Analyzing Factors Influencing Business Outsourcing Decisions

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The assignment entails a critical analysis of literature pertaining to business outsourcing decisions, focusing particularly on SMEs' choices and strategic factors impacting value creation. By reviewing studies from 1992 to recent years, students will explore antecedents like dependency management in China, provider innovativeness, and governance structures. The research draws insights into how managerial preferences and external pressures affect outsourcing dynamics, providing a comprehensive view of the complexities involved in such decisions.
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REPORT
Outsourcing in Organisation
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Introduction
In the business, it has been seen that outsourcing is important for handling the different business
functions that depend on the profitability standards. For this, there is a major need to focus on the
size and the resources that have been made available to the business. It will help in handling the
different scenarios where the research is conducted mainly to identify about the modern
organisation management. (Lahiri, 2016) The sustainability and the outsource development helps
in describing the requirements of the multinational companies and help them to grow further.
With the changing standards, it is important to evaluate the measures that will lead to the change
in the system functioning with the modern business firms, becoming competitive.
Project Objectives
The objectives of the project are to undermine the approach of outsourcing and working on the
different types of the advantages and the identification of the types of business (Davis et al.,
2017). It includes the modernisation of the business firms and then working over the compeititve
stay. The project tends to elaborate with the advantages and the disadvantages over the
processing of the competitive outsourcing function.
Scope
The scope is based on the factor where the different business functions are evaluated depending
upon the concept of outsourcing. The major focus is on handling the different types of entities
and then working over the business functions as well. The research is about working over the
disadvantages and the processing of the different orders which needs to be considered and
worked upon before applying any real-life scenarios (Li et al., 2017). With this, it is also
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important to handle the outsourcing and enable the management to complete the business
functions with the development of the in-house set of the employees.
Literature Review
The profitable trends are mainly to handle the contemporary companies with the reduced costs
and the improvement in the efficiency of the firm (Halim et al., 2017). The precise functions
with the profitability need to handle the contemporary outlook which includes the tasks that are
given to the other companies like the companies, information technology and the business
processes. The out tasking and the consulting is important for the organisation to focus on the
training process and the training activities. These are important for the contingent workers who
handle the system standards with effectively working over the sustainable growth of business.
The business process can handle the organisation to perform the different functions with the
renowned forms of the offshore outsourcing (Koczar et al., 2016). It includes how the companies
can operate and work on the different options to perform the jobs. The companies are working on
the development of the economies with the outsourcing set for the business processes. The
globalisation can easily be identified with promoting the business processes with the IT and
Human Resources focusing on utilising the opportunity and working over the shifting of the jobs
to the other significant countries. The best cost saving measures are to complete the business-
related tasks as well (Liang et al., 2016).
Justification
The outsourcing functions are based on the speediness and expertise with the risk sharing that
enables the business processes to transfer and handle the responsibilities based on the risks
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mitigation plans. The recruitment and the cost of the operation are for the different employees
that would help in the management of the operations.
Research Question
Primary
Q1: What are some of the measures which include how outsourcing is processed in the different
organisations?
Secondary Questions
Q1: What are some of the methods and the levels of independence which needs to be subjected
with the use of outsourcing methods?
Q2: Are there any changes when related to the quality terms which have been generated by the
organisation for outsourcing?
Research Design and Methodology
With the varied changes, the focus is on handling the investigations in the qualitative and the
quantitative manner. It includes the working in the detailed format and related to the different
interviews and the questionnaire survey (Razali et al., 2016). The forms are related to take hold
of the different perspectives which are related to increased confidence. A wide range of the
research is processes with the needs to meet the requirement and work on necessitating the
efforts that are included for the use of the mixed methods (Veit et al., 2017).
