Impact of Outsourcing on Businesses

The assignment examines the impact of outsourcing on businesses. It delves into how outsourcing affects overall business operations, analyzing both its positive and negative consequences. The student utilizes surveys and data analysis techniques to gather information and evaluate the effects of outsourcing on different firms. The research aims to understand the complexities of outsourcing and its implications for modern businesses.

INDIVIDUAL
REFLECTIVE
JOURNAL

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
1. Effectiveness and use of learning experience.........................................................................1
2. Usefulness of learning process................................................................................................2
3. Describing the learning process.............................................................................................2
4. Evaluation of learning.............................................................................................................3
5. Explanation of learning process..............................................................................................3
6. Applications of learning..........................................................................................................4
CONCLUSION................................................................................................................................4
REFERENCES................................................................................................................................5

INTRODUCTION
In the era of globalisation, there are several new kinds of approaches to manage business
activities are coming up. In order to earn profit many companies these days are are using the
process which is known as outsourcing (Park, Im and Kim, 2011). In this companies outsources
there several functions, operations, department , task, activity to other third party which can be
an individual or a firm depending on the needs. This helps firms in managing only those
activities that is good for their future. All the back office and internal activities are being
outsourced. This helps in achieving the task in a proper manner as well as reducing the cost of
activities. This report helps to understand the outsourcing to me as well it will help firms can use
it for understanding the benefits of it. My own experience regarding the research is been
highlighted.
TASK 1
1. Effectiveness and use of learning experience
Several times I had queries regarding the outsourcing of functionalities and its
management. I always failed to understand the reason why outsourcing in necessary in the bigger
firms when they have so much of resources as well as ways in which outsourcing can benefit
smaller and medium sized firms. All these things got cleared to me when I have gone through
this research. By completing this project I got all the basic informations about the challenges of
outsourcing as well as advantages and disadvantages of outsourcing functionalities. I understood
that it helps in reducing the cost of operation without compromising with the quality.
Outsourcing will increase the efficiency of the work process (Qi, 2011). By reading this research
report any organisation can have the basic understanding about the complexities of outsourcing.
It also gives the idea that the ways in which it helps organisations to focus on their prime
business and leave the operations of decision making in the hands of third party. The
management of business enterprises do not have to make decision regarding these secondary
operations and can focus on the operations that will help firms in their future operations. This
learning experience helped me to understand the ways in which it helps the company in their
expansion policy.
This learning experience has changed my practical knowledge as well as it made me
sound on the matter of internal affairs of the firms. It was one of the most explanatory and
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valuable project of my life. It helped me in enhancing my managerial skill which I could apply in
my firm later on the future. It is essential for getting managerial job. Before completing this
project I was unable to have proper understanding about the principle and core concepts of
outsourcing, now I can apply them in managing my firm.
2. Usefulness of learning process
In the present era where in depth knowledge of any learning process is necessary, this
project helped me to have clear understanding about the concepts related to outsourcing. These
concepts will be very helpful for me in my future both in personal life as well as career. In
general life it helped to gain knowledge regarding outsourcing which I could deliver it to other
persons as well. My learning will help me in in four fields they are as follows:
Course: It will assist me in getting excellent grades which is necessary for my academic career
which would certainly help in standing away from the mass.
Program: In order to enhance my practical knowledge regarding this topic I want do internship
on this subject in any bigger firm where I could utilise this knowledge of mine this report will
help in this regard.
Future Career: This knowledge gained from the project will help me in grabbing good job
present in the market. After applying this learning experience I could get promoted very easily.
As a manager it will help me in managing more important task as well as managing third parties
so that they could effectively perform there activities.
Life generally: I would use this experience of mine to help the firms that needs my knowledge as
well as to the other individuals. I can train other managers as well as leaders in understanding the
benefits of outsourcing.
