When looking at the majority of last year's news (and even now), outsourcing seems like a shady overseas one stop shop. People who are looking to make a quick buck at the lowest cost possible can simply knock and set-up an offshore sweat shop.
While service providers and clients are
not perfect, it is unfair to make these sweeping generalisations. Here are the common misconceptions about outsourcing.
Overseas workers are stealing our jobs
The main issue that governments and their local workforce have with outsourcing is job cuts. It is a fact that companies have issued massive lay-offs, creating redundancies and adding to the already high unemployment rate. However, it is unfair to think that offshore workers are deliberately stealing these jobs from their western counterparts. Like anyone who is trying to make ends meet, they're just making a living.
Outsourcing is a zero sum game
Outsourcing is a business tool and how it is used, makes all the difference. It provides options and solutions. It's not a bogeyman out to strip the local workforce of employment opportunities. Outsourcing has helped some Aussie SMEs retain and grow their in-house team.
Corporations are evil
Not all businesses are out to shrink costs and earn more profit at the expense of cubicle workers. It's a fact that the economic downturn has made it difficult to grow a business and/or stay globally competitive. Outsourcing can help businesses thrive and expand, particularly SMEs. They are now able to access the talent, technology and tools that they can't afford or maintain.
Outsourcing is cheap labour
Cheap labour does not necessarily mean substandard work. If it were, outsourcing wouldn't be in demand nor last this long. It has become more complex, offering more than just cost savings. Competition and higher expectations on service delivery has turned it into a solutions provider, instead of just a blunt tool to cut costs and reduce head count. When done right, outsourcing and offshoring can increase productivity and efficiency.
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