A Study on Benefits and Risks of Offshoring and Outsourcing at GE

This report investigates the benefits and risks associated with offshoring and outsourcing, using General Electric as a case study. It begins by defining offshoring and outsourcing, highlighting that outsourcing involves contracting work to a third party, while offshoring entails relocating business processes to another country to leverage cost benefits. The research objectives include understanding these concepts, examining their impact on General Electric's performance, and identifying strategies employed by GE to overcome related challenges. The literature review covers perspectives on cost reduction, strategic relationships, and potential risks such as inexperienced staff and loss of control. Methodologically, the report adopts an interpretive research philosophy and an inductive approach, utilizing both primary (questionnaires) and secondary (books, articles) data collection methods. Non-probability convenience sampling is used to select 40 respondents from General Electric. Thematic analysis is employed for data analysis, and ethical considerations such as confidentiality and informed consent are addressed to ensure responsible research conduct. The report aims to provide a comprehensive understanding of the complexities and implications of offshoring and outsourcing within a major multinational corporation.

RESEARCH PROPOSAL
AND ETHICAL FORM

Table of Contents
RESEARCH PROPOSAL FORM...................................................................................................1
RESEARCH ETHICS APPROVAL FORM...................................................................................7

RESEARCH PROPOSAL FORM
Student Name: ______________________ Student ID:
____________
Centre Name: _____________________
Tutor: ________________ Date:
___________________
Unit: ____________________
Proposed Title: The benefits and risks of offshoring and outsourcing.
Section One: Title, objective, responsibilities
Title or working title of the research project (in the form of a
question, objective or hypothesis)
“To determine benefits and risk of outsourcing and outsourcing on organisational performance.
A study on General Electric”.
Research objectives (e.g what is the question you want to answer?
What do you want to learn how to do? What do you want to find
out?):
Research Objectives
 To understand offshoring and outsourcing concepts.
 To examine the benefits and risks of outsourcing and outsourcing on performance of
General Electric.
 To different ways adopt by General Electric to overcome while outsourcing and
offshoring business?
Research Questions
 What is offshoring and outsourcing?
 What are the benefits and risks of outsourcing and outsourcing on performance of
General Electric?
 What are the different ways adopt by General Electric to overcome while outsourcing
and offshoring business?

Section Two: Reasons for choosing this research project
Reasons for choosing the project (e.g links to other subjects you
are studying, personal interest, future plans, knowledge/skills you
want to improve, why the topic is important):
The main reason behind conducting this research project is to determine benefits and risk of
outsourcing and outsourcing on organisational performance of General Electric. It is a largest
company, which helps a person through offering them job opportunities. It will help in cutting
high unemployment rates. As well as this, investigator can improve their skills in an easy
manner with the aid of this subject or study, including literature review, collection of data and
data analysis. All these skills are important for each operation to be completed.
Section Three: Literature sources searched
Use of key literature sources to support your research question,
objective or hypothesis:
Offshoring and outsourcing
According to opinion of Jonathan Webb (2019) Outsourcing is explained to company
contracting the work to third party while the offshoring is related to getting the work done in
various country to leverage the cost benefits. The outsourcing is obtaining the certain products
or services from third party firm necessarily sourcing something like the manufacturing of
certain input to other organisation. It is shifting of functions of business in country other than
its primary where resources would be properly available to company and minimize overall cost
of firm.
Off-shoring is related to relocation of the business processes in various country. It is shifting of
the business activities in country than home country where resources can available cheaply to
company which minimize overall cost of firm. Its main objective is to reduce cost effectively.
Firm can save in production and labour cost where this hires the talent and purchases the
resources from the developing countries.
Benefits and risks of outsourcing and outsourcing on performance of General Electric
On the basis of Pamela Hyatt (2019) Off-shoring generally occurs when an organisation
moves all its activities to other country with a view to establishing an optimized strategic
relationship or growth of business. Off-shoring is mainly used at the business level to build

