Offshore Outsourcing Essay

Offshore Outsourcing Essay
Abstract This paper will discuss offshore outsourcing and the effects it has on the American worker
in a technology environment. We begin with the scope of the problem and how it has changed the
economy for better and for worst. Various figures representing miscellaneous data about off shoring
will be represented. The topics include the background and nature of offshore outsourcing, reasons
for outsourcing, why trading promotes gain, current economic standing from outsourcing, and
finally how outsourcing affects wages and employment. In the summary various solutions and ideas
are given to propose a change to the industry in hopes that the American worker will be more
prosperous from an economic standpoint.Introduction ... Show more content on Helpwriting.net ...
highly dependent on other countries. If those countries decide to cut the cord, there will be no
product creating a loss. Many new proposed laws for 2011 are in the workings to minimize these
issues, with regards as to how the government would like to handle them. Outsourcing in the near
future will be focused on smaller projects while using more suppliers. A reduction in large contracts
is the goal for many, which in turn will leave more opportunity for entrepreneurs and even larger
organizations. The benefit is, more options will be available and the contracts can be closely
manipulated for the good of others. Offshore Outsourcing in Technology with Regards to the
American WorkerDisposition of Offshore Outsourcing The United States is one of the largest
powers in the world when it comes to offshore outsourcing. However, many economists wonder if it
is actually beneficial or destructive to the American workforce. One of the more predominant
reasons outsourcing has become popular is due to overall savings of costs. These cost savings have
proven to raise overall productivity, and have allowed everyone from small business owners to
corporate giants to advance into the next generation of technology. Some economists classify
offshore outsourcing as international trade between countries leading to a large profit margin for
both parties included. Gregory Mankiw is an American Macroeconomist that
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Xerox Is A Leading Business Process Outsourcing
1: Frame:
A: Overview
Xerox is a leading business process outsourcing and document management technology and services
firm operating out of 180 countries around the world. In 2014, Xerox reported year end revenues of
$19,540 million, down 2.3% from 2013, and a net profit of $969 million, up 17.7% from 2013.
Xerox's operations are broken down in to several main segments:
Business Process Outsourcing (BPO): Xerox business process outsourcing services provide support
functions such as customer care, transaction processing, finance and accounting, and human
resources to a broad range of firms and organizations. The BPO services segment is focused on
providing support functions to select business groups and industries including healthcare,
commercial industries, public sector, and government healthcare. Through its healthcare provider
solutions, the firm supports health providers operating in varying capacities to better access patient
data, comply with industry regulations, reduce administrative costs, and provide better healthcare
services. To commercial and public sector entities, Xerox provides support with transportation and
logistics, electronic toll collection, parking management, health and human services, administrative
support, and various taxation related functions. Xerox also offers many of these services across
major global markets.
Document Outsourcing: In its document outsourcing capacity Xerox offers both managed print
services and centralized print services.

Outsourcing D Herbs
There's a few method that can be implement in D'Herbs to overcome challenges they faced. One of
the most critical methods is by outsourcing. By outsourcing, they could just focus only in creating
better products to meets customer needs. Where, other departments in the company are outsourced.
Company gained competitive advantages through real or actual value to customers that they
provided. The organizations must know their products, services, customers, competitors, industry,
related industries, and environment forces in determining how IT can provide them with competitive
advantage. Not to mention, they also need to have understanding about how IT can boost value for
each of the areas. There are three characteristics of resources that give the firm potential in gaining
competitive advantage. The three characteristics are value, rarity, and can be obtained.
Value, rarity, and can be obtained, are used to characterize resources that contribute to initial
competitive advantage. To sustained competitive advantages, the resources must be imitable,
imperfectly mobile, and have low substitutability. Imitability is, whether other will be allowed to
imitate or copy the resources. Mobility is the easiness of an organization to acquire the resources to
imitate. Example of it, are hardware and software that are easily obtained. Finally, substitutability is
the ability of others to make use of substitute resource.
Outsource development, or outsourcing, can happen when a third party were

Which Determinants Influence Foreign Investor's Offshore...
FIRST CHAPTER
1.1. Research Background and Motivations
In today's competitive business world, to increase global business,consumer demands as well as
expands market size offshore outsourcing has become a common movement. Due to forceful
competition, diminution product life cycle, changing consumer taste, preferences and sensitivity,
progressing new knowledge, innovation, learning and technology and stakeholder's enthusiasm
companies, at present, continuously need to revamp their value chain (Bertrand, 2011). In this
scenario, many multinational companies are refurbishing their value chain which is happening in
doing business internationally (Doh, 2005; Holm, Eriksson & Johanson, 1996). This has helped for
providing them to access to ... Show more content on Helpwriting.net ...
Therefore, the main objective of this study is to realize the effects of offshore outsourcing decision
to low–labor–cost country like Bangladesh in order to gain competitive advantage and maximum
profit. It seeks to investigate two main areas–
i) Identifying the determinants of outsourcing decisions to Bangladesh ready–made garments. ii)
Investigating the effect of these determinants on outsourcing decision
1.4. Contribution of the Research
The contributions of this study appear from different observation or views. The contributions of this
study mainly from two viewpoints, that include–
Theoretical Contribution:
1. This study will deliberate and explore the various theories and theoretical framework of
determinant influencing offshore outscoring decisions which will assist the further researcher to
create and design their ideas as well as to build new theories clarifying new perceptions of offshore
outsourcing.
2. This study will expand the existing literature of offshore manufacturing outsourcing, and focus on
the offshoring activities from Bangladesh.
Practical Contribution:
1. The managers or executives will get an idea about a comparative offshoring destination to find
out their appropriate suppliers for manufacturing activities. In this regard, obviously Bangladesh
with an abundance of relatively low cost, effective and skilled labor force can offer attractive
outsourcing

How Much Does It Cost to Save? Essay
How Much Does It Cost to Save?
The impact of software development offshore outsourcing has many economic and social impacts.
Economically, India is thriving with GDP growth accelerating exponentially including having the
potential to achieve double–digit growth.1 Meanwhile, in the United States, the numbers relating to
developer jobs are quite the opposite. Most figures suggest that by 2015, roughly 3.3 million
business–processing jobs will have moved abroad. As of July 2003, around 400,000 jobs already
had.2
Socially, job loss has many strong emotional implications. Job loss due to cost cutting measures
coupled with the dot–com layoffs in Silicon Valley conveys an outlook for finding a technical
position quite bleak. In ... Show more content on Helpwriting.net ...
In order to compete, US developers would have to take a reduction in salary. This conflicts with the
cost of living in places like Silicon Valley.
Cost cutting though ultimately has many benefits for companies and individuals as it opens up other
opportunities and investments. Silicon Valley firms have used resources freed up through offshore
production to develop new products, new industries, and new employment opportunities.4 A Silicon
Valley engineer may not like the opportunities that come up because of outsourcing, but they are
there. Gregory Mankiw, chairman of the White House Council of Economic Advisors, feels that
"there will be jobs in the future because this is a vibrant economy, a dynamic economy."5
Mankiw's support for outsourcing is without a doubt supported by financial analysts in India. A
member of Delhi Stock wrote in the India Times that Mankiw "clearly had logic and facts on his
side; a detailed study by Deloitte in August 2003 estimated that approximately 356 billion of work
for the global financial–services industry alone will be relocated offshore within the next five years"
leading to a

