By: Paige Lynzey and Mike
• Globalization refers to changes in societies and the world economy resulting from dramatically increased international trade and cultural exchange.
• Businesses are becoming more global and expanding into different regions of the world.
• By business becoming more globalized they are creating world economies to become more interdependent.
• The globalization of these business also provide advantages for developing nations.
• A distributed workforce combines the talents of individuals from different businesses and locations to work together on a common product or project.
• Collaboration with workers from other regions is possible with the use of communication technologies.
• Today, portions of a product are created in multiple places and come together in one location to be assembled.
Telecommunications and a Distributed
• The internet has opened a new door in how we can communicate with peer workers around the world.
• The infrastructure of the undersea internet cables is what allow us to communicate with these peer workers.
• Being able to communicate over the internet to other countries allows company growth and diverse work environments. Businesses and a Distributed Workforce
• Businesses are taking advantage of this global workforce which is providing higher quality products at a lower cost.
• Outsourcing labor is a common practice which allows companies to use outside talent while saving money.
• Offshoring is also a common business practice where a company moves a production line to another location to enjoy benefits of cheap labor and lower taxes.
Benefits of a Distributed Workforce
• People around the world have many different talents, which is why companies go around the world to build a diverse and talented workforce.
• Companies can save money by offshoring to different countries where cheap labor and lower taxes, which makes for a higher profit.
Drawbacks of a Distributed Workforce
• It takes a lot of communication to be able to run a global workforce. • Time differences can make it hard to hold meetings of project managers.
• Managing big projects can be hard and lead to many miscommunications. Outsourcing refers to a business’ use of an outside company to take over portions of its workload. Advantages of Outsourcing
• It can save companies millions of dollars.
• By hiring someone who is more qualified for that specific job it can save time for focusing on another project.
• It helps make jobs.
• The one who is completing the tasks knows what he/she is doing. • Tasks are usually completely pretty quickly.
Disadvantages of Outsourcing
• Unable to compete with the low wages of developing countries
• Having less control over projects and putting part of your company in someone's hands.
• Time – it can save time for some but it can also take more time for others. Such as putting together a plan or taking the time to train someone. • It can be very expensive and you don’t get the outcome/results you wanted. • Outsourcing is not for everyone. Simple as that. Some succeed with this, and some just won’t.
Examples of Countries who Outsource
India* biggest destination of services
• https:// www.youtube.com/watch?feature=player_detailpage&v=a qhjNJkvC9w
What is Offshoring
• Offshoring- is a business practice that relocates entire