economic opportunities for other nation's business entities and aid in the long-term process of
business. The benefits of the offshoring are low cost, exercise the more control, Focus on
business development etc. Some of the risk arise in offshoring are inexperienced staff, hidden
costs, business uncertainty etc.
Outsourcing, similar to off-shoring, may allow longer periods of time to originate outside the
country. Getting a valid conclusion out of a given topic is popular to have a big debate about
the benefits and risks of both situations. On the other hand, outsourcing means getting suppliers
or other business entities with raw materials to rise higher profitability. The benefits of are
focus on core activities staffing flexibility, better risk management. On the other hand, main
risks related to outsourcing the business are loss of innovation, loss of control, loss of the
organisational trust etc.
Ways adopt by General Electric to overcome while outsourcing and offshoring businesses
As per opinion of Thompson, Strickland and Gamble (2015), General electric find the effective
or beneficial ways to overcome from the outsourcing and the offshoring issues. The problems
develop negative impact on the business performance. The risk are mainly related to
requirements of offshoring and outsourcing to have the management and measurement to taker
the better solution to all risk over specific period of time. In order to overcome from risk,
solutions which take by General electronics are effectively planning, proper utilisation of
resources, financial support etc. These all the effective steps undertaken to getting the suitable
outcomes within given time period.
Online
Klebnikov, S., 2019. Casper Files For IPO But Warns It Won’t Be Profitable Anytime Soon.
[Online]. Available through:
<https://www.forbes.com/sites/sergeiklebnikov/2020/01/10/casper-files-for-ipo-but-warns-it-
wont-be-profitable-anytime-soon/#7ef60fd7c1f3>.
Hyatt, P., 2019. [Online]. The 4 biggest risks you face when outsourcing. Available through:
<http://www.tradeready.ca/2016/topics/supply-chain-management/4-biggest-outsourcing-risks-
face/>.

Section Four: Activities and timescales
Activities to be carried out during the research
project (e.g research, development and analysis of
ideas, writing, data collection, numerical analysis,
tutor meetings, production of final outcome,
evaluation, writing the report):
How long
this will
take:
Milestone one: _________________
Target date (set by tutor): ____________________
Milestone two: _______________________
Target date (set by tutor): ______________________
Gantt Chart

Section Five: Research approach and methodologies
What type of research approach and methodologies are you likely to
use and why? What your areas of research will cover:
Research Philosophies- There are primarily two types of the research philosophies which are
positivism and interpretivisim. For analyse data on risks and advantages of offshoring as well
as outsourcing of the business operations, interpretivisim is the suitable methodology because
this will allow a researcher for arrive at an acceptable conclusion.
Research Approach- Deductive and inductive are known as two major research methods used
through an investigator to collect information on the difficulties and advantages of outsourcing
and offshoring of business operations. Inductive approach is acceptable as per the specific
subject area of research, because it provides accurate and relevant knowledge about the topic.
Data collection- It is an effective way to gathering the data by using authentic sources in an
effective manner. It helps in provide the positive outcomes about the research area. There are
two kinds of information and data sources which are primary and secondary for collecting
accurate data about the topic. The investigator will use the primary source questionnaire to
obtain reliable information about the research. On the other hand, secondary method to
collection of data are books, articles, journals, magazines etc.
Research sampling- It is generally divided into two parts, namely probability sampling and
non-probability. Non-probability sampling is convenience sampling that mainly used to choose
sample size from the total population according to the analysis. In non- probability sampling,
process of choosing sample from population without using the probability theory. Under this,
random sampling method will be used in probability sampling. There are 40 respondents
selected and these are employees of company because they have the understanding regarding
operations and activities of business in an effective manner.
Data analysis- It is explained as the process of cleansing, modeling and inspecting data with
an aim of searching the useful information and support the decision making. In order to analyse
data, there has been thematic analysis method used. In this, themes will be developed and the

the interpretation will be made on the basis of collected data.
Ethical considerations- Ethics is related to norms, morals and values which need to be
followed when conducting any activities in an effective manner. Under this, there is a need to
researcher to follow all the ethical considerations or principles while conducting an
investigation such as confidentiality, authenticity, informed consent and others which helps in
conducting an investigation in an ethical manner.
Comments and agreement from tutor
Comments (optional):
I confirm that the project is not work which has been or will be
submitted for another qualification and is appropriate.
Agreed: ________________ (name)_______________ Date ______________
Comments and agreement form project proposal checker( IV
sampling)
Comments (Optional):
I confirm that the project is appropriate.
Agreed /Disagree: (Name of the IV)
Date