In future I would like to work with any bigger firm as a manager. There I would suggest the
leadership to follows the outsourcing and help them in solving the complexities that arises while
implementing the outsourcing in the company.
3. Describing the learning process.
I did my research in which I examined the case of 5 firm having different scales. I
examined what is the actual condition of outsourcing in that firm and the implication it has made
on the business process. I conducted survey regarding the views of manager on their
understanding about outsourcing using questionnaire. I also examined the firm annual progress
report before and after outsourcing many of its activities. In this research report I basically
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focused on the advantages and disadvantages that is posed by the outsourcing. Most companies
these days are implementing outsourcing in different kind of operations. During this research I
conducted surveys regarding the kind of outsourcing companies these days are following. At last
I examined the case of Marks and Spenser where they have applied outsourcing in two field i.e.
their management related to information system as well as their department of human resource.
This was done so as to reduce the cost of operations. I evaluated my learning process at each
steps so that any misconception would have lead the project to failure. In this process I analysed
the global reports and journals on condition of outsourcing and the implications posed by
different organisations decision of outsourcing their various task, departments or activities. I also
analysed the ways in which it has reduced the pressure of management as they do not have to
make decisions or manage these outsourced operations.
4. Evaluation of learning
Research helped me in understanding the attitude and thinking process of various people
who were part of my surveys. In the process of completing my research, I analysed that there is a
big difference between practical applications of something and their theoretical knowledge. I was
thinking that outsourcing could solve various problem if applied theoretically in the firms but
after doing evaluation I understood that it is not so easy when applied at ground level. There are
several disadvantages of outsourcing which could disrupt the business processes of many firms
so the selection of third parties needs to done carefully. Even the processes that are to be
outsourced need to checked that what will be the advantages and disadvantages of outsourcing
that task or operation. It also helped me understanding that these third parties help in making the
effective and innovative decisions regarding the their future decisions.
5. Explanation of learning process
My primary concern before I started this project was to give full efforts to understanding
the aspects of outsourcing. Before that I was unaware of type of outsourcing and their effects on
overall business of the firm. I conducted surveys using questionnaires and used my learning that
I developed in my lectures regarding collecting informations and the tools for evaluating the
data. I had a feeling that this learning which I have gained in the whole research duration will
help me in my entire life. I checked that there were various small researches that was previously
done on outsourcing and its implications. One of the main reason for choosing this research was
that I wanted to learn new things regarding management of various activities inside the firm as
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well as the idea of outsourcing that has been a culture in almost every company irrespective of
their size. This trend is ever increasing hence this learning of mine will help me and the firm.
There were many firms that have not applied outsourcing and has failed to manage many of their
operation which resulted in the main area of business and insufficient quality of products
(Viitanen and Kingston, 2014). Various confusions regarding outsourcing got cleared due to this.
I also chose this due to the reason that this topic was not fully explained during my educational
curriculum which is very necessary these days.
6. Applications of learning
This learning process was very beneficial in many regards as these days many companies
are applying this and are failing to successfully handle these. I will use this knowledge of mine in
the growth of my future organisation in which I will work. It will not only improve my own
managerial knowledge and skill to manage firms but also help me in implementing it my future
company. I will use this learning experience in conducting and evaluating future projects and the
ways in which I can conduct surveys on various other topic. Apart from this it will help me in
obtaining appreciable grades which will ultimately help me in grabbing a good job.
CONCLUSION
From the above based report I can conclude that by doing research on different kind of
outsourcing in modern business companies solve their many problems effectively. I got
knowledge about the process that are involved in any learning process and how these learnings
will be beneficial for me in my entire life time.
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REFERENCES
Park, J.Y., Im, K.S. and Kim, J.S., 2011. The role of IT human capability in the knowledge
transfer process in IT outsourcing context. Information & Management. 48(1). pp. 53-
61.
Qi, X., 2011. Outsourcing and production scheduling for a two-stage flow shop. International
Journal of Production Economics. 129(1). pp. 43-50.
Viitanen, J. and Kingston, R., 2014. Smart cities and green growth: outsourcing democratic and
environmental resilience to the global technology sector. Environment and Planning A,
46(4), pp. 803-819.
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