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Qualitative Research
The research is based on the specifications of the data collection and how outsourcing can handle
the aspects which are related to the understanding and working over the processes that involves
the organisation behaviour (Akbari et al., 2016). As per the mixed research, it is important to set
the giving methods which include the detailed questionnaire about the open and the close ended
questions. These are generally important to improve the quality and work on the standardised
approach of triangulation. Through this, there are different qualitative and quantitative methods
which works towards the interpretation of the data.
Quantitative Research
The research is based on the proper structuring of the interviews and handling the details which
are related to the system processing and working over the development of the system (Lin et al.,
2016). The outsourcing helps in ensuring the tasks with the interviews that are related to the
different standards of questions and working over the SMEs with aggregation that is for the
obtaining of answers for different questions (Sandkuhl et al., 2016).
Sample Size
The outsourcing and auditing in the decision-making process is based drawing the sample from
the population. The sample population is being studied with the findings related to the
interpretation of the study population. (Yap et al., 2016) The research is based on the sample size
with 150,000 approximate company working on the outsourcing.
Sampling
It has been seen that the study is based on how the research is done with interviewing the
different respondents who answer the research questions. The pilot study is depending upon the
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study related to the effectiveness of the data and working over the tool collection (Nguyen et al.,
2017_.
Variables
The variables are set to define the classification with the dependent variables and working on the
age, gender of the respondents. The independent variables include the business development and
work on the outsourcing standard, with improving the effectiveness levels (Fusch et al., 2016).
The setup of the nature is depending upon how the hidden costs and the lack of customer focus
leads to serving the different number of organisations (Burke et al., 2016).
Data Collection
The study is based on the forms which includes the study of the participants and then working
over the standards which include the confidentiality and then compiling the views of the
participants. The generalised conclusion and the recommendation is related to the delivery with
the research assistants working on handling the questionnaires and the interviews. The data can
easily be handled using SPSS with the version17 data analysis, along with data presented using
the descriptive statistics like the mean, mode and the Likert scale (Hald et al., 2016). The
summary of the results is presented in the form of the data which includes the details of the
outsourcing. Here, the multilinear regression model can handle the system functioning.
Data Analysis
The analysis is based on defining the questionnaires and then working over the editing and
coding as appropriate. The data is exported with SPSS versions set with different analysis of the
data through the descriptive statistics, with the standard deviations. The results include the
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visually handling the tables, charts and the graphs. The information includes the effects of the
independent variables.
Research Limitations
The limitations are based on working the methodology with the forms that include the long time
with the efforts that need to take hold of the different resources. The collection is mainly through
the information with setting the research questions (Yan et a., 2016).. The sources are related to
the information with making use of the confident forms with research findings based on the
information depending upon the collaborative and possibility of the discrepancy of the results.
The standards are set to take hold of the respondents with the questionnaires that are related to
the possibility with the terms related to read, write and using the internet services.
Reliability and Validity
The standards are set with the mixed methods where the forms and the other associated threats
work on the standards with the conducts to find the reproducing the same results. The secondary
data is based on the needs with reliability to carry out the tests and working over the publishing
of the details and signing them with the outsourcing methods (Hald et al., 2016). The payroll and
the salary selection works with the training and development that includes the benefits designs
and the administration which includes the proper relations with the employees and working over
the different methods. The HR activities are mainly sourced with the outsourcing to the external
vendors to improve the organisational efficiency with saving the costs of the firm and holding
the technology, HRM activities and the other processes. The risks are associated with the
business functions that includes the global outsourcing with improve the efficiency and seeking
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the sustainable growth in the market. The consideration is about the implementation with the
process related to the outsourcing that provides the scope of the proper research in the future.
Time Schedule
Conclusion
The growing demands are set with the estimation related to work on the latest trends and
focusing on the tasks of the company. The costs and the benefits in the organisation is depending
upon the selection and the maintenance of the contract with outsourcing vendors that lead to the
time loss and effort.
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References
Akbari, M. and Hopkins, J., 2016. The changing business landscape in Iran: establishing outsourcing best
practices. Operations and Supply Chain Management: An International Journal, 9(3), pp.184-197.