Essay on The Five Phases of a LPO Relationship
The Five Phases of a LPO Relationship
A new model of legal outsourcing is radically reshaping the role of different business functions such
as human resources and call centers. Combining the benefits of cost reduction and process re–
engineering, the LPO model maximizes ROI at an accelerated rate. A systematic planning and
execution framework helps deliver the expected value.
Your board says we have to keep containing costs. Or we must become more competitive. Or we
must increase the performance of our workforce. Or we must define our corporate LPO strategy.
Where do you start? Developing the conceptual model for business outsourcing is relatively easy as
compared with legal outsourcing. The difficulty lies in executing it. Why? For the ... Show more
content on Helpwriting.net ...
Preparing for this transition to a supplier what were core processes requires substantial upfront
planning. The steps include:
Research and education on the legal process being outsourced
Market intelligence to assess what competitors are doing
Benchmarking the current process against the best – Goal: understand, improve, design, build, and
source more cost–effective business processes
Perform risk analysis
Assess your own process core competencies
Customizing and implementing technological requirements such as e–discovery, litigation &
pleading support Software
Set the destination – what constitutes success?
Evaluate total cost of engagement (gross margins, operating costs, taxes), Including infrastructure,
management, knowledge capture, and training costs.
Phase 2: Planning
LPO contracts should be long–term; hence, a projection into the future is imperative. Several factors
such as the policy scenario, the quality of infrastructure, security and human capital, and the
location of facilities can affect long–term outcomes. Following are some activities companies
should plan to complete before outsourcing.
Review existing processes.
Develop key improvement objectives.
Decide which services & process to outsource.
Perform a cost benefit analysis.
Determine the ideal best–shore solution for

A Short Period Of Declining Demand
Following the 2008 recession and a short period of declining demand, the outlook for outsourcing
and off–shoring showed an increasing trend for the foreseeable future. As companies realign their
strategies to better compete in the world stage, the projections indicate that this practice will grow
over different dimensions including function, services and geographic locations (Deloitte, 2014).
The main benefit for the companies that use outsourcing and off– shoring is the positive impact it
has on their bottom line. Companies usually outsource services or functions to undeveloped regions
of the world where wages are much lower and regulations are weak allowing them to realize savings
and lower costs, which are probably unattainable if carried out in their home countries. The ability
to offload secondary functions or competencies to third parties allows companies to concentrate in
their core processes and maintain or create a competitive advantage. Other benefits include getting
access to skills and capabilities not available in–house, more operating flexibility and the ability to
lower operating risks by delegating activities to third parties (Dinu, 2015).
The above are some benefits cited by firms regarding outsourcing, but as it is common with all
activities there are negative side effects. The increase in investment risks, including operating and
more importantly reputational risk. Poor selection of vendors, lower quality standards and security
gaps for confidentiality

Outsourcing Is An Alternative For Modern Economic Development
Outsourcing has become an alternative for many major companies as a way to not only manufacture
products in other countries, but also employ and develop jobs in other countries in which reality
should be available in the United States. Outsourcing as it may seem beneficial to the companies
that employ it, actually harms the economy by decreasing the job market that is present in the
United states. Offshore outsourcing has a strong potential to affect a variety of jobs ranging from
low paid low and skill jobs to high paid and skill jobs. A princeton economist had predicted that
about thirty to forty percent american jobs can be offshored in the next ten to twenty years (Institute,
2015). Specifically, informational technology jobs is field that has been targeted to be outsourced in
the past, present, and future. A study from the Center for Urban Economic Development found that
U.S. imports of business, professional and technical services increased their outsourcing by seventy
seven percent in the years of 1997 and 2002 (Offshoring vs Outsourcing, 2015). With the large
number of jobs that could move offshore in the future, there is the potential for an increase in the
number of jobs moving to other countries, specifically informational technology jobs. This in return
would result in a negatively affecting United States jobs and its economy.
A major risk outsourcing costs is the reduction of overall human capital levels in this country (NY
Labor, 2010). This means the amount

Outsourcing And Re Shoring Production
A globalizing economy along with cheap telecommunications technology is making it effortless for
countless occupations that were formerly invulnerable to offshoring to be sent overseas. As
globalization advances, the off shoring movement is likely to escalate as well. Nonetheless,
numerous manufacturing companies such as Caterpillar, Bosh, and Phillips have disclosed that they
will return part of their off–shored production to their home countries.(When Manufacturing moves
back 1) Throughout this paper I will discuss the politics of offshoring and re–shoring production as
well as reflect on globalized production and how these concepts will play out politically. The impact
of offshoring is not a new topic in the global business world. Offshoring has matured into a high–
profile argument over the last few decades. As a result of offshoring, countries like the United States
have exported countless jobs to foreign countries. As technology improves as well as the
modernization of countries such as China and India higher numbers of service jobs will be moved
offshore (The Next Industrial Revolution.) Although offshoring has delivered enormous economic
benefits, it also has created a heavy political toll. Offshoring has led to increased amount of jobs and
rising standards of living in for laborers in low–cost countries, rich–world workers have been able to
leave the grunt work to someone else, and companies with lower labor cost have brought higher
profits. Western consumers

Offshoring: benefits & risks
Offshoring
Human Resource Management, BBA440
September 17, 2013
Offshoring is the practice of relocating business processes to lower cost locations outside the
country of origin. This is not a new practice for companies in the United States. Moving business
processes to another country to take advantages of lower operating costs and cheap labor seems like
a great idea. However, the dilemma for a company is whether the benefits of offshoring outweigh
the risks. This dissertation will begin by briefly reviewing the history of offshoring. Next, it will
examine the various advantages and disadvantages associated with offshoring. Thirdly, it will
explore the growing trends of backshoring and nearshoring in situations where ... Show more
A final reason for the company to offshore part of their operations is access new markets. Since the
company is not restricted to just the domestic market, offshoring gives the company global presence
and the ability to access developing markets in Third World countries. By streamlining the
company's production processes and supply chains globally, companies can lower their prices
increase demand for their products, thereby attracting new customers and entering new markets.
While there are many benefits to offshoring, it does have some disadvantages. One of the
disadvantages of offshoring is the cultural and communication challenges. "Different cultures have
different communication styles, different attitudes toward conflict resolution and simply different
ways of getting work done" (Green, 2007). In different cultures words can mean something
different. For example, "yes" in the United States means "beyond a doubt", but in Japan they say
"yes" when they really mean "no," since "no" is disrespectful to say to anyone. Even though people
at the offshore location can speak and understand English, there are still instances when getting the
message across becomes difficult. Hence, companies must invest time and money into training
employees about the cultural of the country to which the company is offshoring in order to avoid
embarrassment for both the employee as well as the company.

