Outsourcing - Good or Bad? Outsourcing has become a largely debated view in today’s ever-developing economy. Many associate the word with negative views and the loss of jobs in the U.S., while a number claim that it benefits everyone. Although some view it as unethical, it seems outsourcing is beneficial to all parties involved: the foreign nation that gains jobs, the American companies who hire those workers, and the U.S. economy. Outsourcing helps companies stay competitive in today’s free market system. By outsourcing, companies can reduce the cost of their labor force. A study conducted by the University of California, a world renowned college, shows that by hiring a telephone operator in India, the company based in the U.S. only has to pay them under $1 an hour where as in the U.S., the average wage is over $12.50 an hour (qtd. in Cooper 3). This reduces the company’s labor cost by 92% which leads to the company being able to lower their prices and increase profits for shareholders while maintaining competitiveness in today’s free market system. Outsourcing also allows for less risk in the company. Due to outsourcing to developing countries, companies manage to reduce risk to themselves from those whom acquire jobs from them. Developing countries normally have more lenient laws, and this results in lower fines and less lawsuits directed at companies from their workers. Also in these developing countries, benefits to workers are not often put into place reducing payments (“Outsourcing” 2). These all reduce risks to the company, therefore the company manages to stay in business and remain competitive. However it is also argued that outsourcing results in detrimental effects to the U.S. economy. There is a loss of jobs and a loss of quality in products or services that are provided by companies. MGI’s (McKinsey Global Institute) numbers go to show that there are downsides to U.S. employed workers. MGI shows that there is $1.14 cents that go toward the company as a whole for every dollar that is put into outsourcing (Bivens). Although these figures look like they benefit the company as a whole, they actually do not. Of that “67 cents are in benefits” and “47 cents for each dollar” into the U.S. workforce again (Bivens). This means that although $1.14 is beneficial to the economy as a whole, the workforce does not see an increase but rather a loss in jobs from $1 to $0.47 for workers in the U.S. These numbers only go to show that shareholders in the company benefit rather than the workforce of America. Outsourcing manufacturing often means a reduction in quality of products. Reductions in quality of the products may taint the company’s reputation which results in less demand for products. This then may lead to the consequence of a company going bankrupt; the company would have to lay off all their workers resulting in damage to the U.S. economy. Both of these, the loss of jobs and bankrupting a company, result in detrimental effects for the economy. On the other hand outsourcing is also beneficial to the U.S. economy and foreign economies in how it strengthens diplomatics and interdependence between countries and creates jobs at home and overseas. John McCain, in his campaign for the President of the U.S., “argued that outsourcing is beneficial to America’s diplomatic and foreign-policy efforts because it creates a relationship of interdependence” (“Outsourcing” 2). Because foreign countries receive jobs from other countries this results in them depending on each other for jobs in developing nations and cheaper wages in developed nations such as the U.S. This results in more trade between the new nations because outsourcing is…
issue. Try to deepen your description of the issue, to show your understanding of it to make your argument or case more persuasive. You need to get under the surface of each issue and investigate in depth to evaluate more thoroughly. For example:
Outsourcing is sub-contracting a process, such as product design or manufacturing, to a third-party company. However, although the decision is often made in the interests of lowering costs, there can be negative effects in relation to customer perception of…
strategies, and timelines.
Emphasis is placed on both individual contributions and the final product of teams. You will communicate with your team through team meetings (online) and team discussion threads. Team members who fail to participate in an assignment will not get points for that assignment.
With those parts of the Team Project where a group grade will be assigned, all team members must submit a copy of the team’s work. When an assignment is completed, the Team Leader will distribute the…
A: Participating Companies
B: Recommended Framework
C: Sample PDX File
White paper: The Perfect BoM
Page 2 of 25
OEMs turn to outsourcing to gain manufacturing efficiencies, but the efficiencies (and
accompanying cost savings) they hope to achieve can be elusive. Some of the greatest obstacles
are problems associated with bills of materials (BoMs). Supply chain interactions are seriously…
be conceptualized as forming a value chain. Within this value chain, logistics plays an important role. Logistics is both inbound and outbound in nature. An example of inbound logistics would consist of a) the activities that transform inputs into final products or services. b) the activities that help customers to buy the organization's products or services. c) the activities that provide post-sale support to customers. d) the activities that consist of receiving, storing, and distributing the materials…
Commission Produce written report: • text • graphics Use primary data sources Use secondary data sources Redefine scope, outline, tasks scheduling Deliver written report
Individual or team?
Plan scope, outline tasks, scheduling
Design graphics They don't like it — do it again They do like it — do another
Figure 5.2: The reportwriting process
Source: Adapted from Eunson (1994, p. 7).
Commissioning the report
Routine reports do…
differences by paying careful attention to the goals of the project and the needs of various stakeholders. 8. Define globalization, outsourcing, and virtual teams and describe how these trends are changing IT project management. Globalization has created a “flat” world where everyone is connected and the “playing field” is level for many more participants. Outsourcing is when an organization acquires goods and/or sources from an outside source. Virtual teams occur when a group of individuals who work…
• Executing: dealing with changes, team motivation, technical skills, senior management support
• Controlling: dealing with changes, lack of accountability, pressures to meet deadlines and budgets
• Closing: documentation, prepare a good final report and presentation, transitioning work to other groups, taking time to document lessons learned
5. What questions do you have about the sample documents provided?
Answers will vary.
Answers to all of these exercises will vary…
During the construction phase unit testing and material integration testing is required.
During the construction quality assurance phase, QA testing and user acceptance testing will be required.
Final user acceptance testing will be given at the end of the defect liability period prior to the final takeover of the project.
2.3. Major Deliverables
The modern hospital to be built will provide various functions for the designated recipient community. The Project Management Plan includes…
in the summer of 2008, I released
a free, noncommercial manifesto (like this one) called A Brief Guide to
World Domination. I’ll tell you more about the marketing of the manifesto
in this report, but if you haven’t read it, you can get your own copy here.
The most important advice in the World Domination manifesto is, “You
don’t have to live your life the way other people expect you to.” As I said
back then, you can close the report, begin taking that mantra to heart,
and your life will never…
Clarion School for Boys, Inc.– Milwaukee Division: Making Information
CASE STUDY IV-2
FastTrack IT Integration for the Sallie Mae Merger
CASE STUDY IV-3
IT Infrastructure Outsourcing at Schaeffer (A): The Outsourcing Decision
CASE STUDY IV-4
IT Infrastructure Outsourcing at Schaeffer (B): Managing the Contract
CASE STUDY IV-5
Systems Support for a New Baxter Manufacturing Company Plant in Mexico
CASE STUDY IV-6
The Challenges of Local System Design for…