RESEARCH ETHICS APPROVAL FORM
All students conducting research activity that involves human participants
or the use of data collected form human participants are required to gain
ethical approval before commencing their research. Please answer all
relevant questions and note that your form may be returned if incomplete.
For further support and guidance please see your respective Unit Tutor:
Before completing this form, we advise that you discuss your proposed
research fully with your unit tutor. Please complete this form in good time
before your research project is due to commence.
Section 1: Basic details:
Project title: The benefits and risks of offshoring and outsourcing.
Student name:
Student ID number:
Programme:
College Name:
Intended research start date:
Intended research end date:
Section 2 Project summary
Please select all research methods that you plan to use as a part of your
project:
 Interviews Yes No
 Questionnaires Yes No
 Observations Yes No
 Use of personal records Yes No
 Data Analysis Yes No
 Action Research Yes No
 Focus Groups Yes No
 Others (Please specify) :
Section 3: Participants
Please answer the following questions, giving full details where

necessary.
Will your research involve human participants?
Who are the participants? Tick all that apply:
Ages 12-16: Young people aged: 17-18 Adults: More
than 18
How will participants be recruited (identified an approached)?
The participants will be recruit with the help of interview.
Describe the processes you will use to inform participants about what you
are doing:
Under this, researcher will use the telephone as well as email in order to inform the
participants.
How will you obtain consent from participants? Will this be written? How
will it be made clear to participants that they may withdraw consent to
participate at any time?
Through email, the consent of the participants will be obtained and in written form. A
researcher ensures that by using the email to inform participants, participants can withdraw
their consent from an investigation based on the choice of participants.
Studies involving questionnaires: will participants be given the option of
omitting questions that do not wish to answer?
Yes No
If no please explain why below and ensure that you cover any ethical
issues arising from this
Studies involving observation: Confirm whether participants will be
asked for their informed consent to be observed.
Yes No

Will you debrief participants at the end of their participation (i.e give
them a brief explanation of the study)?
Yes No
Will participants be given information about the findings of your study?
(This could be a brief summary of your findings in general)
Yes No
Section 4: Data Storage and Security
Confirm that all personal data will be stored and processed in compliance
with the Data Protection Act (1998)
Yes No
Who will have access to the data and personal information?
An investigator will access personal information and data.
During the research:
Where will the data be stored?
The data will be stored in Computer system and hardware.
Will mobile devices such as USB storage and laptops be used
Yes No
If Yes, please provide further details:
After the research:
Where will the data be stored?
The data will be stored in Computer system and hardware.
How long will the data and records be kept for and in what format?

The data will be stored for long time period and in the word format.
Will data be kept for use by other researchers? Yes No
Section 5 : Ethical Issues
Are there any particular features of your proposed work, which may raise
ethical concerns? If so, please outline how you will deal with these:
It is important that you demonstrate your awareness of potential risks
that may arise because of your research. Please consider/address all
issues that may apply. Ethical concerns may include, but are not limited
to the following :
 Informed consent.
 Potentially vulnerable participants.
 Sensitive topics
 Risk to participants and /or researchers
 Confidentiality/anonymity
 Disclosures/ limits to confidentiality
 Data storage and security, both during and after the research
(including transfer, sharing, encryption, protection).
 Reporting
 Dissemination and use of your findings.
Section 6: Declaration
I have read, understood and will abide by the institution’s
Research and Ethics Policy: Yes No
I have discussed the ethical issues relating to my research with my
Unit Tutor:
Yes No
I confirm that to the best of my knowledge:
The above information is correct, and this is a full description of
the ethical issues that may arise in the course of my research
Name: Date:
Please submit your completed form to your supervisor and also
attach to the Research Proposal when submitting to Turnitin.