Outsourcing: Problems and Solutions
Table of Contents
Introduction .pg 3
Outsourcing .pg 3
Homesourcing ..pg 5
Farmshoring .pg 6
Conclusion . ..pg 7
References ...pg 8
Outsourcing: Problems and Solutions
Introduction
As today's young adults are graduating from high school and college, what is one of their first
choices? Where are they going to get a job? Some of today's big jobs are being taken from the
United States and sent to countries overseas. So where does that leave our young adults? They may
have to move away from home and to not be with their families. Are you aware of the other options
to this? A great exception to this ... Show more content on Helpwriting.net ...
3). With all the personal and confidential information being processed overseas, identity theft can be
big factor. "Last year a disgruntled Pakistani worker upset about back pay threatened to divulge data
about patients at a San Francisco hospital" (Schwartz, 2004). She goes on further to say that these
countries lack consumer privacy laws. Medical privacy does not really mean anything to them.
Things are in the works to require written authorization from consumers themselves so they are
aware their data is being shipped overseas and can make a choice if they want that or not. So what
can we do about this?
Homesourcing
There is a new alternative to outsourcing. Some dub it "homesourcing." As many United States
companies prepare to export jobs overseas, other companies are working to keep them at home–
literally–as a substitute for call centers. According to a recent study by consultancy Booz Allen
Hamilton, not only is such homesourcing cheaper than traditional outsourcing, but home agents are
25 percent more productive than employees who handle calls in–house (Mello Jr., 2005, para. 1).
Geller (2005) states that "it's not always as cheap as offshoring, the shift of operations to countries

with low–paid but well educated workers, but companies bent on cutting costs also see home agents
as a way to avoid some of the consumer complaints common to overseas call centers" (para. 3).
Allowing people to work from their homes makes them happier, and

Human Resource Management : An Essential Function
Human resource management is an essential function in organizations dedicated to improve or
maximize the performance of the labor force of the whole organization or to support a company's
strategy in achieving its target goals such as profitability. HRM is fundamentally concerned with the
development and management of the employee within corporation. HR missions are fulfilled by
trained professionals and HRM is usually referred as "involving people practices" (Noe et al., 2015)
since an entire functional group is dedicated to the discipline, policies, functional leadership
engaging and strategic decision making.
However, HRM department is usually effected by strategic business issues of the organization for
certain reasons such as reducing cost, increase profitability or economic downturn. Among a few
factors of strategic business affecting HRM, downsizing and international expansion will be
explained in this report.
Downsizing – Downsizing occurs when a company permanently reduces its number of employees
on the operating payroll. Organization downsizing is often due to poor economic conditions or the
company need to cut costs to maintain profitability. Downsizing usually refers to corporate
restructuring in order to increase profit and maximize efficiency (Doyle, 2015). Downsizing results
in layoffs that are often followed by other reengineering changes, such as branch closings,
departmental consolidation, and other forms of cutting pay expenses.
International Expansion –

Essay on Offshore Outsourcing
Offshore Outsourcing
Currently, it has been reported that many of our jobs, as much as one out of every three private–
sector jobs are being sent overseas.
What is offshore outsourcing?
Outsourcing occurs when a firm subcontracts a business function to an outside supplier. Outsourcing
is mainly the result of companies who will always pursue the lowest–cost structure, which means
less skilled work will move out of the U.S. to emerging economies.
Many believes that this is a good thing, because living standards around the world will rise, and
workers in developing nations will get new and higher–paying jobs, and consumers in the U.S. will
be able to buy products that are cheaper than if they were made at home. ... Show more content on
Helpwriting.net ...
This positive change in our economy now has many economists believing that the same process is
going on in services.
Why offshore outsourcing?
Many businesses have turns to offshoring as a way to boost their profits. The most obvious benefits
of offshoring for the businesses and English–speaking destination countries are the lower wages in
foreign countries such as India, China, Korea, Philippines, etc... which translates into significant
savings and often, improved quality.
Offshoring doesn't just benefit businesses alone, a recent McKinsey Global Institute study notes that
offshore outsourcing will allow America to capture economic value through multiple channels:
Cost savings: For every dollar of spending on business services that moves offshore, U.S.
companies save 58 cents. The savings from reduced costs means more savings, which can be passed
to consumers or to investors to reinvest.
New revenues: Companies that provide offshore services need goods and services themselves,
ranging from computer and telecommunications equipment to legal, financial and marketing
expertise. And often they buy these from the U.S. companies.

Repatriated earnings: Many offshore service providers are in fact U.S. companies that repatriate
earnings.

The main threat of IS/IT Outsourcing Essay
Question 2
Assess the main threat of IS/IT outsourcing and put these possible threat in order based on
important. Justify your answer.
Companies outsource are to avoid a certain types of costs. Among the reasons companies elect to
outsource include the avoidance of regulations, high taxes, high energy costs, and costs associated
with defined benefits in labor–union contracts and taxes for government–mandated benefits.
Perceived or actual gross margin in the short run incentivizes a company to outsource. With reduced
short–run costs, executive management sees the opportunity for short–run profits, while the income
growth of the consumer base is strained. This motivates companies to outsource for lower labor
costs. However, the company may ... Show more content on Helpwriting.net ...
This often requires the assimilation of new communication methods such as Voice over ip, Instant
messaging, and Issue Tracking Systems, new Time management methods such as Time Tracking
Software, and new cost– and schedule–assessment tools such as Cost Estimation Software.
Quality of service (QoS)
Quality of service is best measured through customer satisfaction questionnaires which are designed
to capture an unbiased view.
Language skills
In the area of call centres end user experience is deemed to be of lower quality when a service is
outsourced. This is exacerbated when outsourcing is combined with offshoring to regions where the
first language and culture are different.
Foreign call centre agents may speak with different linguistic features such as accents, word use and
phraseology, which may impede comprehension. The visual cues that are missing in a telephone call
may lead to misunderstandings and difficulties.
Security Before outsourcing, an organization is responsible for the actions of their entire staff,
sometimes a substantial liability. When these same people are transferred to an outsourcer, they may
not even change desks. But their legal status changes. They are no longer directly employed by (and
responsible to) the organization. This creates legal, security and compliance issues that are often
addressed through the contract between the client and the suppliers. This is one of the most complex
areas of outsourcing and sometimes involves a

Disadvantages of Business Process Outsourcing Essay
In the recent decade, Business Process Outsourcing (BPO) has become a usual business
phenomenon from a new business strategy in the bank industry around the world. Banks are
increasingly outsourcing more activities to third parties and relying more heavily on vendors now
more than ever before. (Deloitte, 2012) The Swiss bank UBS is not an exception. Since UBS set up
the UBS India Service Centre in Hyderabad in 2006, parts of its back–office and middle–office
functions have been outsourced to lower–cost places during the following years, such as India,
China, Philippine and Poland. Most recent news says that UBS will begin outsourcing its fixed
income trading platform to two technology groups in an attempt to save costs. (Reuters, 2014) ...
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BPO that is contracted outside a company's country is called offshore outsourcing (Tas, J. & Sunder,
S. , 2004)
Offshore outsourcing represents one aspect of how globalization is occurring in the current
economies. Globalization is the interdependency of transportation, distribution, communication, and
economic networks across international borders. (Gibson, Ivancevich, Donnelly, Konopaske, 2009)
It means that the labor supply market is globalized and that cross–cultural management can become
essential and more important than ever before.
BPO is not simply moving jobs to a distant country and starting saving cost right away. BPO in the
banking industry requires bank to provide on–site training, which normally takes from three months
to a full year. (Overby, 2003) The training is a knowledge transfer process from one organization to
another, which is necessary and critical to make sure the work can be transferred from onshore to
offshore people smoothly. It's a significant stage of outsourcing implementation, which may
determine outsourcing will be a success or not.
Below case shows how the offshore outsourcing is occurring during the implementation stage.
Team A is UBS investment banking operations located in UK. It is planed to be offshore outsourced
to an external company located in a foreign country. A team of offshore workers came to UK and
started to learn tasks sitting beside their onshore partners

