Operation Management, assignment help

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Business Finance

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Outsourcing

Outsourcing, especially to low labor-cost countries, has grown substantially. Be sure to address the following in your paper:

  • Analyze the trade-offs between inputs for the productivity improvements.
  • Analyze the advantages and disadvantages of global sourcing versus producing in the U.S.
  • Describe a product or service of a specific low-labor-cost country as an example.
  • Include a recommendation of a low-labor-cost country based on inputs, trade-offs, and going global advantages.

Your paper should be in paragraph form (avoid the use of bullet points) and supported with the concepts outlined in your text and additional scholarly sources.

Submit your three- to four-page paper (not including the title and reference pages). Your paper must be formatted according to APA style as outlined in the Ashford Writing Center and must cite at least three scholarly sources in addition to the textbook.

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Explanation & Answer

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Running Head: OPERATIONS MANAGEMENT

Operations Management
Name:
Institutional affiliation

1

OPERATIONS MANAGEMENT

2
OUTSOURCING

Introduction
Outsourcing refers to the method of delegating organization’s processes to an outside
firm rather than doing the processes within the organization. Outsourcing can be within external
businesses in the country, or it can be to an external company across the country. There are
different reasons why a firm can practice outsourcing, but the fundamental idea of outsourcing is
to ensure cost reduction. The idea of outsourcing is continually increasing among major
companies in the US.
Trade-Off between Inputs for Productivity Improvements
Outsourcing enables a company to ensure mass production through cheap production
costs from companies abroad. Although the company is sure of mass production, the quality of
the products remains a huge drawback to the technique. The business might end up providing
low-quality products to its customers who might lead to loss of customers to a competitor
providing quality goods. Outsourcing can result in loss of control over production and business
processes.

The loss of control is because the firm lacks full management control of the

outsourced functions. The employees engaging in the outsourced service do subscribe to the
mission and standards of the outsourcing company. The motivation of the employees of the
company that is carrying out the functions emanates from making ma...


Anonymous
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