The document discusses offshoring and outlines its advantages and disadvantages. It provides details about a case study of a British company considering offshoring some operations to reduce costs. Specifically, it notes that (1) offshoring involves allocating business processes to external specialists in other locations to access cheaper labor without compromising quality, (2) the British company was seeing increasing costs and wanted to move to a low-cost region but faced opposition, and (3) recommendations included keeping headquarters in London, producing in a low-cost country, and branding goods as "Design in England, Made in Malaysia" to address reputation concerns.

1. Offshoring… Operations Management Group – “8”

2. Agenda Offshoring Why Offshoring? Commonly Offshored Streams Advantages & Disadvantages. About the case: Facts Issues Suggestions

3. Offshoring Allocation of specific business process to a specialist external service provider.

4. Why Offshoring? Lack of expert-labor in some portions of the business process. Availability of cheaper labor, whilst not comprising on the quality of output. Ability and feasibility to concentrate on the other crucial business process.

5. Manufacturing Offshoring IT Support Accounting

6. Offshoring Streams Content Development Web Design and Maintenance Recruitment Logistics Technical/Customer Support

7. Advantages & Disadvantages Advantages Disadvantages Risk of exposing confidential data Synchronizing the deliverables Hidden costs Lack of customer focus Swiftness and Expertise Concentrating on core process rather than the supporting ones Risk-sharing Reduced Operational and Recruitment costs

8. About the case Facts: Sales was increasing constantly along with the cost. Such an increase led them to shift to low cost region. Campaign in the name of “Keep Castle Bridge British” was being led by trade unionists, media & celebrities. There was negative reaction to “Made in Malaysia”. Raw materials were coming from all over the world. Owners of Castle Bridge are from everywhere & Britishness is not their priority but profit is. Initially it was a niche market but then it started considering all the segments of the society.

9. Adding headquarter jobs constantly. British Economy was loosing 30 million working days annually due to labor disputes. Decline in no. of employees in manufacturing industry which were: Male Female 31 % 18% 17% 6%

12. Sugguestions (Contd.) Company should go for Operational Restructuring. Clear about its strategy & objectives. Share its goals & values with shareholders.

13. Conclusion Company should go for “Offshoring” because global doesn’t means shedding you heritage & being British doesn’t mean one can’t have officials or workers from other parts of the world.

14. PrafulAnchaliya THANK YOU ShallyRathi SanyamSinghal