Case Study
MM05 Marketing of Services Assignment No.I Assignment Code: 2011MM05B1 Last Date of
Submission: 30th Sept 2011 Maximum Marks:100 Attempt all the questions. All the questions are
compulsory and carry equal marks. Section–A Ques. 1 List five ways in which investment in hiring
and selection, training and ongoing motivation of employees will pay dividends in customer
satisfaction for (a) a restaurant (b) a hospital (c) a consulting firm Ques. 2 Identify firms from three
different service sectors in which the service environment is crucial part of the overall value
proposition. Analyze and explain in detail the value that is being delivered by the service
environment. Ques. 3 How can customers contribute ... Show more content on Helpwriting.net ...
Such passions are lacking in English language journalism by and large. CNN–IBN believes that the
time has come to blend the strengths of Hindi and English language journalism. English language
journalism has its strengths. CNN–IBN wants to combine the advantages of Hindi and English
language journalism. IBN would like to move into the Hindi news space. It is the only way forward,
though the Hindi market is an extremely competitive one. IBN got instant credibility form the co–
branding deal with CNN. That the world's largest news network decided to tie–up with a fresh
channel only enhanced its credibility. But ultimately the channel will be judged on day–to–day
performance. Ratings will be high if the news channel is good. The first battle that has to be won is
that people have to see CNN–IBN as a serious news channel, which people do. CNN–IBN does not
want too many ads in the beginning. It wants to provide its viewers with lots of news. Eventually, it
will have ads as it wants to generate revenues too. A journalist–driven channel is here to make
revenues and CNN–IBN is confident of that. Questions 1. What do you assess is the reason of
success of CNN – IBN inspite of a tough competition from NDTV 24 x 7? What are its main
attributes, which can lead to its future success? 2. What in your opinion should CNN–IBN do to
come at number one? Should it diversify into Hindi News channel or not, where competition is
more tough. Comment. MM05

Outsourcing And Off Shoring Employments / It Work Force
Outsourcing is characterized as the utilization of firms outside the host (outsourcing) nation to
handle all non–center elements of the host organization. Each organization has some non–center
capacities like HR, finance, managerial administrations and some more. An organization chooses to
outsource these non–center capacities in light of the fact that the organization could lessen expenses,
think about distinctive target markets, access to more talented specialists all inclusive, and so forth.
The civil argument still proceeds about outsourcing and off shoring employments/IT work force.
Individuals see this as the procedure of sending work outside the nation which at the end of the day
implies loss of employments and more unemployment in the host nation. In my point of view,
outsourcing/off shoring is useful for organizations over the long haul.
Near shore can be taken as a type of offshoring where the services are provided from closest
location. Similarly, onshore means to outsource internal business and projects from external sources
but local companies. Offshore implies using resources of people living in different country for
internal projects and services of a company. Many things come into consideration when a business
wants to outsource its jobs and tasks. Factors like time duration, project size, project budget and
resources play vital role while choosing to outsource internal company projects.
As every coin has two sides, Outsourcing also has pros and cons.

Advantages And Disadvantages Of Outsourcing And The...
also can sustain the organizational goals with gaining a highly skilful employees. Lastly, in other to
produce a skilful employee from fresh graduate, Proton implements an internship program for
graduate trainees, in order to maintain the best employees in the future.
o Information Technology Strategy In chapter 8, corporations are majority using information
technology strategy in order to provide business units with competitive advantages. This proven by
many researchers had identified opportunities of information technology in creating competitive
advantages. According to Rockart and Scott Morton (1984), the opportunities are information
technology able to improve each value adding function, link with customers and suppliers to
increase ... Show more content on Helpwriting.net ...
Other than that, Outsourcing is practice utilized by various organizations to diminish costs by
exchanging segments of work to outside suppliers as opposed to finishing it internally. Outsourcing
also is a successful cost–sparing technique when utilized appropriately. It is once in a while more
reasonable to buy a decent from organizations with relative focal points than it is to create the great
inside. For example, PROTON and MITSUBISHI Joint production of engines in Malaysia,
Consignment production of MMC–brand vehicles at Proton facilities, Sharing of major parts and
components between MMC's "Global Small" and Proton's upcoming "Global Small Car", Provision
of MMC's future tech such as electric, plug–in hybrid and hybrid vehicle technology, its clearly
shows that PROTON use the outsourcing. Other than that it also prove by According to the
statement, Proton and MMC had "jointly proceeded with feasibility studies since late 2010" to
identify these areas of collaboration that improves global competitiveness for both parties. We
previously heard that Proton was talking with Nissan on collaboration, but it's clear now that it
didn't work

Outsourcing In America
Over the past decade, many companies from North America have moved to foreign countries. This
migration is known by many names – "runaway plants", "outsourcing", "global sourcing" and
"offshoring" ("Outsourcing: What's the true impact? Counting jobs is only part of the answer.").
According to Investopedia, outsourcing is "a practice used by different companies to reduce costs by
transferring portions of work to outside suppliers rather than completing it internally" ("Outsourcing
Definition | Investopedia"). Companies outsource primarily to cut cost. This mostly helps them to
reduce their cost by 60 percent since labour in many Asian countries like China and India is very
cheap. Even though offshoring is benefiting companies, it has negative ... Show more content on
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It is important to investigate the reasons behind this drastic shift in the plans of companies. The first
and a major reason for this change is an increasing cost of operations overseas. Factory wages in
China, which started at a much lower rate that other countries, have tripled in the last decade.
According to the Economist, "Since 2001, hourly manufacturing wages in China have risen by an
average of 12 percent a year" ("China, rising wages and worker militancy"). This is defying the sole
purpose of the companies to go there and manufacture products cheaply. China's labour–cost
advantage over United Sates has dropped from 55 per cent in 2013 to 39 per cent in 2015 ("Bringing
the Jobs Back Home: How 'Re–shoring' Is Coming to America"). The labour accounts for just a
small portion of the whole manufacturing process costs, so, the overall profit gained from
outsourcing will drop tremendously. According to KPMG report, "Rising energy and transportation
costs, along with added pressure on lead times and increased inflation in China have made Canada
and U.S. more competitive as sourcing nations" ("Offshoring Finally Going Out Of Fashion, Survey
Finds"). There is more than just labour saving behind re–shoring trend. Companies are starting to
recognize the value of physical proximity. Many companies currently use virtual workplace to
contact with their employees overseas to insure that everything is functioning properly. There is an
emerging consensus that the virtual workplace has its limits and it offshoring has gone too far that it
is hard to collaborate within the company itself ("Bringing the Jobs Back Home: How 'Re–shoring'
Is Coming to America"). So, companies are planning to reduce the distance so that work can be
done more effectively and under proper surveillance. There is another trend that is supporting re–
shoring in Canada. The KPMG report cites that

