Outsourcing : A Good Or Service From A Country Outside Of Its Base Of Operations

894 Words Jul 26th, 2015 4 Pages
Outsourcing is when an industry looks to get a good or service from a country outside of its base of operations. This is done typically in one of two ways, the first is using services and people to perform tasks that you do not want to perform in house such as book keeping and back office work such as answering phones or online technical support. The second is using manufacturing plants in other countries in order to lower the cost of labor and capital required to lease out the land for the plants that produce those goods. Outsourcing typically sacrifices something in order to receive the benefits associated with it. Are these sacrifices worth the gains made by outsourcing? Using another country to perform a service for a firm is not typically seen as a negative thing especially if the service is not witnessed directly by the customer. In this way, secretarial work such as appointment scheduling and basic email sorting is seen as perfectly acceptable outsourced services. The issue arises with this type of outsourcing when there is customer interaction with the outsourced employees. This is most notable with technical support and online college tutoring services. It can be infuriating to talk to someone who has an accent that is too thick to understand or just generally does not understand the problem you are having because there is a language barrier. One firm that has used this form of outsourcing is the Smart Thinking tutoring service that Maricopa Community College’s…

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