continues to evolve, it’s becoming more complicated. Indeed, depending on what acronym you use, outsourcing can mean different things to different people.