Asset Light Strategies Are the Only Way Ahead for...
Topic 6: "Asset light strategies are the only way ahead for international hospitality companies."
In the topic asset light strategies refers to international hospitality companies owning less assets.
Assets are "items of economic value owned by an individual or corporation, especially that which
could be converted to cash" (www.investorwords.com). The various different strategies international
hospitality companies use in order to 'lighten' their assets could be by franchising, management
contracts and offshoring (also known as outsourcing). Each of these strategies will be explained in
depth throughout the essay. The reason why businesses would want to have fewer assets is because
they want to get out of having asset–heavy balance ... Show more content on Helpwriting.net ...
The operator runs the hotel for a fee according to specified terms negotiated with the owner; the
most common of these terms are described below in more detail" (www.hospitalitynet.org).
However by hospitality companies using management contracts to run companies then they can gain
from economies of scale, gain brand recognition and obtain a global reservation system.
Alternatively there are some downfalls to management contracts such as conflict of interest
(Outcome and behaviour control).
"Outsourcing is a business process term for what has literally become known as hiring a consultant,
independent contractor, or freelancer to do a specific task or tasks for an organization in which the
organization either does not have the time or the expertise to do on their own"
(www.internetbasedmoms.com). Outsourcing is commonly said to be the same as offshoring but
with the increase in globalisation the distinction between the two has and will become less overtime.
Outsourcing is commonly used in business segments such as real estate management, human
resources, facilities, accounting, information technology and in this case in the hospitality industry.
In the hospitality industry, more specifically in hotels functions such as "Reservation/ Loyalty
Contact Centres; Distribution; Fulfilment;

Offshoring Essay
The underlying cause of the great exodus of American businesses leaving the United States to open
their headquarters abroad is the existing US tax codes. The United States is taxing our businesses to
death, Burger King has even left the US to set up their headquarters in Canada. Numerous
pharmaceutical companies have also left the US to open its doors abroad. In the last ten years 47,
companies have left the US for lower taxes, also known as inversion or offshoring. (CNN)
Lawmakers and regulators over the years have made the requirements more stringent after the
exodus of many high–profile companies. Some of the companies that have decided to leave the US
are Fruit of the Loom, Seagate, and Tyco. They have relocated a portion or in some cases all of their
business to overseas locals. Locations that have been privy to the onset of the US's losses are the
Cayman Islands and Bermuda. (CNN) But with the trend seemingly on the rise, some say it is time
for yet more stringent requirements. Among them is Rep. Sander Levin, a senior Democrat whose
office distributed the CMS report. It is true that inversion can yield significant tax savings, but in the
wake of inversion, the U.S. is dying a slow death economically. One of the most recent deals, for
example, medical device giant Medtronic (MDT) moved from Minneapolis ... Show more content
on Helpwriting.net ...
Although, this issue has been on an increasing rise, it is still not getting through to the government,
they seem to have blinders on, and assume that by meting out more stringent penalties, this will
change the convergence of inversion. Their tactics have actually made the state of affairs far worse,
thereby, giving businesses no other option of survival. In an already declining economy, the
government's actions or inactions, to correct these offenses have increased an already dire

Causes Of Layoffs In The Animation And Video Game Industry
Animation and Video Games allow many of us to disconnect from our daily lives in order to enjoy
an experience that can take us to grand new worlds and gives many people the opportunity to
connect with charming and unique characters. Generally, this is considered to be a good thing,
however many people fail to realize that the industries behind these forms of entertainment are
subject to the same pitfalls that befall most businesses. This means that these industries are subject
to things such as supply and demand, bankruptcy, and the outsourcing of jobs. These are the leading
causes of the biggest problem in these specific industries currently which is layoffs. Unfortunately,
this means that many individuals are unaware of how prominent layoffs are in the Animation and
Video Game industry along with their underlying causes as well as how such actions can affect the
lives of the individual artists who are responsible for creating the content that brings joy and
happiness to many of our lives.
One of the primary causes of layoffs in the Animation and Video Game industries is how many
studios rapidly hire talent either in anticipation for a future production. An example of this is alluded
to in a 2002 Daily Variety article that covered the topic of the then recent layoffs at Walt Disney
Animation Studios, which stated "Just three years ago, Mouse employed 2,200 animation staffers.
But a brief surge in toon interest among Hollywood majors quickly crested and a series of

Will Your Job Be Exported Analysis
Summary of "Will Your Job Be Exported?" In "Will Your Job Be Exported?" Alan S. Blinder argues
that while offshoring (the movement of jobs overseas) will be a major problem that the next
generation will have to face, we can prepare them for the future workforce by bettering the
education that they will receive to accommodate the demand for personal services that the U.S. will
see. Blitzer even quotes Lou Dobbs, a former political commentator for CNN, who says that
offshoring will expand due to these three reasons: there are more service jobs than manufacturing
(which is the job that is most offshored), technological advances, and the number of workers
overseas is greater than those in the U.S. In the past, only low–end service jobs have been
competing, but with the projected jobs that will be offshoring there is no limit, because it's not the
skill or education that will determine what is offshored but rather what jobs ... Show more content
on Helpwriting.net ...
Blinder has three main points to make about preparing our workforce for the future: we need to
redesign our education system, remember that the line dividing personal services and impersonal
services will only move in one direction, and personal and nonpersonal jobs does not mean that one
requires higher levels of education than the other. Blinder feels that the most important of these
points is education, that it should be more about the kind of education the students receive and not
the amount, he also believes that the motto looking forward should be "Prepare yourself for a high–
end personal service that is not offshorable." Blinder believes that training students for jobs that
won't be offshored, developing a creative workforce, having a tighter labor market, bouncing
displaced workers back into productive employment, and more training for low–end jobs will keep
America

Developing A Rationale And Process For Selecting Individuals
Developing a rationale and process for selecting individuals for a layoff is no easy task, and it is
fraught with legal and ethical pitfalls (Fallon and McConnell, 2007). Layoffs can result from a wide
variety of economic, societal, and technological change. Whenever possible, alternatives to layoffs
should be fully explored and considered. Alternatives to layoffs include force reductions through
attrition and eliminating any part–time positions in favor of retaining full–time employees. Early
retirement is also an option as many employees may be willing to leave the workforce voluntarily
with an incentive. Pfadenhauer (2009) recommends making any layoff decisions by analyzing future
organizational needs and not by considering any ... Show more content on Helpwriting.net ...
Fallon and McConnell's (2007) model advises that part–time employee positions should be
eliminated before full–time employees. However, I would be cautious in releasing part–time
employees whose often increased flexibility could be extremely useful in transitional times within
healthcare organizations. Part–time float pool healthcare providers are often experienced and
competent in many areas and could be a valuable tool in helping to provide coverage as employees
naturally leave due to job security concerns. Releasing these valuable part–time employees could be
detrimental to the overall functioning of a healthcare organization. In addition, I would offer part–
time positions to staff members who were willing to make the transition to part–time from full–time.
There may be employees who would be interested in transitioning to a part–time position as they
approach retirement age or have increased family obligations.
As Fallon and McConnell (2007) report, the entire purpose of an organization undertaking a layoff
is to become more efficient. This requires that the best personnel be retained and placed in positions
in which they are most efficiently utilized. Fallon and McConnell (2007) point out that this is
unlikely to occur in a perfect manner. However, focusing on job descriptions and performance
related information can be very helpful, and these factors would help build the foundation for any
layoff determination model I would create.

