logo

HI6008 - Advantages and Disadvantages of Outsourcing Business Process

   

Added on  2020-03-02

11 Pages2802 Words32 Views
Running head: BUSINESS RESEARH Business ResearchName of the StudentName of the UniversityAuthor Notes

BUSINESS RESEARH1Table of ContentsIntroduction................................................................................................................................2Project Overview........................................................................................................................2Project Scope..............................................................................................................................2Literature Review.......................................................................................................................3Advantages of outsourcing business..........................................................................................3Cost, efficiency and manufacturing advantages.....................................................................3Focusing in core area of business...........................................................................................4Advantages of Time Zone......................................................................................................5Advantages of recruitment and Human Resource Department..............................................5Disadvantage of outsourcing business.......................................................................................6Disadvantage due to hidden cost............................................................................................6Disadvantage due to security risk of exposing sensitive data................................................6Issues related to pricing..........................................................................................................7Issues in synchronisation of deliverables...............................................................................7Conclusion..................................................................................................................................8Reference....................................................................................................................................9

BUSINESS RESEARH2IntroductionBusiness Outsourcing is the process, where companies hire goods or services fromother third party organisation. Outsourcing business is one of the effective ways that isbelieved to reduce the overall expenditure of business. This type of practice is mainlyimplemented by large-scale multinational corporations, which enables them to improve thequality of their product or service. Nevertheless, there are certain negative aspects of theOutsourcing business process. The aim of the current study is to analyse the existingliterature related to advantages and disadvantages of outsourcing business process.Project Overview It is important in the current age of globalisation for all multinational corporations tohave improved rate of production and also bring about innovation in manufacturing process.Exploring the opportunities of business can also help the business firms to expand in newmarket areas. The current report will explore the details of how business Outsourcing canhelp the large scale multinational companies to improve upon their brand value. Insubsequent sections the negative aspects of outsourcing business will also be discussed. Project Scope The scope of the current project includes all the major relevant literature related tocritical evaluation of business Outsourcing process. All major relevant points related topositive and negative aspects of business Outsourcing will be discussed that have beenhighlighted in the past research work. Some real examples of positive and negative aspects ofbusiness Outsourcing will also be mentioned in the report. The literature review will be conducted by using the journals and articles of major databases.The articles that were published on and after 2010 will be selected for the literature review.

BUSINESS RESEARH3Literature ReviewAdvantages of outsourcing businessCost, efficiency and manufacturing advantagesAccording to Lacity and Willcocks (2013), the most obvious advantages of businessoutsourcing is related to savings in the expenditure. It is easily possible for the large-scalemultinational corporations to hire labour at much lower rate from the third party organisation.It is important to mention in the context that most of the business organisations in theAmerican and European regions hired workers from Asian and African countries due to thefact that the labour cost is much lower. Lacity et al. (2010), have mentioned in the contextthat the China and India the popular destination for most of the American companies to hiremanufacturing labourers. The low cost of labour in China has also been the result that most ofthe electronic companies have set up their manufacturing units in the nation. Nedbalet al. (2011), have added in the context that it is also possible for thecompanies to improve the quality of the product with the help of third party manufacturingunits. For many companies hiring of Outsourcing business process has helped them to providebetter after sale service. All the issues that are faced by the customers after purchasing of acertain products, it is possible for the business Processing Unit to provide the warrantyservice that is provided by all major manufacturing brands. This will help the company to gethigh level of customer satisfaction. This can be achieved by quickly resolving all the issuesencountered by the customers after buying of certain product. With the help of faster and better service that is obtained from decreasing the leadtime the company can ensure that the demand of the customers are fulfilled properly. It isalso possible to imply the ideas at much faster rate that can bring about innovation well in the

End of preview

Want to access all the pages? Upload your documents or become a member.

Related Documents
BUSINESS RESEARCH 3 3 Business Research Name of the Student Name of the University Author Notes Introduction 2 Project Scope 3 Business Research Scope 3 Business Research Scope 3 Business Research Sco
|11
|2746
|297

AP115 - Advantages and Disadvantages of Outsourcing Business Functions
|14
|3262
|85

Exploring Opportunities and Challenges of Outsourcing Business Operations in Bangladesh: A Case Study of Nike
|14
|3489
|375

Advantages and Disadvantages of Outsourcing Business Functions
|13
|2756
|488

Advantages and Disadvantages of Outsourcing Business Functions (Doc)
|13
|3313
|27

HI6008 Business Research | Advantages and Disadvantages of Outsourcing
|17
|3570
|11