As the world economics have gone through an unstable growth in recent years, many businesses are seeking way to cut the costs of operating companies or producing goods and services. At the present, one of the most easiest and effective ways is outsourcing. Outsourcing occurs when a company purchases products or services from an outside supplier, rather than performing the same work within its own facilities, in order to cut costs. The decision to outsource is a major strategic one for most companies, since it involves weighing the potential cost savings against the consequences of a loss in control over the product or service.
Question: Many people say outsourcing is 'bad for workers but good to consumers' Do you agree? Why? Answer: As the world economics have gone through an unstable growth in recent years, many businesses are seeking way to cut the costs of operating companies or producing goods and services At the present, one of the most easiest and effective ways is outsourcing Outsourcing occurs when a company purchases products or services from an outside supplier, rather than performing the same work within its own facilities, in order to cut costs The decision to outsource is a major strategic one for most companies, since it involves weighing the potential cost savings against the consequences of a loss in control over the product or service Many people believe that outsourcing is unpleasant and unwelcome to workers, while consumers will benefit from it I partly agree with this opinion First and foremost, for many companies, outsourcing is a great deal It is a method of giving them a hand in reducing expenses, making better products and taking the edge off works that managing directors or administrators normally have to take responsible for While outsourcing has its own unique set of advantages, it can negatively impact workers As a result of companies being able to hire qualified and professional employees, many of these companies’ current staff will be laid off, leading to unemployment problem The people who have been dismissed often have a hard time finding a suitable job and usually involve in financial difficulty Moreover, outsoucing can also have unintended consequences When employees see fellow workers being threw out, they may begin to wonder when will it be their turn As a consequence, many of them usually experience increased workplace stress, causing decline in productivity, interpersonal conflict, and overall downturn of the whole companny Nevertheless, outsourcing still has a lot to offer It help skilled and proficient workers find the right job and generally give a boost to their salaries Besides, outsourcing can sometimes act as an opportunity for employees to travel around the world On the other hand, it is said that outsourcing is good for consumers Most often, all or part of the cost savings from outsourcing of a company go toward a reduction in price to the customers so that the company can remain competitive in the given marketplace Accordingly, such outsourcing makes products cheaper and therefore benefits the purchasers Nonetheless, it does have some drawbacks Cultural differences, for example, is a major problem when company choosing to outsource in a foreign country In this case, offshore outsourcing usually ending in poor support and post-purchase services, since there may be language barriers among countries and high costs of calling overseas This is defenitely not good for consumers All in all, ousourcing has both advantages and downsides It may help a lot with decreasing costs and prices, therefore benefiting company and consumers; however, it also have negative effects on workers and customers supporting services It is the company and consumer that decide whether outsourcing is good or bad for them ... on workers and customers supporting services It is the company and consumer that decide whether outsourcing is good or bad for them