Outsourcing : Outsourcing And Outsourcing
Outsourcing, and in particular offshore outsourcing, is absolutely necessary and helps our country 's
economy. Outsourcing helps a company focus on those things it does best and hence increase its
"top line" revenues while reducing costs. Outsourcing has provided organic growth to the United
States corporations and enabled them to compete more effectively in global markets. This paper
seeks to explore what outsourcing is, what the difference between outsourcing and offshoring is,
what effects it has on individuals, firms, countries and the world as a whole, the controversy
surrounding outsourcing, trends of outsourcing and the necessity for it.
Outsourcing refers to sending any type of work that a business would otherwise be completed ...
For example, Wyeth Pharmaceuticals outsourced its clinical–testing operation to Accenture Ltd. in
2004 (Engardio, Arndt, & Foust, 2006). Even the local city and state government also outsources
services like infrastructure to build roads, toll booths, and health care, trash and snow removal.
Outsourcing can free up government agencies to focus on strategy, planning, and core functions they
perform best and governing the people. Outsourcing is more prevalent than you might know, and it
is very vital to our economy.
Offshoring or offshore outsourcing is the relocation of a business process from one country to
another. For example, a business in the US could outsource work to a contractor within the US
which is outsourcing. If the business instead outsources the work to a foreign contractor like in India
or the Philippines, it is called "Offshoring". While outsourcing is used to access contractors with
advanced skills locally for short term projects or to speed–up the projects for completion, offshoring
is used basically to reduce the cost than in–house staff for a task or a process. Firms offshore
anything that could be from simple customer care to more critical operations like research and
development (R&D), total information technology (IT) management, and new product development.
Even though these may seem like core competencies, some firms still outsource them, so

Business Information Management Strategy for the RBS...
INTRODUCTION
This assignment was given by Madam Manaf as the subject of his assignment of Business
Information Management Strategy to all degree students with international business information
technology business (CU202). Based on this assignment students were required to make a case
study on computer RBS failure ' Caused by inexperienced operative in India '. Based on the case
study is also required to give an idea of comparative advantage of IS / IT outsourcing in the
company. Then, based on the case study of this question me are required to describe the main
Threats to take outsourcing IS / It to the company. Next, I need to make recommendations on
measures to prevent the occurrence of a failure in the computer system. In addition, ... Show more
Next, help me find this case study trip. In addition, the summary made to help me learn the
important issues of this case study consented.
1. Critically evaluate the competitive advantage that can be gained by companies through IS/IT
outsourcing. Provide suitable example to support your answer.
The competitive advantage is the favorable position an organization seeks in order to be more
profitable than its competitors. Competitive advantage involves communicating a greater perceived
value to a target market than its competitors can provide. This can be achieved through many
avenues including offering a better–quality product or service, lowering prices and increasing
marketing efforts. Sustainable competitive advantage refers to maintaining a favorable position over
the long term, which can help boost a company's image in the marketplace, its valuation and its
future earning potential. (Margaret Rouse, November 2012).
The outsourcing is when businesses need expertise or skills that they don't have within their
organization, they often turn to outsourcing to solve their problems.
Comparative advantage of external resources by each company's IS / IT was good to help the
company work involving IS / IT as their company system. Reference case study given, The Royal
Bank of Scotland has hired young technicians

Offshoring Benefits
Many business executives believe "offshoring" to be the destiny of any company that wants to
remain competitive. Labor costs can be reduced by 25–30% or more, and companies across the
country are doing it. How can responsible corporate officers not consider the offshoring option for
their companies? But what are the real benefits and the pitfalls of offshoring? When does it make
sense to pursue outsourcing, and how can you safely take advantage of lower cost resources in other
countries without risk or loss of quality?
Background:
Moving jobs to cheaper work forces is nothing new. Even as recently as a few decades ago,
significant segments of the manufacturing sector were transferred to locations such as Mexico,
where labor was cheaper. Although ... Show more content on Helpwriting.net ...
Know what you want to accomplish and how much it should cost you.
· Offshore non–critical functions: Maintain the integrity of your core competencies by offshoring
only non–critical functions. And start small. Just as you wouldn't jump in too deeply with a
domestic company before gaining some history and confidence in the company, so should you be
similarly cautious with offshoring partners.
· Know what to offshore: Software development, data entry, and transaction processing have been
successful; customer service and voice interaction are more risky.
· Choose the right location: The type of work being outsourced will influence the location. India has
gained a reputation for software development. Between 2003 and 2004 it has seen over a 30%
growth in software and IT service exports, and by the year ending in March, 2004, Indian companies
have earned $12.5 billion in technology exports. But India is not the only source of reliable but
inexpensive labor. Countries such as China, the Philippines, Romania, Argentina, and even Ghana
and Ireland are all centers for offshore operations of various

Advantages And Disadvantages Of BPO
The result of incredible improvements which has taken palace in communication infrastructure and
significant cost reduction of global telecommunication costs all over the globe due to massive
penetration and development of this industry , offshoring and outsourcing have scaled new heights
(Blinder, 2006; Levy Business Models of BPO In a study which got widely cited too, Grover (1996)
identified three categories of target outcomes from outsourcing namely (i) economic (cost savings) ,
(ii) technological and (iii) strategic. While these indicators being very truly valid alone is not
sufficient enough unless otherwise inherently combined to exist with a multi–stakeholder
perspective to result in offering enduring satisfaction levels to the ... Show more content on
Helpwriting.net ...
Cullen (2005) expressed that organisations invariably always face an inestimable number of choices
which is a source of constant conflict. Other authors while referring specifically to BPO, describe it
as a dizzying set of evolving choices around such matters related to sourcing locations, various
choices in engagement models, types of service offerings by vendors (Lacity, Willcocks and
Rottman, 2008). This model inturn comprehensively emphasises on the most likelihood of changes
over time reinstating the compelling need for an active BPO lifecycle management asking for a
realistic foundation for offshore any BPO strategy design. To throw more light on this aspect , there
are complex trends existing towards any offshore sourcing strategy in terms of choosing higher
skilled and it would be tremendously difficult to codify business processes .Levina and Su, 2008
reminds us that organisations are likely to develop a BPO strategy that involves formal controls
around transfer of client–centric knowledge. This category of BPO requires for its success that client
organisations and their outsourcing suppliers (which may include an offshore captive centers also)
to develop deep trust, effcicient and effective collaborations which makes the investment jointly in
knowledge management by both the parties(Lee, Huynh