Burke, R.J. and Tomlinson, E.C., 2016. Crime and corruption in organizations: Why it occurs and what to
do about it. CRC Press.
DavisSramek, B., Fugate, B.S., Miller, J., Germain, R., Izyumov, A. and Krotov, K., 2017. Understanding
the present by examining the past: imprinting effects on supply chain outsourcing in a transition
economy. Journal of Supply Chain Management, 53(1), pp.65-86.
Fusch, G.E., Fusch, C.J., Booker, J.M. and Fusch, P.I., 2016. Why culture matters in business
research. Journal of Social Change, 8(1).
Hald, K.S., Kinra, A. and Das, A., 2016. Understanding the factors that enable and inhibit value creation in
buyer-supplier relationship within the outsourcing of IT services. In 5th World Conference onProduction
and Operations Management. P&OM 2016.
Halim, H.A., Ahmad, N.H., Ho, T.C. and Ramayah, T., 2017. The Outsourcing Dilemma on Decision to
Outsource Among Small and Medium Enterprises in Malaysia. Global Business Review, 18(2), pp.348-
364.
Koczar, J. and Vagizova, V.I., 2016. SERVICES FOR BUSINESS IN THE POLISH ECONOMIC
PRACTICE. Journal of Economics and Economic Education Research, 17, p.93.
Lahiri, S., 2016. Does Outsourcing Really Improve Firm Performance? Empirical Evidence and Research
Agenda. International Journal of Management Reviews, 18(4), pp.464-497.
Li, S., Lee, G., Hong, P., Haney, M.H. and Kang, M., 2017. Managing dependency in China outsourcing
relationships. Production Planning & Control, 28(6-8), pp.489-499.
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Liang, H., Wang, J.J., Xue, Y. and Cui, X., 2016. IT outsourcing research from 1992 to 2013: A literature
review based on main path analysis. Information & Management, 53(2), pp.227-251.
Lin, N., Devinney, T.M. and Holcomb, T.R., 2016. Examining Managerial Preferences and Choices: The
Role of Value Creation and Value Appropriation Drivers in Strategic Outsourcing. Long Range
Planning, 49(6), pp.706-722.
Nguyen, T.T.T. and Chang, M.L., 2017. Antecedents of human resources outsourcing decision in
Vietnam. Personnel Review, 46(4).
Razali, R., Anwar, F., Rahman, M.A. and Ismail, F.F., 2016. Mixed Methods Research: Insights from
Requirements Engineering. Electronic Journal of Business Research Methods, 14(2).
Sandkuhl, K., Smirnov, A. and Ponomarev, A., 2016, September. Crowdsourcing in Business Process
Outsourcing: An Exploratory Study on Factors Influencing Decision Making. In International Conference
on Business Informatics Research (pp. 33-49). Springer International Publishing.
Veit, D.R., Veit, D.R., Lacerda, D.P., Lacerda, D.P., Camargo, L.F.R., Camargo, L.F.R., Kipper, L.M.,
Kipper, L.M., Dresch, A. and Dresch, A., 2017. Towards Mode 2 knowledge production: Analysis and
proposal of a framework for research in business processes. Business Process Management
Journal, 23(2), pp.293-328.
Yan, A., Lacity, M.C. and Sabherwal, R., 2016. PROVIDER’S INNOVATIVENESS AND OUTSOURCING
PERFORMANCE: THE MODERATING EFFECTS OF CONTRACTUAL AND RELATIONAL
GOVERNACE. PROVIDER.
Yap, C.S., Yap, C.S., Lim, Y.M., Lim, Y.M., Jalaludin, F.W., Jalaludin, F.W., Lee, T.H. and Lee, T.H.,
2016. Determinants of ICT outsourcing among the locally-owned manufacturers in Malaysia. Strategic
Outsourcing: An International Journal, 9(3), pp.324-342.
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