Outsourcing as an industry makes it to the news quite often, sometimes for the right reasons and sometimes not. That being said, what are the types of jobs that exist in this industry that has exercised so many people’s minds all over the world?
Outsource to India for instance most of the jobs in outsourcing pertain to the insurance, technical, financial, banking and software industries. The types of jobs that people do mostly have to do with software development services are medical transcription, IT consulting, product design, tax processing, and transaction processing, financial research and so on. By 2020 Indians will be doing 20 million such jobs.
With the rise of globalization, many companies are turning to off shoring, offshore outsourcing or Global Sourcing. Offshore outsourcing more and more takes the shape of Business Process Outsourcing, where whole business processes (such as support and development) are outsourced. The client is usually free to choose who provides the outsourced business processes, while stock markets press the company to do more for less.
This requires that managers search out the cheapest sources they can find. In countries like India and China (primarily Bangalore in India), companies like IBM, Microsoft, Hewlett Packard, and Novell choose to get services from sub-contractors in these countries or move many development and support jobs there. Smaller businesses can also take advantage of freelancing on the Internet to get smaller projects done by offshore developers at minimum cost.
Outsourcing is subcontracting a process, such as product design or manufacturing, to a third-party company. The decision to outsource is often made in the interest of lowering firm or making better use of time and energy costs, redirecting or conserving energy directed at the competencies of a particular business, or to make more efficient use of land, labor, capital, information technology and resources. Outsourcing became part of the business lexicon during the 1980s.
Although job outsourcing is a sensitive issue, social and political; it is unavoidable. It's been said that it is the effect of globalization. Companies are in the business of making money and will move to places where production costs are cheaper.
Britain are now selling its companies as its difficult to maintain as production costs rise at home while it lowers elsewhere. Britain will now be a place for services where British expertise and experience counts, such as specialized management consultancies and advisory services oil exploration, training and engineering services, design and technology, and development services. Another industry will be the "education sector" such as hundreds of international students comes here for studies.
Well coming back to jobs loses. These call centre job losses are bound to happen as companies' identity cheaper sources of production. Now look at this scenario, India invests 30% of all of foreign investment in London's second after the USA at 50%. Who would have thought that Outsourcing to India would be able to achieve such a status? Hence can we really blame India, China or other country for the failures of our government for job losses? It's the failure of our government to provide enough legislatures to prevent further losses. But a government does not want hamper companies to thrive and prevent budding enterprises from achieving sky high success. A company's success is a country's success. Wal-Mart, MacDonald's and Microsoft will always be associated with the USA while Tesco with Britain.
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