This document discusses how outsourcing affects organizations by eliminating jobs in developing countries like the US and creating opportunities in underdeveloped countries such as Pakistan. It outlines the pros and cons of both globalization and outsourcing. While outsourcing increases efficiency and provides jobs, it can also lead to job insecurity and loss of control. The document recommends that countries receiving outsourced jobs focus on developing skills and efficiency to maintain opportunities as technologies advance.
2. Group Members SaimaTanveer Khan L1F09BBAM2036 SadafSardar L1FO9BBAM2022 Madiha Ibrahim L1S09BBAM2105 MaryamRiaz L1S09BBAM2116 SyedaFarheenMateen L1F10BBAM0120 MianUsamaBilal L1F09BBAM2147
3. OBJECTIVE General introduction What is important about the topic Why we choose this topic Impact of study on society and individual
4. OBJECTIVES Due to outsourcing how jobs are eliminated in developing countries like America and creating opportunity in under developing countries like Pakistan.
5. Globalization “Globalization as a set of processes which embrace most of globe or which operate worldwide; the concept therefore has a spatial connotation…. On the other hand it also implies intensification in the level of interaction, interconnectedness or interdependence between the states and societies which constitute the world community” (McGrew and Lewis, 1992, p 319)
6. Due to Globalization Global village. Increasing the connectivity and the interdependence Process of interaction and integration Decrease cost of production Multinational corporations Move Money, technology and raw materials
7. why this topic??? “All that glitters is not gold “ Show you the affects of outsourcing all over the world especially Pakistan
8. Pros of Globalization “Companies either globalize or they die.” (Jack Welsh, CEO of General Electric) Free trade between nations. Increased liquidity of capital Global mass media ties world together. Communication
9. Pros of Globalization Increases the global village effects. Transportation of goods and services is easy. Reduction of culture barriers Interdependence of countries Competition increase Develop awareness among society
10. Pros of Globalization Improve life standard Efficient use of resources Increase the value of customer Cost of production reduces and quality increase Socially we have become more open and tolerant towards each other
11. Cons of Globalization Flow of skilled person from underdeveloped to developing nations. Led to exploitation of labor. Immense pressure Spread of a materialistic lifestyle and attitude . International bodies infringe on national and individual sovereignty.
12. Cons of Globalization Increase risk of diseases Increased possibility of economic disruptions in one nation affecting all nations. Made the rich richer while making the non-rich poorer. Social injustice, unfair working conditions as well as a lack of concern for the environment
13. Impact of Globalization: Way for free trade and business Communication increase Cultural intermingling Become more open and tolerant towards each other.
14. Outsourcing “outsourcing is more than a simple purchasing decision: no firm is completely self-sufficient, and all firms purchase some input from outside.” Gilley and Rasheed
15. Purpose Focus Economically Benefits Employment and Staff
16. Pros of Outsourcing Focus On Core Activities Cost and Efficiency Savings Reduced Overhead Operational Control Staffing Flexibility Develop Internal Staff
17. “If you deprive yourself of outsourcing and your competitors do not, you’re putting yourself out of Business.” (Lee Kuan Yew)
19. Cons of Outsourcing Effect whole economy Risk of Security Fraud Dependent factors Tied to the Financial conditions of Outsource Company
20. What is your opinion, why jobs are eliminated due to outsourcing in developing countries and increase jobs in those countries where labor is cheap like Pakistan?
21. Why jobs are eliminated?? Reasons Loss of Managerial Control Employees as a Commodity Communicational Gap Technological Advancement Financial Problems
22. Major Finding Millions of Americans have lost their jobs and find less pay job Destroyed 2 million blue color jobs but created 43 million white color jobs Good for under develop countries Lower prices and high quality
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25. Conclusion Only focus on skill and experience No interest in the welfare of the people because their interest is only in earning more profits Created a culture of job insecurity Increased job competition Loses brand credibility Wider choice of products and lower prices
26. Recommendations Develop a strong competitive edge Pakistan need to market expertise Develop efficiency Need to Improve international standards qualities Adopt new technology Develop cordial and collaborative relationships with the foreign companies
27. Recommendations “Outsourcing is good equally if the strategies can be use for short terms ultimately organization expand their operation.” (Merck &co. Manager)