outsourcing work has suffered recriminations over the last half decade or so as the biggest killer of middle class jobs. The debate over outsourcing versus the moral obligations of companies to keep jobs within their home nations, has and will continue to go on to another generation, unless plausible solutions and suggestions are explored now. The outsourcing work need not be the harbinger of death for Western nations when alternative or even mutually beneficial agreements can be made to both home and away nations. The accumulated fear and anger from working professionals over the job loss they might or are in even face from their company/management outsourcing plans, driven the debate into the political sphere. However as entrepreneurs and business people within an economy it is irrational to look at a cost saving initiative emotionally.
With the popularity of outsourcing comes the inflation of agency prices and outsourcing now is no longer the cost effective model it used to be. This is to be expected, like in any other business, outsourcing has matured with the expansion the services it provides and skill and maintenance put into the venture rises along with it. It is no longer the cost effect means it had marketed itself on for the past half a decade. The hidden factors involved in the operation has created a dent in many an unsuspecting company’s budget books consequently eroding and eliminating outsourcing’s initial assessment. This, coupled with the escalating pace at which the average individual has to adapt to the consequences of globalisation – outsourcing and the job losses involved – outsourcing may not be the best answer for a balanced society.
The charge for companies now, is to combine low overhead costs without the hidden pitfalls of off-shoring real estate and infrastructure expenditure. In addition to this, companies must now think about an alternative that not only yield savings but supports regional economic development. Outsourcing has finally found not one but two solutions to suit the demand for economical value whilst playing a supportive role in the economical growth.
The first, rural outsourcing, whilst closer to home sticks with the business format of outsourcing which combines the competitive saving rates whilst avoiding the negative implications of outsourcing. The process involves outsourcing work to domestics providers in rural areas where salaries and operating expenses are much lower than overhead costs of city centre employees’.
Rural outsourcing work has enticed many a number of small and medium sized businesses conscientious of the harmful consequences of outsourcing domestic jobs. Whilst on the surface it may not be as cost effective as the outsourcing of jobs to Indian commercial vendors; in the long run it keeps the image conscious business owner ethically sound and consumer friendly. In addition to this when all the hidden costs are factored in the overall outlay of overseas outsourcing rural sourcing may provide a serious offering. Will rural sourcing stop outsourcing work? No. Can rural sourcing help revitalize regional areas that are in need of an economic boost? Can rural sourcing help retain high-skilled jobs while allowing companies to save on labor costs? Yes, according to a rural sourcing company called, not surprisingly, Rural Sourcing Inc. Rural Sourcing claims to offer “…low-cost, high quality information technology services at 30%-50% cost saving while supporting Regional Economic Development”.
outsourcing work to Other Countries: Is Globalization a Threat to American Workers?...Read More
Ways of outsourcing work...Read More