Question

Discuss the disadvantages associated with offshore outsourcing? Include examples in your responses.

Please provide 250+ word.

Business 1010

Answer 1

As we know that offshore outsourcing have various types of advantages and disadvantages. Offshore outsourcing can result various types of effciency and cost savings for a firm but it can also result into various types of losses for a firm. Let’s discuss some major disadvantages of offshore outsourcing.

Followings are the main disadvantages associated with offshore outsourcing;

1. Offshore outsourcing mat lead to disclosure of confidential data of a firm because incase of outsourcing most important information are handed over to outsider hence it may lead to discosure of very confidential data.

2. Sometime offshore outsourcing may lead to poor quality of product and service because most of the firm involving in offshore outsourcing can focuss on maximizing its profits hence it may lead to poor quality of goods & services.

3. Firms involved in offshore outsourcing, offer services to various organization hence it can not provide proper customer based services to the specific organization because while we are offering services to various organization then we can not deliver suited best quality services for a firm.

4. There are very high chances of communication gap between two parties hence we can say that due to communication gap there may be various types of complexities for both parties.

5. Offshore outsourcing may lead to unemployment in the concerned country because firms of the specific country will getting their job done by other firms located in other countries hence it will result into unemployment in the country.

6. offshore outsourcing may lead to cultural & social challenges hence it may hammer on the cultural & social environment of a particular firm. Ultimately it will demolish better image of the firm in the market.

7. Management of the firm can not control everything in case of offshore outsourcing. Hence we can say that offshore outsourcing result into loss on management control over operations of the business etc.