In outsourcing, if some people end up gaining, others end up losing too. Let us see who they are.

For Outsourcing Country’s Work Force:

This is not very difficult to understand. Say, for example, I was working in the untied States, a country where the wage rate is the highest. I was obviously paid very high. Now suddenly my company started outsourcing work from India where demand for wages is much less compared to the US. I end up losing my job because my company gets the work done for lesser wages. Like me, thousands of people lose their means of livelihood. Outsources call center services maybe?

Not all these people who have suddenly lost their jobs get absorbed in some other field. Especially if you are older, then it becomes all the more difficult to get trained in a new kind of field which has more opportunities. Life becomes really difficult. A substantial percentage of the work force in the company that outsource work is rendered jobless.

For Companies in the Outsourcing Country:

Ever heard of ‘What goes Around Comes Around’? it is true in this case too. People in the country that outsource work lose their regular jobs. Because of this they have to take up something which is less paying than what their original jobs were. Now this amounts to them cutting down on their expenditure since their salaries are now a lot lesser than what they used to be because of which they cannot maintain the same lifestyle they used to. The demand for the products of the goods goes down in general which eventually affects the companies. Outsources call center services maybe?

Points to consider while taking a decision

• Important job: every company has clients and jobs on basis of a particular priority. Some clients may be too important to trust their job with someone in another country who you do not even know. Such jobs will be best completed within your won company by employees who know your needs and those of your client’s very accurately. Such a prioritization must necessarily be done.
• Day to day tasks: these are the category of jobs that do not affect your clients in ay direct way. These may be book keeping, pay roll handling, software support operations, etc. Such jobs are entirely to do with your internal administration. So if your own employees are busy working on projects that your clients expect you to do quickly, you might as well not bother them with operations of day to day running of your company.
• Creative tasks: many a times the company might not have such specialized sills within the company as preparation of ads, copy writing, graphic design, programming, website construction and development of training materials. In such case, work needs to be outsourced so that you can provide your clients with a better job than what your own employees would do for them.
• Stagnated income: should such a situation occur where the company has rached a stage where for a sustained periods of time there has been no real growth in the income of the company, it would be wise to outsource work in order to reduce your costs to give you company’s income a boost. It is no point paying your own employees for jobs that can be got done cheaper. It is these costs that wash out your company’s profits.
• Outsources call center services