In: Operations Management
Summarize the qualitative risks of on‐time project
completion considering the current employment and work environment
in the U.S. Several members of your programming team live and work
throughout the U.S., and are subject to the laws of those states.
Additionally, some of the programming tasks could be modified and
possibly sub‐contracted to India, Bulgaria, China, Argentina, and
Indonesia.
Discuss how the project manager
should address cost/time trade‐offs associated with international
outsourced completion of programming tasks. What criteria should be
used to determine if a task should be outsourced
internationally, or not? Which tasks for this project might be
considered for outsourcing to an international programmer or
programming team, and why?
The key reason for global outsourcing is to get a cost advantage by utilizing highly skilled low-cost employees available in offshore delivery centers. The offshore activity is challenged by currency fluctuations, time lags, wage fluctuation, and local regulatory policies.
The project manager can address the challenges faced with international outsourcing to complete the programmed tasks are as follows:
The decision to outsource internationally an activity can be based on the following parameters:
The tasks to be outsourced to an international programmer or team will be determined by the following parameters:
To sum it up the project manager should analyze the critical skill set and the deliverables he expects and schedule outsourcing after doing a cost-benefit analysis in terms of reducing the spends and the turn around time.