Case Study Of Jpmorgan
Introduction:
What benefits would occur is JP Morgan was to outsource operations of its credit card services
division to India?
J.P. Morgan also known, as JPMorgan Chase is a financial services giant, headquartered in New
York, United States of America, however it operates globally in continents and countries across the
world including the Americas, Europe, Asia, parts of Africa and the Middle East. JPMorgan is
focused on offering banking and financial products and services, where it is one of the foremost
leaders in market share for such offerings. In order to grow and develop their customer base, they
have expanded their products and services into areas like asset management, investment,
commercial and private banking, credit/debit card services and security services. One of JPMorgan's
main objectives is to grow and expand in a sustainable and manageable manner. Some ways or
strategies in which JPMorgan can grow while cutting costs include: headcount reduction,
retrenchment, outsourcing, offshoring or shutting down loss making areas of the business. However,
outsourcing as well as offshoring offers lower costs, economies of scale and greater efficiency. ...
Another strategy that JPMorgan has adopted over the last decade or so has been offshoring, which is
provision of services undertaken in JPMorgan's own offices/centers' of excellence, which are based
outside its main operating centers i.e. in jurisdictions such as India, Philippines etc. JPMorgan can
outsource/offshore its credit card services to a country in Asia such as India in order to achieve its
goals of growing and expanding in a cost efficient

Offshoring Essay
and effects of the system.
4. a lot has been said about offshoring and its effects. Questions have been raised whether offshoring
is a good concept or not, who benefits the most and who suffers from it the most. Offshoring refers
to the practice of moving business services to another country to reduce cost. This practice affect
three parties and they include U.S employees, foreign employees and the company employing. We
shall consider the social and ethical implications from the perspective of the three parties.
U.S employees: Offshoring results in fewer jobs, lower pay and a lower standard of living. For the
jobs that are available, they discover that they would require new job skills such as project
management and would schedule meeting during the work hours of the workers in the other country.
Foreign employees: it creates jobs for ... Show more content on Helpwriting.net ...
The lower the price, the more the product is used thus increasing profit and customer satisfaction.
We shall take a look at ethical implications from the view of the three parties by using the ethical
theory of utilitarianism, where the main purpose is to increase happiness and Kant's principle about
not treating people as a means to an end but rather as the ends in them.
U.S employees: Is it ethical to add more weight on utilities because of their nationality? Weighing
the utilities (happiness) on the amount of salary, would favor hiring U.S programmers. If a law is
passed that requires paying the same amount for foreign and U.S employee, it would favor hiring
the U.S employees.
Foreign employee: Weighing utility by comparing the average salary between another country and
the US would favor hiring the foreign workers. Also the utility depends on the availability of jobs
with reasonable incomes and this would favor hiring foreign

Outsourcing Of The New Strategic Asset
Each company will try to pursue their supply chain to supports their competitive priorities and it
will involve outsourcing at least for the initial input of their processes from other companies
(Krajewski et al., 2016). Increasingly, the companies are no longer just outsourcing basic support,
but they are outsourcing activities integral to their operations, including such things as, customer
sales and support, information technology, integrated product design and manufacturing, logistics,
human resources and financial functions. Sometimes, the activities being performed by the outsider
are replacing in–house operations. In other cases, they are new activities tied to the company 's
business growth and new markets. As organizations outsource more and more of their operations, it
is the relationship itself that becomes the new strategic asset. Outsourcing relationships demand the
same care and attention to sound management principles and practices as do in–house operations
and valued employees. Managed well, continuous improvement, increasing value, and constant
innovation can be expected. Managed poorly, the services and overall relationship deteriorates
resulting in higher costs, operational disruption and lost business opportunities.
Financial savings from lower international labor rates was the most important motivation for the
early outsourcing decisions. Offshoring, next–shoring, re–shoring and near–shoring are several
strategies that will be cover next as part of

Telstr Advantages And Disadvantage Of Offshore Outsourcing
III) Internal Issues
Offshore outsourcing is becoming a part of daily business operation for many companies, including
Telstra. There are several internal factors, including advantages and disadvantages that affect Telstra
moving numerous jobs to overseas.
1) Advantages of offshoring
a) Cost Differentials
The primary factor of offshoring is the cost differences comparing between Australia and the
offshore countries (Holmberg et al 2006, p. 1). Offshoring assists Telstra to diminish overall
transaction costs and labor costs by operating certain business activities at offshore locations at a
lower cost. The capital costs on the technological and organizational expertise at the beginning
when Telstra offshores must be required, however, the ... Show more content on Helpwriting.net ...
However, the demand of Australian for IT degrees over the last 10 years was decreased and the
completion rates were low, this led to a shortage of IT and communication technology talents in
Australia currently (Aynsley 2015). This could be the reason of high labor costs in Australia,
especially in technology fields and the reason why Telstra and other companies moving jobs
offshore. Offshoring is an opportunity for Telstra accessing to valuable resources: talented human
capital, capabilities and innovation (Lewin et al. 2009). The best choices for ITO and BPO that
Telstra is concentrating on are India with strengths in IT, Philippine with specialization in English
contact centers and Malaysia with potencies in software development and R&D (Ellis 2013). All of
these countries are low–wage countries, and there is a large number of highly skilled IT and
telecommunication labors finding jobs, therefore it is perfectly valuable for Telstra to get into these
markets and employ talented staffs at the cheap

Offshoring: Threats To The US
I would agree with the special report when it says that outsourcing and offshoring are not threats to
the US. However, I do think that there are disadvantages to outsourcing and offshoring. Outsourcing
and offshoring were originally made for countries to save money in production and labor costs; now
places like China and India, the counties that US companies were offshoring too for cheap labor
aren't as cheap anymore. The special report examines some of the disadvantages of outsourcing and
offshoring. These disadvantages include: high shipping costs, long transportation time, weakening
innovation, and supply chain risks. The biggest known threat that comes hand in hand with
outsourcing and offshoring is loss of jobs. But, I don't think that

Offshoring
1.) Do you agree with the opinion of The Council of Economic Advisor's claim that "When a good
or service is produced at lower cost in another country, it makes sense to import it rather than
produce it domestically? Offshoring has its advantages as well as it disadvantages, as most business
decisions do. It is the weighing of those two leverages that make the debate of offshoring such a
conflict. Offshoring reaps many benefits for companies. For starters, offshoring allows companies to
stream their productions globally. With this they may then begin to cut cost of goods to a lower rate
to increase the demand, a plus for both the company and it's consumers. This investment also
acquires new customers and even puts the companies into new market ... Show more content on
Helpwriting.net ...
Political stability in offshoring is a tough aspect. It can often be a deal breaker for a company when
deciding where to set up offshoring positions. No company wants to establish such an investment
for it to be nationalized or worse threatened by a foreign military strife both internationally and
externally. For example, many companies want to set up offshoring in India due to their high
education level however it is hard to do so with political issues taking part in the decision making.
At this time in India, the government is struggling financially. They continue to have money issue
daily due to lack of documented regulations that could prevent chaotic situations from forming. This
makes American companies weight the benefits and conflicts if they are to set up business within
India's jurisdiction. On top of this questionable factor, American companies have to also consider
the conditions of the area in which they would be residing in. As minor as it may seem, the factor of
the conditions of desired area effects the companies. In India, the area is a bit rough compared to
American land. The power networks, roads, and transportation system face a huge demand to be re–
established. The government has recognized the issue and has begun funding the restoring (Pg.9).
Dejectedly, it has been estimated to cost about $45 billion in public and private sector investment
(pg. 9). At this price is it even worth the uprooting, probably

Strategic Dimensions Of Sourcing And Shoring Techniques
. Strategic Dimensions of Sourcing and Shoring Techniques
There are a multitude of strategic dimensions associated with sourcing and shoring techniques in the
marketplace, conducting business abroad, and conducting business on the home front, or near the
home place. These strategic dimensions include (a) domestic outsourcing (b) insourcing (c)
backsourcing (d) offshoring (e) offshore outsourcing (f) onshoring (g) nearshoring (h) strategic
outsourcing (i) business process outsourcing (BPO) and (j) offshore service providers (OSPs). These
sourcing and shoring techniques can be complicated to understand. Domestic outsourcing is when a
company decides to let go of an in–house job to go to another domestic company to perform (Koku,
2009). Insourcing is bringing back work internally that was previously outsourced (Nodoushani &
McKnight, 2012). Backsourcing is rescinding the product or service back to the home country
where it came from originally. Offshoring is when a company from one country outsources work to
businesses in another country by either conducting operations in the foreign country, or
subcontracting this work out through outsource providers who then transfer this work overseas
(Chadee & Ramen, 2009; Koku, 2009).
Offshore outsourcing is a hybrid of domestic outsourcing and offshoring, in which a company
totally transfers jobs to another company that is foreign–based which has no relation whatsoever to
the domestic affiliate, for example, Delta Airlines contracting

Pros And Cons Of Offshoring
Manufacturing has become a fierce and competitive business. Shipping across oceans has become
inexpensive, as has international communication, so offshoring and reshoring are vital decisions for
every organization. Technology has advanced so much that it too affects that decision. Offshoring,
also known as outsourcing, is the business practice of employing a party outside a corporation to
perform services and manufacture merchandise that was traditionally made domestically by the
company's own employees (Staff, 2017). Reshoring, also known as insourcing, is the process of
returning the production and manufacturing of goods back to one's own country (Dragonette, 2016).
For decades, offshoring has been occurring. As technology kept on evolving, the 1970s through the
1980s saw several manufacturing businesses send off their raw materials across the ocean, not
because of skills but mainly because it had substantial economic benefits. However, reshoring has
been making a comeback as it too has its advantages. But, how does one decide what's best for their
company? Both offshoring and reshoring have its pros and cons over time. The most prominent
advantage for offshoring has been the low cost of labor, energy, and production. For example, to
save on production costs, a manufacturer of computers can buy internal components for the
machines from other makers at a lower price. Customer service jobs have also played a significant
role when it comes to looking for ways to reduce

Outsourcing to India: Is the United States benefiting...
Outsourcing to India: Is the United States benefiting from it?
I. Introduction "Did you hear the news? No, what happened? We are shipping all of the IT jobs to
India ..." Water cooler conversations are beginning to sound more and more like this. Outsourcing of
jobs has become a major concern for employees at large corporations (technical or financial). The
economic drought that the United States faced in 2000 to late 2001 led to numerous cost–cutting
measures, but none more effective than that of outsourcing. The outsourcing of jobs is now a
necessity in the United States, so companies are forced to send jobs to places such as India to keep
costs down, all the while trying to balance the advantages and disadvantages of the move. ... Show
more content on Helpwriting.net ...
Other services that are currently being outsourced fall under the category of business process
outsourcing (BPO) which includes payroll, billing, accounting, telemarketing and call centers. At
this rate, almost every corporation will have main operations being done in a foreign country with
management staying in the United States.
When should you outsource? If you are losing focus on your core business because you are too busy
handling operations or if you are facing a time, money or human resource crisis, outsourcing is a
solution[2]. Outsourcing can also allow you to be the first one in your market to gain that important
edge to put you over the top. However, the main reason for outsourcing is that a mission–critical
project needs to be finished, but there is a lack of specialized personnel to finish the project.
Outsourcing is not done only to save money, but because the specialization is necessary for certain
products.
Where should you outsource? When companies are thinking of where to outsource, the first answer
is India. This is because India has an abundance of technically skills people who are in need of
employment. Corporations such as Intel, IBM, Cisco, Amazon, and Dell have already seen the
benefits of outsourcing to India. The most common place to outsource is Bangalore, which is often
called the Silicon

Can Brazil Become a Global Competitor in the Information...
Minicase: Can Brazil Become a Global Competitor in the Information Technology Outsourcing
Business?
1. Use the theories of international trade and investment that have been presented in this chapter to
help explain Brazil's intentions and actions regarding the international information technology
sector.
The IT Service industry has expanded rapidly. Many companies worldwide have made the decision
to outsource this industry to offshore companies. Worldwide demand has increased growth to 40 to
50 percent on an annual compounded rate basis. Many developing nations like Latin America and
Asia have made an attempt to obtain some of the IT offshoring business from countries like the
United States because it is seen as not only a source for ... Show more content on Helpwriting.net ...
The aggregate total of these strengths have meant that large US based corporations like IBM,
Accenture, Hewlett–Packard and many more have expanded their IT offshore activities to Brazil.
2. What recommendations would you give to the Brazilian government and its outsourcing industry
in order to improve their prospects for success in building a strong international competitive
position in the information technology outsourcing business?
Brazil does have some weaknesses that need to be addressed in order to effectively sustain growth
in this fast–growing market. I would suggest that attention and subsequently, investment be given to
the country's sources of electricity generation. There have already been many issues with electrical
failure resulting in brownout and even blackout in some areas. There should be free classes offered
in English for their potential IT candidates as well in order to increase the chances of success in this
market. Experience in dealing with international markets and clientele is also needed. I would
suggest some training classes that allowed for these issues to be addressed in addition to some
hand–on, travel based training to see first–hand the sectors and markets in which they will

Assess The Difference Between Outsourcing And Offshoring
Initially, the purpose for offshoring was due to producers wanting to lower fixed costs and also
seeking lower waged workers. By moving job duties abroad, producers were also able to avoid
unionized workers (Gupta & Sao, 2009). In recent years, offshoring has also become popular in
higher waged jobs such as software development. Outsourcing is very similar to offshoring, where a
firm purchases inputs or services from another firm, but the firm is also located in the United States
(Harrison & McMillan, 2006). A staffing agency is an example of outsourcing. A company is
assigned by a client, and employees of the staffing company work directly with the employees of the
client (Houseman, 2007). The subject of whether outsourcing and offshoring

Offshore Outsourcing Essay

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Offshore Outsourcing Essay